HomeMy WebLinkAboutMINUTES - 09112012 - C.49RECOMMENDATION(S):
1. APPROVE a Lease with The Housing Authority of the County of Contra Costa for five (5) year period beginning
July 1, 2012, and ending June 30, 2017, for approximately 3,950 square feet of classroom space at 135 W. Grove
Street, Richmond, at a rental rate of $300.00 per month plus estimated miscellaneous occupancy charges of
$34,000.00 per year, for continued occupancy by the Employment and Human Services Department - Community
Services Bureau, under the terms and conditions set forth in the Lease. (WLP700)
2. AUTHORIZE the Director of Public Works, or designee, to EXECUTE the Lease on behalf of the County and to
EXERCISE any options to extend the Lease.
FISCAL IMPACT:
This new Lease will obligate the County to pay a total rental of $18,000.00 during the five (5) year Lease term. In
addition, the County will pay approximately $34,000.00 for estimated miscellaneous charges used on the
APPROVE OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
Action of Board On: 09/11/2012 APPROVED AS RECOMMENDED OTHER
Clerks Notes:
VOTE OF SUPERVISORS
AYE:John Gioia, District I Supervisor
Candace Andersen, District II
Supervisor
Mary N. Piepho, District III
Supervisor
Karen Mitchoff, District IV
Supervisor
Federal D. Glover, District V
Supervisor
Contact: Dave Silva (925)
313-2132
I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board
of Supervisors on the date shown.
ATTESTED: September 11, 2012
David Twa, County Administrator and Clerk of the Board of Supervisors
By: STACEY M. BOYD, Deputy
cc:
C. 49
To:Board of Supervisors
From:Julia R. Bueren, Public Works
Date:September 11, 2012
Contra
Costa
County
Subject:135 W. Grove Street, Richmond – Lease for Employment and Human Services Department
FISCAL IMPACT: (CONT'D)
Premises in the first year, and similar annual payments throughout the term. The Lease was anticipated and
budgeted in the Employment and Human Services Department – Community Services Bureau’s approved FY
2012/2013 budget. (Funding source: Org. #1528.)
BACKGROUND:
The County has leased the premises as a Head Start facility operated by the Community Services Bureau (CSB)
for classroom and child care programs since 1993. This Lease will provide for the continued use by the CSB for
that purpose.
CONSEQUENCE OF NEGATIVE ACTION:
Failure to approve this Lease may result in a significantly higher cost to the County and unknown capital costs
and expenses to relocate this Head Start facility to another location in the Richmond area.
CHILDREN'S IMPACT STATEMENT:
Not applicable.
ATTACHMENTS
Lease Agreement
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LEASE AGREEMENT
BETWEEN
THE HOUSING AUTHORITY OF THE COUNTY OF CONTRA COSTA
AND COUNTY OF CONTRA COSTA
FOR
135 WEST GROVE STREET
RICHMOND, CALIFORNIA
This lease is dated _____________, 2012, and is between the Housing Authority of the
County of Contra Costa, a public agency (“Lessor”) and the County of Contra Costa, a political
subdivision of the State of California (“County”).
Recitals
A. Lessor is the owner of the property located at 135 West Grove Street, Richmond, which
includes a building with approximately 3,950 square feet of floor space (the “Building”).
B. Lessor desires to lease to County and County desires to lease from Lessor, the Building,
together with the fenced land, the play area and exclusive use of two (2) parking spaces,
as shown on Exhibit A (altogether, the “Premises”).
The parties therefore agree as follows:
Agreement
1.Lease of Premises. In consideration of the rents and subject to the terms herein set forth,
Lessor hereby leases to County and County hereby leases from Lessor, the Premises.
2.Term. The “Term” of this lease is five (5) years, commencing on July 1, 2012 (the
“Commencement Date”) and ending June 30, 2017.
3.Rent. County shall pay rent (“Rent”) to Lessor in the amount of $300 per month
beginning on the Commencement Date. Rent is payable on the tenth (10
th) day of each
month during the Term.
Rent for any fractional month will be prorated and computed on a daily basis with each
day’s rent equal to one-thirtieth (1/30) of the monthly Rent.
4.Non-Federal Matching Funds. In accordance with federal regulations for the Head Start
Childcare Program, at any time during this lease or any extension, a study of the fair
market rental value of the premises may be required. The study shall be conducted by a
licensed real estate professional by comparing the current rent to the fair market rent.
The difference between the two can be considered as an in-kind contribution. LESSOR
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agrees to complete the necessary forms, information, documentation and records that will
provide evidence to verify the in-kind contribution of non-federal matching funds to
assist the COUNTY to conform to federal regulations for in-kind matching share.
5.Use. County may use the Premises for the purpose of conducting various functions of
County and any other purpose permitted by law.
6.Obligation to Pay Utilities. County shall pay for all gas, electric, and refuse collection
services provided to the Premises. Lessor shall pay for all water and sewer services
provided to the Premises.
7.Maintenance and Repairs.
a. Roof and Exterior of Premises. County shall keep the roof and exterior of the
Premises in good order, condition, and repair, and shall maintain the structural
integrity of the Building, including the exterior doors and their fixtures, closers and
hinges, glass and glazing, and all locks and key systems used in the Premises.
b. Interior of Premises. County shall keep and maintain the interior of the Premises in
good order, condition and repair. County shall repair damage to the interior caused
by its failure to maintain the exterior in good repair, including damage to the interior
caused by roof leaks and/or interior and exterior wall leaks.
c. Utilities. County shall repair and maintain the electrical, lighting, water and
plumbing systems in good order, condition and repair. County shall correct routine
plumbing stoppages.
d. HVAC. County shall maintain and repair the heating, ventilating, and air-
conditioning (HVAC) systems.
e. Parking; Exterior Lighting; Landscaping. County shall maintain the parking lot and
exterior lighting system in good order, condition and repair. County shall maintain
the landscaping and the sprinkler systems.
f. Fire Extinguishers. County shall provide and install, at the direction of the Fire
Marshall, the necessary number of A-B-C fire extinguishers for the Premises. County
shall maintain, repair, and replace the fire extinguishers in accordance with applicable
County, City, State, and Federal laws.
g. Building Code. County shall correct any code violations that may exist in the
Premises.
8.Quiet Enjoyment. Provided County is in compliance with the material terms of this lease,
Lessor shall warrant and defend County in the quiet enjoyment and possession of the
Premises during the Term.
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9.Assignment and Sublease. County has the right to assign this lease or sublease the
Premises or any part thereof at any time during the Term, subject to the written approval
of Lessor.
10.Alterations; Fixtures and Signs. County may (i) make any lawful and proper minor
alterations to the Premises and (ii) attach fixtures and signs (“Attachments”) in or upon
the Premises. Any Attachments will remain the property of County and may be removed
from the Premises by County at any time during the Term. County is responsible for the
cost of all alterations and Attachments. All alterations and Attachments are subject to
Lessor’s approval and must comply with existing code requirements.
11.Insurance.
a. Liability Insurance. Throughout the Term, County shall maintain in full force and
effect, at its sole expense, a general self-insurance program covering bodily injury
(including death), personal injury, and property damage, including loss of use.
County shall provide Lessor with a letter of self-insurance affirming the existence of
the aforementioned self-insurance program.
b. Self-Insurance Exclusion. County’s self-insurance does not provide coverage for (i)
areas to be maintained by Lessor under this lease, or (ii) negligence, willful
misconduct, or other intentional act, error or omission of Lessor, its officers, agents,
or employees.
12.Surrender of Premises. On the last day of the Term, or sooner termination of this lease,
County shall peaceably and quietly leave and surrender to Lessor the Premises, along
with their appurtenances and fixtures (except Attachments), all in good condition,
ordinary wear and tear, damage by casualty, condemnation, act of God and Lessor’s
failure to make repairs required of Lessor excepted. County is not responsible for
painting the Premises upon the expiration or earlier termination of this lease.
13.Waste, Nuisance. County may not commit, or suffer to be committed, any waste upon
the Premises, or any nuisance or other act or thing that may disturb the quiet enjoyment
of any other occupant of the Building.
14.Inspection. Lessor, or its proper representative or contractor, may enter the Premises by
prior appointment between the hours of 9:00 a.m. and 4:30 p.m., Monday through Friday,
holidays excepted, to determine that (i) the Premises is being reasonably cared for, (ii) no
waste is being made and that all actions affecting the Premises are done in the manner
best calculated to preserve the Premises, and (iii) County is in compliance with the terms
and conditions of this lease.
15.Perilous Conditions. If the County’s Director of Public Works becomes aware of a
perilous condition on the Premises that, in his or her opinion, substantially and
significantly threatens the health and safety of County employees and/or invitees (a
“Perilous Condition”), the Director of Public Works, or his or her designee, will
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immediately notify Lessor of such Perilous Condition and Lessor shall use best efforts to
immediately eliminate the Perilous Condition.
Lessor shall immediately address any condition reasonably constituting an emergency,
whether Lessor learns of the condition through County or otherwise.
16.Destruction. If damage occurs that causes a partial destruction of the Premises during the
Term from any cause and repairs can be made within sixty days from the date of the
damage under the applicable laws and regulations of governmental authorities, Lessor
shall repair the damage promptly. Such partial destruction will not void this lease, except
that County will be entitled to a proportionate reduction in Rent while such repairs are
being made. The proportionate reduction in Rent will be calculated by multiplying Rent
by a fraction, the numerator of which is the number of square feet that are unusable by
County and the denominator of which is the total number of square feet in the Premises.
If repairs cannot be made in sixty (60) days, County will have the option to terminate the
lease or request that Lessor make the repairs within a reasonable time, in which case,
Lessor will make the repairs and Rent will be proportionately reduced as provided in the
previous paragraph.
This lease will terminate in the event of a total destruction of the Building or the
Premises.
17.Hazardous Material. Lessor warrants to County that Lessor does not have any knowledge
of the presence of Hazardous Material (as defined below) or contamination of the
Building or Premises in violation of environmental laws. Lessor shall defend, save,
protect and hold County harmless from any loss arising out of the presence of any
Hazardous Material on the Premises that was not brought to the Premises by or at the
request of County, its agents, contractors, invitees or employees. Lessor acknowledges
and agrees that County has no obligation to clean up or remediate, or contribute to the
cost of clean up or remediation, of any Hazardous Material unless such Hazardous
Material is released, discharged or spilled on or about the Premises by County or any of
its agents, employees, contractors, invitees or other representatives. The obligations of
this Section shall survive the expiration or earlier termination of this lease.
“Hazardous Material”means any substance, material or waste, including lead based
paint, asbestos and petroleum (including crude oil or any fraction thereof), that is or
becomes designated as a hazardous substance, hazardous waste, hazardous material, toxic
substance, or toxic material under any federal, state or local law, regulation, or ordinance.
18.Indemnification.
a. County. County shall defend, indemnify and hold Lessor harmless from County’s
share of any and all claims, costs and liability for any damage, injury or death of or to
any person or the property of any person, including attorneys’ fees, caused by the
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willful misconduct or the negligent acts, errors, or omissions of County, its officers,
agents or employees in using the Premises pursuant to this lease, or the County’s
performance under this lease, except to the extent caused or contributed to by (i) the
structural, mechanical, or other failure of buildings owned or maintained by Lessor,
and/or (ii) the negligent acts, errors, or omissions of Lessor, its officers, agents, or
employees.
b. Lessor. Lessor shall defend, indemnify and hold County harmless from Lessor’s
share of any and all claims, costs and liability for any damage, injury or death of or to
any person or the property of any person, including attorneys’ fees, caused by the
willful misconduct or the negligent acts, errors or omissions of Lessor, its officers,
agents, employees, with respect to the Premises, or Lessor’s performance under this
lease, or the Lessor’s performance, delivery or supervision of services at the
Premises, or by the structural, mechanical or other failure of buildings owned or
maintained by Lessor, except to the extent caused or contributed to by the negligent
acts, errors, or omissions of County, its officers, agents, or employees.
19.Default.
The occurrence of any of the following events is a default under this lease:
a. County.
i. County’s failure to pay Rent within ten business days after receipt of a written
notice of failure (a “Notice”) from Lessor to County; provided, however, that
County will have additional time if its failure to pay Rent is due to
circumstances beyond its reasonable control, including, without limitation,
failure of the County’s Board of Supervisors to adopt a budget. In no event
may such additional time exceed seventy-five days from receipt of a Notice.
ii. County’s failure to comply with any other material term or provision of this
lease if such failure is not remedied within thirty days after receipt of a Notice
from Lessor to County specifying the nature of the breach in reasonably
sufficient detail; provided, however, if such default cannot reasonably be
remedied within such thirty day period, then a default will not be deemed to
occur until the occurrence of County’s failure to comply within the period of
time that may be reasonably required to remedy the default, up to an aggregate
of ninety days, provided County commences curing such default within thirty
days and thereafter diligently proceeds to cure such default.
b. Lessor. Lessor’s failure to perform any obligation under this lease if such failure is
not remedied within thirty days after receipt of a Notice from County to Lessor
specifying the nature of the breach in reasonably sufficient detail; provided, however,
if such breach cannot reasonably be remedied within such thirty day period, then a
default will not be deemed to occur until the occurrence of Lessor’s failure to perform
within the period of time that may be reasonably required to remedy the breach, up to
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an aggregate of ninety days, provided Lessor commences curing such breach within
thirty days and thereafter diligently proceeds to cure such breach.
20.Remedies.
a. Lessor. Upon the occurrence of a default by County, Lessor may, after giving County
written notice of the default, and in accordance with due process of law, reenter and
repossess the Premises and remove all persons and property from the Premises.
b. County. Upon the occurrence of a default by Lessor, County may (i) terminate this
lease by giving written notice to Lessor and quit the Premises without further cost or
obligation to County or (ii) proceed to repair or correct the failure and, at County’s
option, either deduct the cost thereof from Rent due to Lessor, or invoice Lessor for
the cost of repair, which invoice Lessor shall pay promptly upon receipt.
21.Notices. Any notice required or permitted under this lease shall be in writing and sent by
facsimile with written transmission confirmation, overnight delivery service or registered
or certified mail, postage prepaid and directed as follows:
To Lessor:The Housing Authority of the County of Contra Costa
3133 Estudillo Street
Martinez, CA 94553
Facsimile: (925) 372-3678
To County:Real Estate Manager
Contra Costa County
Public Works Department
255 Glacier Drive
Martinez, CA 94553
Facsimile: (925) 646-0288
Either party may at any time designate in writing a substitute address for that set forth
above and thereafter notices are to be directed to such substituted address. If sent in
accordance with this Section, all notices will be deemed effective (i) upon confirmed
facsimile transmission, (ii) the next business day, if sent by overnight courier and (iii)
three days after being deposited in the United States Postal system.
22.Successors and Assigns. This lease binds and inures to the benefit of the heirs,
successors, and assigns of the parties hereto.
23.Holding Over. Any holding over after the Term of this lease is a tenancy from month to
month that is subject to the terms of this lease.
24.Time is of the Essence. In fulfilling all terms and conditions of this lease, time is of the
essence.
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25.Governing Law. The laws of the State of California govern all matters arising out of this
lease.
26.Severability. In the event that any provision herein contained is held to be invalid or
unenforceable in any respect, the validity and enforceability of the remaining provisions
of this lease will not in any way be affected or impaired.
27.Entire Agreement; Construction; Modification. Neither party has relied on any promise
or representation not contained in this lease. All previous conversations, negotiations,
and understandings are of no further force or effect. This lease is not to be construed as if
it had been prepared by one of the parties, but rather as if both parties have prepared it.
This lease may be modified only by a writing signed by both parties.
[Remainder of Page Intentionally Left Blank]
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The parties are executing this lease on the date set forth in the introductory paragraph.
COUNTY OF CONTRA COSTA, a THE HOUSING AUTHORITY OF THE
political subdivision of the State of COUNTY OF CONTRA COSTA, a public
California agency
By:_______________________By:_______________________
Julia R. Bueren Joseph Villarreal
Director of Public Works Executive Director
RECOMMENDED FOR APPROVAL:
By:_______________________
Karen Laws
Principal Real Property Agent
By:_______________________
Dave Silva
Senior Real Property Agent
APPROVED AS TO FORM
SHARON L. ANDERSON, County Counsel
By:_______________________
Kathleen M. Andrus
Deputy County Counsel