Loading...
HomeMy WebLinkAboutCC Resolution 8342 (Portable Classroom)RESOLUTION NO. 8342 A RESOLUTION AUTHORIZING THE SIGNING OF A CONTRACT, LEASE OR AGREEMENT THE CITY COUNCIL OF THE CITY OF SAN RAFAEL RESOLVES as follows: The MAYOR and CITY CLERK are authorized to execute, on behalf of the City of San Rafael a contract, lease or agreement with Doupnik Manufacturing, Inc. for the Lease/Purchase of a portable classroon for the Glenwood School, including Addendum a copy of which is hereby attached and by this reference made a part hereof. I, JEANNE M. LEONCINI, Clerk of the City of San Rafael, hereby certify that the foregoing resolution was duly and regularly introduced and adopted at a Reqular meeting of the City Council of said City held on Tuesdav the 19th day of February , 1991 by the following vote, to wit: AYES: COUNCILMEMBERS: Boro, Shippey, Thayer & Mayor Mulryai NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: Breiner JE �. 1-240NI, CITY CLERK O'ff; ll��t saNz LEASE WITH OPTION TO PURCHASE #90-167 This LEASE WITH OPTION TO PURCHASE ("Lease") is dated as of February 19, 1991, and is by and between GARY DOUPNIK MANUFACTURING, INC. ("Lessor") and CITY OF SAN RAFAEL ("Lessee"). RECITALS: WHEREAS, the Lessee deems it essential to acquire the property described herein for its own public purposes; and WHEREAS, it is intended that this Lease be treated as a tax-exempt obligation of the Lessee for federal income tax purposes; and WHEREAS, the Lessee and Lessor agree to mutually cooperate now or hereafter, to the extent possible, in order to sustain the intent of this agreement and the bargain of both parties hereto. WITNESSETH: NOW, THEREFORE in consideration of the mutual covenants hereinafter set forth, the parties hereto agree as follows: 1. LEASE. Lessor hereby leases to Lessee, and Lessee hereby leases and hires from Lessor all property (hereinafter referred to as "Property") described in the schedule or schedules (hereinafter referred to collectively as "Schedule") executed by the parties concurrently herewith or hereafter and made a part hereof. 2. TERM. The term of this Lease respecting each item of Property commences and terminates as of the dates designated in the respective Schedule. 3. COVENANTS OF LESSEE: Lessee represents, covenants and warrants to Lessor that: (a) Lessee is a political subdivision of the State of California with the power and authority to enter into this Lease. (b) Lessee's governing body has duly authorized the execution and delivery of this Lease and further represents and warrants that all requirements have been met and procedures followed to ensure its enforceability. (c) The Property being leased is essential to the Lessee in the performance of its governmental functions and its estimated useful life in the Lessee's possession exceeds the term of the Lease. (d) Throughout the term of the Lease, the Property will be used for performing one or more governmental functions consistent with the permissible scope of Lessee's authority and will not be used in a trade or business of any person or entity other than the Lessee except for uses by community services organizations as prescribed in the Education Code. CO�Yi (e) Throughout the term of the Lease, Lessee will take such action as may be necessary to include Lease payment obligations in its annual budget and to make reasonable and diligent efforts to annually appropriate lawfully available revenues in an amount sufficient to make the annual Lease payments as they fall due. (f) Upon Lessor's written request, Lessee will provide Lessor with current financial statements, budgets and proof of appropriation for each fiscal year. (g) Lessee shall take necessary steps to comply with federal laws and regulations relative to preserving the tax-exempt status of this Lease including, but not limited to, the requirements set forth in Section 26 herein. 4. RENT. LESSEE SHALL PAY LESSOR RENT IN THE AMOUNTS AND AT THE TIMES SET FORTH IN THE SCHEDULE, AT THE OFFICE OF LESSOR OR TO SUCH OTHER PERSON OR AT SUCH OTHER PLACE AS LESSOR MAY FROM TIME TO TIME DESIGNATE IN WRITING. An invoice confirming the amount of rent due, the payment date and the address of the payee shall be mailed to the Lessee forty-five (45) days in advance of each rental due date. Subject to the section of this agreement entitled "EARLY TERMINATION", the obligation to pay rent will be absolute and unconditional in all events, and will not be subject to set-off, defense, abatement, reduction, counterclaim, or recoupment for any reason whatsoever. Should Lessee fail to pay any part of the rent herein reserved within fifteen (15) days from the due date thereof, Lessee shall be in default hereunder, and upon Lessor's written request, Lessee shall pay interest on such delinquent payment from the date said payment was due until paid at the legal rate of twelve percent (12%) per annum or the maximum legal rate, whatever is less. Lessee shall pay rent exclusively from legally available funds, in lawful money of the United States of America to Lessor or, in the event of assignments by Lessor, to its assignee. The obligation of Lessee to pay rent hereunder shall constitute a current expense of Lessee and shall not in any way be construed to be a debt of Lessee in contravention of any applicable constitutional or statutory limitations or requirements concerning the creation of indebtedness by Lessee, nor shall anything contained herein constitute a pledge of the general tax revenues, funds or monies of Lessee. 5. USE. Lessee shall use the Property in a careful and proper manner and shall comply with and conform to all national, state, municipal, police, and other laws, ordinances, and regulations in anyway relating to the possession, use, or maintenance of the Property. If, at any time during the term hereof, Lessor supplies Lessee with labels, plates, or other markings stating that the Property is owned by Lessor, Lessee shall affix and keep the same upon a prominent place on the Property. 6. ACCEPTANCE. Lessee shall acknowledge receipt and inspection of the Property by executing a Certificate of Acceptance. 7. LESSOR'S INSPECTION. Upon forty-eight hours prior written notice, Lessor shall at any and all times during normal business hours have the right to enter into and upon the premises where the Property is located for the purpose of inspecting the same or observing its E use. Lessee shall give Lessor immediate notice of any attachment or other judicial process affecting any item of Property. 8. ALTERATIONS AND ATTACHMENTS. All additions and improvements that are made to the Property shall belong to and become the property of the Lessor except that separately identifiable attachments added to the Property by the Lessee may remain the property of the Lessee as long as (i) the attachment is paid for in full by the Lessee and (ii) the Lessee agrees to remove the attachment and restore the Property to its original condition if and when the Property may be returned to the Lessor. 9. RELOCATION. Lessee shall not relocate the Property without the prior written consent of the Lessor which will not be unreasonably withheld. The Lessee assumes all risks of loss to the Property attendant to its movement and relocation. The location of the Property shall at all times during the term of the Lease be subject to the full control of the Lessee for its governmental purpose. 10. REPAIRS. Lessee, at its own cost and expense, shall furnish all labor and materials to maintain the Property in good repair, condition, and working order. Lessee's obligation to maintain the Property does not relieve the Supplier of its responsibility to fully perform with respect to all applicable Property warranties and guarantees. 11. LOSS AND DAMAGE. Lessee hereby assumes and shall bear the entire risk of loss and damage to the Property from any and every cause whatsoever. No loss or damage to the Property or any part thereof shall impair any obligation of Lessee under this Lease which shall continue in full force and effect. 12. INSURANCE. Lessee shall keep the Property insured against all insurable risks of loss or damage from every cause whatsoever for not less than the full replacement value thereof as determined by Lessor, and Lessee shall carry public liability and property damage insurance covering the Property. All said insurance shall be in form and amount and with companies approved by Lessor and shall name Lessor as an additional insured. Lessee shall pay the premiums therefore and deliver certification of said policies to Lessor. Each insurer shall agree, by endorsement upon the policy or policies issued by it or by independent instrument furnished to Lessor, that it will give Lessor thirty (30) days' written notice before the policy or policies shall be altered or canceled. The proceeds of such insurance, at the option of Lessee, shall be applied: (a) toward the replacement, restoration, or repair of the Property, or (b) toward payment of the total remaining obligations of Lessee hereunder. Should Lessee replace, restore, or repair the Property as set out in option (a) above, this Lease shall continue in full force and effect. Subject to prior written consent of Lessor, Lessee may self -insure up to specified limits as evidenced by a rider of self insurance to be attached hereto. 13. TAXES. Lessee shall keep the Property free and clear of all levies, liens, and encumbrances and shall promptly pay all fees, assessments, charges, and taxes (municipal, state and federal) which may now or hereafter be imposed upon the ownership, leasing, renting, 3 sale, possession, o. use of the Property, a luding, however, all taxes on or measured by Lessor's income. 14. INDEMNITY. To the extent the law allows, Lessee shall indemnify Lessor against and hold Lessor harmless from any and all claims, actions, suits, proceedings, costs, expenses, damages, and liabilities, including attorneys' fees, arising out of, connected with or resulting from the Property, including without limitation, the selection, possession, use, operation, or return of the Property. With respect to the Lessor but not its assigns this indemnity shall not apply as to any design, manufacturing or construction defect. 15. DEFAULT. Should Lessee fail to pay any part of the rent herein reserved or any other sum required by Lessor to be paid by Lessee within fifteen (15) days of the due date thereof or fails in the performance of other terms and conditions hereof, Lessee shall be declared in default of this Lease, and all Lessee's rights will terminate and Lessor will become entitled to possession of the Property, to retain all rentals previously paid and to recover all past due payments together with interest thereon. In the event of a default by the Lessee of a payment due hereunder, the Lessor shall give ten (10) days written notice of intention to terminate this Lease. Lessee shall be relieved of the default if Lessee complies with all terms of this Lease within said ten (10) day period including the remittance to Lessor of all past due payments together with interest thereon at the legal rate of twelve percent (12%) per annum or the maximum legal rate, whichever is less. ib. CONCURRENT REMEDIES. No right or remedy herein conferred upon or reserved to Lessor is exclusive of any other right or remedy herein, but each shall be cumulative of every other right or remedy given hereunder or now or hereafter existing at law or in equity or by statute or otherwise, and may be enforced concurrently therewith or from time to time; provided, however, that notwithstanding any provisions to the contrary herein, the Lessor shall not under any circumstances have the right to accelerate the rental payments that fall due in future rental periods or otherwise declare any rental payments not then in default to be immediately due and payable. 17. ASSIGNMENT. Without the prior written Consent of Lessor, Lessee shall not (a) assign, transfer, pledge, or hypothecate this Lease, the Property, or any part thereof, or any interest therein, or (b) sublet or lend the Property or any part thereof, or permit the Property or any part thereof to be used by anyone other than Lessee or Lessee's employees. Consent to any of the foregoing prohibited acts applies only in the given instance and is not a consent to any subsequent like act by Lessee or any other person. Lessor shall not assign its obligations under this Lease with the exception of its obligation to issue default notices and to convey the property title to the Lessee upon full satisfaction of the Lessee's obligations hereunder. Lessor may assign its right, title and interest in this Lease, the rentals and other amounts due hereunder and the Property in whole or in part to one or more assignees or subassigneea at any time, without the consent of Lessee. Lessor or its assignee may also assign all of its rights, title and interest in and to this Lease, the rental payments and other amounts due hereunder to an agent on behalf of owners of certificates of participation which may be issued by such agent in this Lease. CITY shall cooperate with Lessor or its assignee either now or hereafter by acknowledging any agreement 4 relating thereto which in no way will alter or affect the terms and conditions of this Lease and the assignment of the Lease by •LESSOR. No such assignment shall be effective as against Lessee unless and until the Lessor shall have filed with Lessee a copy thereof. Lessee shall pay all rentals due hereunder to or at the direction of Lessor or the assignee named in the most recent assignment or notice of assignment filed with Lessee. During the Lease term, Lessee shall keep a complete and accurate record of all such assignments. Subject always to the foregoing, this Lease inures to the benefit of, and is binding upon, the heirs, legatees, personal representatives, successors, and assigns of the parties hereto. 18. OWNERSHIP. The Property is and shall at all times be and remain the sole and exclusive property of Lessor, and the Lessee shall have no right, title, or interest therein or thereto except as expressly set forth in Section 20 hereunder. 19. PERSONAL PROPERTY. The Property is and shall at all times be and remain personal property notwithstanding that the Property or any part thereof may now be or hereafter become in any manner affixed or attached to or imbedded in, or permanently resting upon, real property or any building thereon, or attached in any manner to what is permanent as by means of cement, plaster, nails, bolts, screws or otherwise. 20. NON -WAIVER. No covenant or condition of this Lease can be waived except by the written consent of Lessor. Forbearance or indulgence by Lessor in any regard whatsoever shall not constitute a waiver of the covenant or condition in question. Until complete performance by Lessee of said covenant or condition, Lessor shall be entitled to invoke any remedy available to Lessor under this Lease or by law or in equity despite said forbearance or indulgence. 21. PURCHASE OPTION. If Lessee is not in default hereunder, Lessee shall be granted options to purchase not less than all the Property in as -is condition on the dates and for the amounts set forth on the Schedule by depositing with Lessor on the date of exercise an amount equal to all rentals and other amounts then due or past due (excluding only the rental due on the date of exercise) and the applicable purchase option price. The scheduled purchase option prices are exclusive of any applicable sales tax. 22. EARLY TERMINATION. Upon written notice to Lessor given not later than thirty (30) days prior to the end of any fiscal year of Lessee, Lessee may terminate the Lease in its entirety as of the end of that fiscal year based solely upon the Lessee's failure to appropriate funds for the subsequent years' rental payment(s) after exercising its reasonable efforts to appropriate funds from any and all of its legally available sources. Upon termination before the full term of the Lease, Lessee, at its expense, shall redeliver the Property to the Lessor at a location designated by Lessor within the same county as the premises where the Property is located in as good a condition as when received, normal wear and tear excepted. If Lessee terminates the Lease, Lessor may retain all amounts previously paid by Lessee and may collect and retain any amounts due and unpaid as of the date of such termination. 23. EXTRAORDINARY COSTS. In the case of litigation, the prevailing party shall be entitled to recover from the opposing party all costs and expenses, including attorneys' fees, incurred by the prevailing party in exercising any of its rights or remedies hereunder or enforcing any of the terms, conditions, or provisions hereof. 24. ENTIRE AGREEMENT. This Lease, the Schedule, and any agreements that specifically refer to this Lease that are duly executed by authorized agents of the parties hereto constitute the entire agreement between Lessor and Lessee, and it shall not be amended, altered, or changed except by a written agreement that is properly authorized and executed by the parties hereto. 25. NOTICES. Service of sufficient if given personally respective address hereinafter party may provide in writing mailed to such address shall be States mail, duly addressed and all notices under this Lease shall be or mailed to the party involved at its set forth or at such address as such from time to time. Any such notice effective when deposited in the United with postage prepaid. 26. REPORTS/TAX COVENANTS. Lessee shall cooperate with Lessor to comply with any and all reporting requirements that may be mandated by agencies of the United States of America or the State of California, including the timely filing of IRS Form #8038-G or #8038 - GC. Lessee covenants that it will not sublease the Property or assign the Lease in a manner that may result in the loss of federal tax exemption on the interest income portion of each rental payment. 27. TITLES. The titles to the paragraphs of this Lease are solely for the convenience of the parties and are not an aid in the interpretation thereof. 28. TIME. Time is of the essence in this Lease and each and all of its provisions. 29. LEASE INTERPRETATION. This Lease and the rights of the parties hereunder shall be determined in accordance with the laws of the State of California. IN WITNESS WHEREOF, the parties hereto have caused their authorized agents to execute this Lease on the dates specified below. GARY DOUPNIK MANUFACTURING, INC. 3237 Rippey Road Loomis, CA 95650 (Lessor) "y 5k, Title Date CITY OF SAN RAFAEL 1400 Fifth Avenue San Rafael, CA 94915-0060 (Lessee) S . a4a-'-� LAWRENCE E. MULRYAN Title Mayor Date All -TIC? I ATTEST: y A NE M. *LENCINI 6 City Clerk ADDENDUM TO LEASE WITH OPTION TO PURCHASE #90-167 30. ARBITRATION. The parties agree to submit any claims arising under Lease With Option to Purchase #90-167 to binding arbitration pursuant to the current provisions of the California Code of Civil Procedure and any successor statutes. Lease With Option to Purchase #90-167 shall be effective upon the execution of this addendum by both parties hereto. GARY DOUPNIK MANUFACTURING, INC. 3237 Rippey Road Loomis, CA 95650 (Lessor) BY: M ,� ` ,I .k Title: C'Tn�'-, l -,' CITY OF SAN RAFAEL 1400 Fifth Avenue San Rafael, CA 94915-1560 (Lessee) LAWRENCE E. MULKYHN Title: Mayor Date: 3 Date: a//g� 9 / ATTEST: 1z . JAS 1Gf M. LEONCI1, City Clerk LEASE SCHEDULE #90-167 This Schedule is issued pursuant to the Lease with Option to Purchase dated as of November 1, 1990 by and between the undersigned. A. Property Location: Glenwood School 25 West Castlewood Drive San Rafael, CA 94915 B. Property Description: One (1) 24' x 40' relocatable child care building C. Name and Address of Supplier(s): GARY DOUPNIK MANUFACTURING, INC. 3237 Rippey Road Loomis, CA 95650 D. Property Cost Summary: Property Cost: $30,000.00 Sales Tax: INCLUDED TOTAL COST: $30,000.00 E. Lease Term. The term of this Schedule is for a period of thirty- six (36) months and commences on the date the Lessee acknowledges acceptance of the Property and concludes thirty-six (36) months thereafter. F. Payments of Rent. The lease rentals for this Schedule are due in three (3) consecutive annual in arrears payments in accordance with the Payment Schedule, Section G herein. Each payment includes interest at the rate of 8.95% per annum on the unpaid principal balance. G. Payment Schedule: Payable annually in arrears. 8.95% ------------------------------------------------------------------------ PMT Due Date Rent Purchase To To # Option Principal Interest ------------------------------------------------------------------------ 1 $11,842.00 $33,936 $9,157.00 $2,685.00 2 $11,842.00 $23,360 $9,976.55 $1,865.45 3 $11,842.00 $11,843 $10,866.45 $975.55 $1 ------------------------------------------------------------------------ TOTALS: $35,526.00 ------------------------------------------------------------------------ $30,000.00 $5,526.00 H. Purchase Option. be made in lieu Purchase Options Property in "as ments. Upon the scheduled lease the transfer of encumbrances or The Purchase Option payments scheduled above are to of making the scheduled lease payment on a like date. are granted to purchase not less than all of the is" condition in consideration of the specified pay - exercise of a Purchase Option or the making of all payments, a bill of sale will be tendered evidencing title to the Property free and clear of any liens, security interest. Approved and agreed to: GARY DOUPNIK MANUFACTURING, INC. (Lessor) BY -k Title �\-C� Date CITY OF SAN RAFAEL (Lessee) B �. LAWRENCE E. MULR AN Title Mayor Date ATTEST: , JE l� . LEONCII, City Clerk ASSIGNMENT AND WARRANTY OF TITLE #90-167 FOR VALUE RECEIVED, the undersigned Assignor without recourse does hereby sell, assign, and transfer to STEWART M. KRAKOVER & GRACE W. KRAKOVER TRUSTEE'S KRAKOVER FAMILY TRUST DTD 09-09-87 (hereinafter referred to as "Assignee"), and its successors and assigns (i) all of its right, title and interest in and to the attached Lease with Option to Purchase dated November 1, 1990 between the undersigned as Lessor and CITY OF SAN RAFAEL as Lessee (hereinafter said lease and any supplements, amendments, additions thereof and any extension or renewals thereof is referred to as the "Lease"), (ii) all monies, sums and amounts now due or hereinafter to become due under the Lease, and (iii) all right, title and interest of Assignor in and to each item of property described in the Lease. Assignor represents and warrants that Assignor has good title to the Lease and each item of property described therein; that Assignor has made no sale or assignment except to Assignee of any interest covered hereby, and said interest is free from liens or encumbrances; that the Lease is genuine and in all respects is what it purports to be; that the Lessee had full authority to enter into the Lease; that the property described in the Lease has been delivered into the possession of the Lessee; that Assignee shall not be liable for and does not assume responsibility for the performance of any of the covenants, agreements, or obligations specified in the Lease to be kept, paid or performed by Assignor with the exception of Assignee's obligation to issue notice upon Lessee's default of the Lease and to convey title upon Lessee's exercise of the option to purchase subject to the terms of the Lease. The Assignor further represents and warrants that as of the date this assignment is made, the Lease is in full force and effect and the Lessee is not in default of any terms thereunder. In particular, Assignee assumes no obligation or responsibility for maintenance of the equipment, contractor's or manufacturer's warranties, provision for training or materials, or any other obligations of manufacturer or of Assignor arising under the Lease (with exception of those stipulated above) and Assignor will keep and perform all such covenants, agreements and obligations to the same extent as though this Assignment and Warranty of Title had not been made. In the event of the breach of any representation or warranty herein contained, Assignor will upon receipt from Assignee of written demand that it do so, repurchase the lease from Assignee or its assigns for cash in an amount equal to all unpaid rentals due and to become due thereunder, plus any expenses of disbursements incurred by Assignee in connection therewith less that portion of the rentals representing unearned interest at the lease rate from the date of payment to the end of the Lease. Assignor hereby constitutes and irrevocably appoints Assignee the true and lawful attorney of Assignor to demand, receive and endorse payments and to give receipts, releases and satisfactions either in the name of Assignee or in the name of Assignor in the same manner and with the same effect as Assignor could do if this Assignment and Warranty of Title had not been made. Assignor hereby warrants that all applicable sales and/or use tax has been or will be paid by the Assignor to the appropriate authorities. Assignor hereby authorizes and directs said Lessee to make payment direct and solely to Assignee on written notice from Assignee to do so. IN WITNESS WHEREOF, the Assignor has caused this Assignment and Warranty of Title to be executed by its authorized agent on the date specified below. GARY DOUPNIK MANUFACTURING, INC. (Assignor) By Title Date NOTICE OF ASSIGNMENT #90-167 GARY DOUPNIK MANUFACTURING, INC. (the "Assignor") hereby gives notice to CITY OF SAN RAFAEL of an assignment by Assignor over to STEWART M. KRAKOVER & GRACE W. KRAKOVER TRUSTEE'S KRAKOVER FAMILY TRUST DTD 09- 09-87, (the "Assignee") in which Assignor assigns to Assignee all of its rights in and to the rental payments and other amounts due or coming due from CITY OF SAN RAFAEL under that certain Lease with Option to Purchase dated as of November 1, 1990 (the "Lease"). Assignor hereby instructs CITY OF SAN RAFAEL that all rental payments coming due pursuant to Schedule #90-167 of the Lease commencing with the first scheduled rental payment are to be made payable and remitted to STEWART M. KRAKOVER & GRACE W. KRAKOVER TRUSTEE'S KRAKOVER FAMILY TRUST DTD 09-09-87, 810 N. Crescent Drive, Beverly Hills, CA 90210. GARY DOUPNIK MANUFACTURING, INC. (ASSIGNOR) By - ' Y-1 Title CITZ� Date ACKNOWLEDGMENT OF ASSIGNMENT CITY OF SAN RAFAEL hereby acknowledges receipt of the Notice of Assignment by GARY DOUPNIK MANUFACTURING, INC. assigning over to STEWART M. KRAKOVER & GRACE W. KRAKOVER TRUSTEE'S KRAKOVER FAMILY TRUST DTD 09-09-87 all rental payments coming due from CITY OF SAN RAFAEL pursuant to Schedule #90-167 of that certain Lease with Option to Purchase dated November 1, 1990 commencing with the first scheduled rental payment. The undersigned further acknowledges the receipt of a copy of the assignment agreement for its records. CIT =AEL ByL...� J Title Date 0 /I 9/ 9/ r r ATTEST: JEANM Nk. LEONCIN , City Clerk CERTIFICATE OF ACCEPTANCE #90-167 This Certificate of Acceptance is issued pursuant to the Lease with Option to Purchase dated as of November 1, 1990 ("Lease") between the undersigned as Lessee and GARY DOUPNIK MANUFACTURING, INC. as Lessor. Lessee hereby acknowledges as of the date specified below, the constructive receipt and acceptance of the Property described on Lease Schedule #90-167. If applicable, specific Property identification or serial numbers are given below or attached hereto. Lessee hereby certifies that the Property has been inspected, is now in Lessee's possession and is in good order and repair (subject to any undischarged vendor/contractor warranty obligations). Lessee further certifies that no event has occurred and is continuing which constitutes, or would constitute, an event of default but for any requirement of notice or lapse of time or both. Property Acceptance Date: Mav 22 , 1991 , which shall be the commencement date of Lease Schedule #90-167. Identification/Serial numbers: IN WITNESS WHEREOF, the Lessee's authorized agent confirms the Property acceptance date specified above by executing this Certificate of Acceptance. CITY OF SAN RAFAEL Lessee) By LAWRENCE E. Title N!��nr ATTEST: -a (authorized agent) MTILRYAN JEAN LEONCINI,\City Clerk