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HomeMy WebLinkAbout25D - AGMT - SAUSD LEASE 595 E 14TH STREQUEST FOR COUNCIL- ACTION CITY COUNCIL MEETING DATE: SEPTEMBER 20, 2016 TITLE: AMENDMENT TO AGREEMENT WITH SANTA ANA UNIFIED SCHOOL DISTRICT FOR LEASE OF REAL PROPERTY AT 595 EAST 14TH STREET (STRATEGIC PLAN NOS, 2, 1 & 6, 1C) CITY MANAGER RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: APPROVED ❑ As Recommended ❑ As Amended ❑ Ordinance on 16� Reading ❑ Ordinance on 2nd Reading ❑ Implementing Resolution ❑ Set Public Hearing For CONTINUED TO FILE NUMBER Authorize the City Manager and Clerk of the Council to execute a first amendment to an agreement with the Santa Ana Unified School District to extend the existing lease of real property located at 595 East 14th Street for the seven -month period beginning September 20, 2016, through April 19, 2017, with provision for an additional renewal, exercisable by the City Manager and City Attorney, subject to nonsubstantive changes approved by the City Manager and City Attorney. On September 19, 1917, the Santa Ana Unified School District ( SAUSD) and the City entered into a lease agreement, for City's use of real property located at 595 East 14th Street for well purposes and for the placement of a water tank. The term of the lease is for a period of ninety - nine years and is set to expire September 19, 2016. The City and the SAUSD are currently in negotiation regarding the City's continued use of this property. To facilitate this negotiation, the SAUSD has agreed to extend the existing lease for an additional term. STRATEGIC PLAN ALIGNMENT Approval of this item supports the City's efforts to meet Goal #2 - Youth, Education, Recreation, Objective #1 (ensure coordination among organizations serving Santa Ana's youth to optimize programs); and, Goal #6 - Community Facilities & Infrastructure, Objective #1 (establish and maintain a Community Investment Plan for all City assets), Strategy C (invest resources and technology to extend the service life of existing infrastructure to protect the City's investment and support a high quality of life standard). 2513-1 Amendment to Agreement with Santa Ana Unified School District for Lease of Real Property at 595 East 14th Street September 20, 2016 Page 2 ENVIRONMENTAL IMPACT There is no environmental impact associated with this action FISCAL IMPACT There is no fiscal impact associated with this action Fr 4d Mousavipour Executive Director Public Works Agency Exhibits: 1. Agreement dated 9/19/1917 and titled "Contract of Agreement' (A- 1917 -000) 2. First Amendment to Agreement A- 1917 -000 25D -2 a JCtii CONTRACT OF AC #HUL"IiiENT Tk118 CONTRACT OF AtiayEEsIEWT, 1'iac,1e ,,O(t Pl1'I:ered into dill 19th day of September, 1917, by b.r(3 bet,n•esn the Bocsrd. of Education of 8rn.ta Ana Scl-soo.L lli'la'Gr1c1; pn,rt!i of the first part, .emd. the ClAy of .Santa !Ana, a. mu'n:1cipal covporn,tion of the, Fifth clago, party of tho a000nc! pa1�t, tN1171E3;SLT} ;:— '1'},j -.yt for e,nr.' In Coll aiderr'tion of the tsaiyments hereirnrf¢er stipulated to be made 'the party of tilde f,.rnf, part does = hereby lease for Lbe pe.r9.od of ninety —nine years unto i.11 . ,ras "l;y of ' 'Lhe second part, to be used .for well purposes and to be occuiDled and enclosed by the party of the second_part all that certain pleee or parcal of land. located.. In the City of Saute, Ana., County of UrnntT,e, State of Cal.t.fovrda, de:.scri'bed as follows, to —wltt Oamwenoin4 ;, at a,Point on-tho North 11ne oa'1)4tlt Street; 550 .feet -Ea.et of the East 71ns Of 4'rench Street rlintring 't.ksence ea,stwa.rd. along the North line of l)1t1a Street pr^oftoed to the wedtarly line of the right Of wa,y,of the Southern Pselfie Railroy, thence Northwebterly along, the westerly line of said r 4 *_ht of way to a point 500 "set East of the '.East line of French Strset, thence South along the line parallel to tPae, Fast .line of French Street to the point of beginning being a post of th Lincoln Park Trnot as shown on a map record8d. In Book 6, page 14 o Records of Orange County, California, Z in ocnsideratlon therefor the party of 'tha sewn C;.'.. �..:. agrees to suppy�y',;;to the party of the first part water for �sahool p from 'the let :ay of July 1917, to the first day of July 1919 to th of 41400,00 the price of same to be fixed at the meter rate of 75 hundred cu, ft, for school purposes and 25 ets,. f'or 1000 cu. ft, f school park purposes, EXHIBIT 1 25D -3 value. 25D -4 FIRST AMENDMENT TO CONTRACT OF AGREEMENT (LEASE) BETWEEN SANTA ANA UNIFIED SCHOOL DISTRICT AND CITY OF SANTA ANA THIS FIRST AMENDMENT TO CONTRACT OF AGREEMENT ( "First Amendment") is made as of 2016 ( "Effective Date "), by and between the Santa Ana Unified School District, a California public school district ( "District "), and the City of Santa Ana, a charter city and California municipal corporation ( "City "). District and City may be referred to herein individually as "Party" and collectively as "Parties," RECITALS WHEREAS, District and City entered into that certain Contract of Agreement, dated September 19, 1917 ( "Lease "), whereby District leased to City, and City leased from District, certain real property located at 595 East 14" Street, in the City of Santa Ana, to be used for well purposes and for the placement of a wafter tank occupied and enclosed by the City ( "Premises "); and WHEREAS, the term of the Lease is for a period of ninety -nine (99) years and is set to expire as of September 19, 2016 ( "Term "); and WHEREAS, the Parties desire to effectuate an exchange of real property where the City would acquire ownership of the Premises in return for the District acquiring ownership of a City -owned parcel that Is to be determined ( "Exchange "), and the Parties are currently in negotiations regarding the Exchange; and WHEREAS, if the Exchange is not effectuated, the Parties may agree to some other mutually agreed upon disposition ( "Disposition "); and WHEREAS, District and City desire to extend the Term of the Lease to allow the Parties to further explore and agree upon terms for the Exchange and /or Disposition; and WHEREAS, the Parties now mutually intend to amend the Lease's provisions as set forth herein this First Amendment, NOW THEREFORE, for valuable consideration, receipt of which is hereby acknowledged, District and City agree as follows: 1. Extension of Term. 1.1. The Parties acknowledge and agree that the Term of the Lease is hereby extended for an additional seven (7) months, and shall expire on April 19, 201.7, in order for the Parties to continue pursuing the Exchange and /or Disposition. 1.2. In the event the Parties determine that additional time is needed to effectuate the Exchange and /or Disposition, the Parties shall mutually agree in writing to extend the Term of the Lease for an additional period to be agreed upon by the Parties and effectuated in a subsequent written amendment to the Lease approved by the Parties. EXHIBIT 2 First Amendment to Lease —SAUSD & City — Davis ES Water Tower Page 1 25D -5 1.3. During the extended Term of the Lease, the City may maintain the cell tower equipment on the Premises pursuant to a separate agreement therefor. All equipment must be removed upon termination of the extension unless the City becomes the property owner. 2. Miscellaneous. This First Amendment may be executed in any number of counterparts all of which when taken together shall constitute one and the same document. Except as expressly modified by this First Amendment, all other terms and provisions of the Lease are and remain in full force and effect. This First Amendment shall be governed by and construed in accordance with the laws of the State of California. ACCEPTED AND AGREED on the date indicated below: Dated: Santa Ana Unified School District By: _. Stefanie P. Phillips, Ed.D, Superintendent of Schools Approved as to Form Date: By: SAUSD Attorney Dated: City of Santa Ana By: David Cavazos City Manager Approved as to Form Date: By: <- A. S -, City Attorney RECOMMENDED FOR APPROVAL: Fred Mousavipour Executive Director Public Works Agency First Amendment to Lease -SAUSD & City- Davis ES Water Tower Page 2 25D -6