HomeMy WebLinkAbout4446 Resolution - Boys Girls Club Facility Lease Agr
Resolution - Boys & Girls Club Lease Agreement - 1
RESOLUTION NO. 4446
A RESOLUTION OF THE CITY OF PASCO, WASHINGTON,
AUTHORIZING THE CITY MANAGER TO EXECUTE A LEASE
AGREEMENT WITH THE BOYS & GIRLS CLUBS OF BENTON &
FRANKLIN COUNTIES FOR THE BUILDING LOCATED AT 801 N 18TH
AVE., PASCO, WA.
WHEREAS, the City of Pasco (City) is duly authorized to deliver recreational programs
tailored to the residents of Pasco, particularly focusing on youth-oriented programs; and
WHEREAS, the City has leased City property located at the Old Emerson School (801 N.
18th Ave.) with the Boys & Girls Clubs of Benton & Franklin Counties since 1999; and
WHEREAS, the Lease expired December 31, 2019, and the Boys & Girls Club has been
paying rent on a monthly basis; and
WHEREAS, both parties hereby express their mutual intent to engage in a Lease
Agreement, enabling the Lessee's continued occupancy of the Premises; and
WHEREAS, the City Council of the City of Pasco, Washington, has after due
consideration, determined that it is in the best interest of the City of Pasco to enter into a Lease
Agreement with the Boys and Girls Clubs of Benton & Franklin Counties.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF PASCO, WASHINGTON:
That the City Council of the City of Pasco approves the terms and conditions of the Lease
Agreement between the City of Pasco and the Boys & Girls Clubs of Benton & Franklin Counties
as attached hereto and incorporated herein as Exhibit A.
Be It Further Resolved, that the City Manager of the City of Pasco, Washington, is hereby
authorized, empowered, and directed to execute said Lease Agreement on behalf of the City of
Pasco; and to make minor substantive changes as necessary to execute the Lease Agreement.
Be It Further Resolved, that this Resolution shall take effect immediately.
Resolution - Boys & Girls Club Lease Agreement - 2
PASSED by the City Council of the City of Pasco, Washington, on this 6th day of May,
2024.
_____________________________
Pete Serrano
Mayor
ATTEST: APPROVED AS TO FORM:
_____________________________ ___________________________
Debra Barham, CMC Kerr Ferguson Law, PLLC
City Clerk City Attorneys
Lease Agreement
Boys & Girls Club
Page 1 of 8
LEASE AGREEMENT
BOYS & GIRLS CLUB
OF BENTON & FRANKLIN COUNTIES
THIS LEASE AGREEMENT is effective _________________, by and between the City of
Pasco, Washington, a Municipal Corporation, hereinafter referred to as “City ", and the Boys and
Girls Club of Benton & Franklin Counties, hereinafter referred to as "Lessee" and collectively the
" Parties."
WHEREAS, the City is duly authorized to deliver recreational programs tailored to the
residents of Pasco, particularly focusing on youth-oriented programs.
WHEREAS, the City has been in a lease agreement with the Lessee for the utilization of
the Old Emerson School, now known as the Boys and Girls Club Building, since 1999, for the
sole purpose of facilitating these services.
WHEREAS, the previous lease has reached its expiration and necessitates a
comprehensive reassessment and subsequent updates.
IN CONSIDERATION of the mutual covenants herein set out, the Parties agree as
follows:
1.Description of Premises. The City hereby leases to Lessee approximately 21,388 square
feet of space, as shown on the attached Exhibit "A", at the Boys and Girls Club Building
which is located at 801 N 18th Ave, Pasco, Washington.
2.Term. Commence on the execution day and shall continue until such time as a lease has
been negotiated between the parties or, December 31, 2044, whichever shall first occur,
unless extended by written mutual agreement between the Parties.
3.Rent. The Lessee shall pay the City as rent for the premises, one dollar ($1.00) per month
plus leasehold excise tax as applied by DOR during the term of this lease agreement. Such
payment shall be rendered on or before the final day of each month throughout the term of
this lease agreement.
4.Leasehold Excise Tax Credit. The City will provide a monthly credit, equivalent to the
leasehold excise tax amount, for all improvements undertaken by the lessee on the facility
until full reimbursement to the lessee or termination of the agreement, whichever occurs
first. In the event of lease termination, Section 11 remains applicable.
EXHIBIT A
Lease Agreement
Boys & Girls Club
Page 2 of 8
5. Use. The Lessee shall use the premises only for the provision of recreational and
educational services and programs for youths; provided, however, that the Lessee may use
the premises for any other purpose with the City’s advance written consent.
6. Condition and Maintenance.
a. The Lessee has inspected the premises, is familiar with the present condition of the
premises and agrees to accept the premises in that condition at the commencement of
the term.
b. The Lessee shall at its own expense, provide adequate janitorial service for the premises,
which shall include keeping the premises in a clean condition, free of accumulations of
dirt, rubbish and unlawful obstructions.
c. The Lessee shall at its own expense, also keep in good condition and repair, the interior
of the premises, including electrical, heating and cooling systems, plumbing and all
entrance ways and sidewalks leading to the interior of the premises. To that end, the
Lessee shall at its own expense provide customary maintenance to the portions of the
premises as reasonably required under the circumstances and make any necessary major
repairs or replacement of systems (i.e., heating and cooling).
7. Surrender of Premises. On the termination date of the lease, the Lessee shall surrender
the premises to the City in the same condition as when received, excepting, however, damage
by the elements, ordinary wear and tear and additions or alterations made by the Lessee and
not required by the City to be removed by the Lessee.
8. Utilities. The Lessee shall pay for all water, gas, heat, light, power, telephone and other
utilities and services supplied to the premises for the benefit of the Lessee.
9. Taxes and Assessments.
a. The premises currently are exempt from general real estate taxes.
10. Access to Premises. Notwithstanding the Lessee's use and control of the premises, the
City and its agents and employees and independent contractors designated by the City, shall
have the right to enter in or upon the premises at any time during the time of the lease for
the purpose of inspecting or repairing the premises, provided, however, that in entering
upon the premises the person shall not unreasonably interfere with the Lessee's use of the
premises.
11. Alterations and Improvements.
a. The Lessee shall not be permitted to make alterations and additions to the premises
without the written approval of the City. Such approval shall not be unreasonably
withheld.
Lease Agreement
Boys & Girls Club
Page 3 of 8
b. The Lessee may remove any alteration or improvement, if it wishes upon termination of
the lease provided it restores the premises to substantially the same condition as it was
on the first day of the lease subject to damage by the elements and ordinary wear and
tear.
c. Any addition or improvement made to the premises by the Lessee and not removed shall
upon termination of the lease belong to and become property of the City. Nothing shall
be removed which will affect the structural integrity of the building.
d. Upon termination on the agreement, the City and lessee shall assess any improvements
made by the lessee to ascertain eligibility for reimbursement, accounting for depreciation
on the said improvements. The determination shall be formalized in writing and signed
by both parties.
12. Indemnity/Hold Harmless. Lessee shall defend, indemnify, and hold harmless the the
City, its officers, officials, employees and volunteers from and against any and all claims,
suits, actions, or liabilities for injury or death of any person, or for loss or damage to
property, which arises out of Lessee's use of premises, or from the conduct of Lessee's
business, or from any activity, work or thing done, permitted, or suffered by Lessee in or
about the premises, except only such injury or damage as shall have been occasioned by the
sole negligence of the City.
13. Insurance. The Lessee shall procure and maintain for the duration of the Agreement,
insurance against claims for injuries to persons or damage to property which may arise from
or in connection with the Lessee's operation and use of the leased premises.
a. Minimum Scope of Insurance. Lessee shall obtain insurance of the types described
below.
i. Commercial General Liability insurance shall be written on Insurance Services
Office (ISO) occurrence form CG 00 01 and shall cover premises and contractual
liability. The City shall be named as an insured on Lessee's Commercial General
Liability insurance policy using ISO Additional Insured-Managers or Lessors of
Premises Form CG 20 11 or a substitute endorsement providing equivalent
coverage.
ii. Property insurance shall be written on an all-risk basis.
b. Minimum Amounts of Insurance. Lessee shall maintain the following insurance limits:
i. Commercial General Liability insurance shall be written with limits no less than
$1,000,000 each occurrence, $2,000,000 general aggregate.
ii. Property insurance shall be written covering the full value of Lessee's property
and improvements with no coinsurance provisions.
Lease Agreement
Boys & Girls Club
Page 4 of 8
c. Other Insurance Provisions. The insurance policies are to contain, or be endorsed to
contain, the following provisions for Commercial General Liability insurance:
i. The Lessee's insurance coverage shall be primarily insurance as respects the City.
Any insurance, self-insurance, or insurance pool coverage maintained by the City
shall be excess of the Lessee's insurance and shall not contribute with it.
ii. The Lessee's insurance shall be endorsed to state that coverage shall not be
cancelled by either party, except after thirty (30) days prior written notice by
certified mail, return receipt requested, has been given to the City.
d. Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M.
Best rating of not less than A:VII.
e. Verification of Coverage. Lessee shall furnish the City with original certificates and a
copy of the mandatory endorsements, including but not necessarily limited to the
additional insured endorsement, evidencing the insurance requirements of the Lessee.
f. Waiver of Subrogation. Lessee and the City hereby release and discharge each other from
all claims, losses, and liabilities arising from or caused by any hazard covered by
property insurance on or in connection with the premises or said building. This release
shall apply only to the extent that such claim, loss or liability is covered by insurance.
g. City’s Property Insurance. The City shall purchase and maintain during the term of the
lease all-risk property insurance covering the buildings for their full replacement value
without any coinsurance provisions.
Lessee shall comply with all insurance regulations so that the lowest fire, lightening,
explosion, extended coverage, and liability insurance rates may be obtained. Nothing shall
be done or kept in or on the premises by Lessee which will cause an increase in the premium
for any such insurance of the premises or on any building of which the premises are a part or
on any contents located therein, over the rate usually obtained for the property use of the
premises permitted by this lease or which will cause cancellation of any such insurance.
In the event the Lessee's use of the premises is responsible for an increase in the insurance
rates on the building of which the premises are a part, then in such event, Lessee agrees to
pay any resulting increase in premiums on such building.
14. Damage to Property on Premises. Lessee agrees that all property of every kind and
description kept, stored, or placed in or on the premises shall be at Lessee's sole risk and
hazard and that the City shall not be responsible for any loss or damage to any of such
property resulting from fire, explosion, water, steam, gas, electricity, or the elements,
whether or not originating in the premises, caused by or from leaks or defects in or
breakdown of plumbing, piping, wiring, hearing, or any other facility, equipment, or fixtures
or any other cause or act except resulting from the gross negligence of the City or anyone for
whom the City may be responsible.
Lease Agreement
Boys & Girls Club
Page 5 of 8
15. Damage by Casualty. In case the leased premises shall be destroyed or shall be so
damaged by fire or other casualty, as to become untenantable, then in such event, at the
option of the City, this lease shall terminate from the date of such damage or destruction and
the Lessee shall immediately surrender such premises and all interest therein to the City,
and Lessee shall pay rent only to the time of such surrender. The City shall exercise such
option to terminate this lease by notice in writing delivered to Lessee within ten (10) days
after such damage or destruction. In case the City shall not elect to terminate this lease, in
such event, this lease shall continue in full force and effect and the City shall repair the
leased premises with all reasonable promptitude, placing the same in as good a condition as
they were at the time of the damage or abate in proportion to the extent and duration of
untenantability. In either event Lessee shall remove all rubbish, debris, merchandise,
furniture, equipment, and other personal property, within ten (10) days after the request of
the City. If the leased premises shall be only slightly injured by fire or the elements, so as not
to render the same untenantable and unfit by occupancy, then the City shall repair the same
within a reasonable time, and in that case the rent shall not abate. No compensation or claim
shall be made by or allowed to the Lessee by reason of any inconvenience or annoyance
arising from the necessity of repairing any portion of the building or the leased premises,
however, the necessity may occur.
16. Public Requirements. Lessee shall comply with all laws, orders, ordinances, and other
public requirements now or hereafter affecting the premises or the use thereof and save the
City harmless from expense or damage resulting from failure to do so. The leased premises
are not exempted from compliance with zoning or any other municipal codes or ordinances
nor from any other requirements of law due to title being in the name of the City.
17. Termination. This lease shall terminate per the terms described in section 2 unless
terminated as follows:
a. In the event the Lessee is dissolved for any reason, this lease shall automatically
terminate on the effective date of such dissolution.
b. The City shall have the right to terminate this lease upon written notice to the Lessee of
any breach of this agreement, provided that the Lessee has been provided with at least
three hundred and sixty-five (365) days in which to cure the alleged breach upon the
giving of written notice thereof by the City.
18. Assignment. The Lessee may not sub-let or assign its interest in this lease without the
consent of the City. This lease is personal to the Lessee.
19. Dispute Resolution. In the event of a dispute regarding the terms, interpretation or
breach of this Agreement, the parties shall first meet in a good faith to resolve the dispute. In
the event the dispute cannot be resolved by agreement of the parties either with or without
the assistance of mediation, said dispute shall be resolved by arbitration pursuant to RCW
7.04A, as amended, with both parties waiving the right of a jury trial upon trial de novo, with
Lease Agreement
Boys & Girls Club
Page 6 of 8
venue being placed in Pasco, Franklin County, Washington. The substantially prevailing
party shall be entitled to its reasonable attorney fees and costs as additional award and
judgment against the other.
20. Notices. Any notice hereunder shall be sufficient if sent by registered or certified
mail, addressed to Lessee and the City at the following:
Lessee
Boys & Girls Club of
Benton & Franklin Counties
PO Box 1322
Pasco, WA 99301
City
City of Pasco – City Manager’s Office
PO Box 293
Pasco, WA 99301
Receipt of any notice shall be deemed effective three (3) days after deposit of written notice in
the U.S. mail, with proper postage and properly addressed.
21. Integration. This Agreement between the parties consists in its entirety of this document
and any exhibits, schedules or attachments. Any modification of this Agreement or change
order affecting this Agreement shall be in writing and signed by both parties.
22. Authorization. By signature below, each party warrants that they are authorized and
empowered to execute this Agreement binding the City and the Lessee respectively.
IN WITNESS WHEREOF, the parties have hereunto set their hand as of the date first
written above.
CITY OF PASCO, WASHINGTON BOYS AND GIRLS CLUBS OF BENTON
& FRANKLIN COUNTIES
Adam Lincoln, City Manager Brian Ace, Director of Operations
APPROVED AS TO FORM:
Kerr Ferguson Law, PLLC, City Attorney
STATE OF WASHINGTON )
:ss
Lease Agreement
Boys & Girls Club
Page 7 of 8
County of Franklin )
On this day personally appeared before me ADAM LINCOLN, City Manager for
the City of Pasco, Washington, described in and who executed the within and foregoing
instrument, and acknowledged that he signed the same as his free and voluntary act and deed
for
the uses and purposes therein mentioned.
GIVEN under my hand and official seal this ____ day of ____________, 2024.
_______________________________________
Notary Public in and for the State of Washington
Residing at ______________________________
My Commission Expires____________________
STATE OF WASHINGTON )
:ss
County of Franklin )
On this day personally appeared before me BRIAN ACE, Executive Director/CEO for Boys and
Girls Club of Benton and Franklin Counties, described in and who executed the within and
foregoing instrument, and acknowledged that he signed the same as his free and voluntary act
and deed for the uses and purposes therein mentioned.
GIVEN under my hand and official seal this ____ day of ____________, 2024.
_______________________________________
Notary Public in and for the State of Washington
Residing at ______________________________
My Commission Expires___________________
Lease Agreement
Boys & Girls Club Page 8 of 8
EXHIBIT A
SITE MAP
18th Avenue
Stadium