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HomeMy WebLinkAboutDoc 093 - Lease - Adult Foster HomeDeschutes County Board of Commissioners 1300 NW Wall St., Suite 200, Bend, OR 97701-1960 (541) 388-6570 -Fax (541) 385-3202 -www.deschutes.org AGENDA REQUEST & STAFF REPORT For Board Business Meeting of February 22, 2012 Please see directions for completing this document on the next page. DATE: February 15,2012 FROM: Teresa Rozic Property & Facilities 385-1414 TITLE OF AGENDA ITEM: Consideration of Board signature on Document 2012-093, a Lease between Deschutes County and Deborah K. McClaskey, doing business as Breitenbush Adult Foster Home. PUBLIC HEARING ON THIS DATE? No BACKGROUND AND POLICY IMPLICATIONS: In 1998, Deschutes County purchased a single-family residence in Bend to serve Behavioral Health Department's adult consumers who are making the transition back into the community from various institutions. Deborah McClaskey has leased the property and operated the adult foster home since 2007. That lease will expire February 28,2012. Mrs. McClaskey wishes to continue the contract. The new lease has a three-year term, with an option to renew. FISCAL IMPLICATIONS: Annual rental income is $8,400.00. RECOMMENDATION & ACTION REQUESTED: Staff recommends Board signature of Document 2012-093. ATTENDANCE: Teresa Rozic DISTRIBUTION OF DOCUMENTS: One original for the Commissioner Journal and one original to Teresa Rozic for the Lessee. DESCHUTES COUNTY DOCUMENT SUMMARY (NOTE: This form is required to be submitted with ALL contracts and other agreements, regardless of whether the document is to be on a Board agenda or can be signed by the County Administrator or Department Director. If the document is to be on a Board agenda, the Agenda Request Form is also required. If this form is not included with the document, the document will be returned to the Department. Please submit documents to the Board Secretary for tracking purposes, and not directly to Legal Counsel, the County Administrator or the Commissioners. In addition to submitting this form with your documents, please submit this form electronically to the Board Secretary.) Please complete all sections above the Official Review line. Date: 102/15/20121 Department: property & Facilitiesl ContractorlSupplier/Consultant Name: IDeborah K. McClaskey, dba Breitenbushi ~dult Foster Homel Contractor Contact: ~orah McClaske~ Contractor Phone #: i541-382~ Type of Document: Lease Goods and/or Services: N/A Background & History: In 1998, Deschutes County purchased a single-family residence in Bend to serve Behavioral Health Department's adult consumers who are making the transition back into the community from various institutions. Deborah McClaskey has leased the property and operated the adult foster home since 2007. That lease will expire February 28,2012. Mrs. McClaskey wishes to continue the contract. The new lease has a three-year term, with an option to renew. Agreement Starting Date: /0370112012] Ending Date: :02/28/20151 Annual Value or Total Payment: 1$8,400.00 annual rental income! 2/14/2012: Requested proof of commercial general liability insurance o Insurance Certificate ReCeiVjd (ChiCk box) Insurance Expiration Date: Note: lessee states that she is exempt from carrying workers compensation insurance (sole proprietor employing home health workers [ORS 656.027 (1), (7a)]). N/A Check all that apply: o RFP, Solicitation or Bid Process o Informal quotes «$150K)o Exempt from RFP, Solicitation or Bid Process (specify -see DCC §2.37) N/A Funding Source: (Included in current budget? 0 Yes 0 No If No, has budget amendment been submitted? 0 Yes 0 No Is this a Grant Agreement providing revenue to the County? 0 Yes ~ No 2115/2012 Special conditions attached to this grant: Deadlines for reporting to the grantor: If a new FTE will be hired with grant funds, confirm that Personnel has been notified that it is a grant-funded position so that this will be noted in the offer letter: DYes D No Contact information for the person responsible for grant compliance: Name: Phone#: Departmental Contact and Title: Teresa Rozic Phone #: 385-1414 Department Director Approval: ~/~ Signature Date Distribution of Document: One original for the Commissioner Journal and one original to Teresa Rozic for the Lessee. Official Review: County Signature Required (check one): 0 SOCC Department Director (if <$25K) o Administrator (if >$25K but <$150K; if >$150K, SOCC Order No. _____) Legal Review Date Document Number 2012-093 2/15/2012 REVIEWED LEGAL COUNSEL LEASE This Lease is made by and between DESCHUTES COUNTY, a political subdivision of the State of Oregon ("Lessor") and DEBORAH K. McCLASKEY, doing business as Breitenbush Adult Foster Home ("Lessee"). Lessor hereby leases to Lessee and Lessee takes from Lessor the "Premises" described as follows: Lot 21, Block 2, KIWA MEADOWS, Deschutes County, Oregon, commonly known as 924 SE Breitenbush Lane, Bend, Oregon, 97702. The parties agree that the terms of this Lease are as follows: 1. Term. The effective date of this Lease shall be March 1, 2012, or the date on which each party has signed this Lease, whichever is later, and shall continue until February 28, 2015, or thirty-six (36) months. Lessor and Lessee each reserve the right to terminate this Lease prior to its expiration with thirty (30) days written notice, given to the other party. Except as otherwise provided in this Lease, if the Lessee is not then in default and with Lessor's approval, Lessee has the option to renew this lease for one (1) year by giving at least thirty (30) days written notice to Lessor prior to the expiration of the lease term. 2. Rent. Lessee shall pay to Lessor as base rent the sum of Seven Hundred Dollars ($700.00) per month, commencing with the date specified in Paragraph 1. Rent shall be payable on the twentieth (20 th ) day of each month without notice or demand at the office of the Deschutes County Property & Facilities Department, P.O Box 6005, Bend, Oregon 97708, or at such other place as may be designated in writing by Lessor. 3. Use of Premises. The Premises shall be used by Lessee for the purpose of operating Lessee's primary business, an adult foster home, licensed by the State of Oregon, Department of Human Services. Lessee, its principals or agents shall not use the Premises to operate a business other than that specified in this Lease and shall not use the Premises address as the business or mailing address for any other business than that specified in this Lease without obtaining the Lessor's written consent in advance. 4. Restrictions on Use. In connection with the use of the Premises, Lessee shall: Document 2012-093 Page 1 of6 a) Conform to all applicable laws and regulations affecting the Premises. b) Refrain from any use which would be reasonably offensive to the Lessor, other tenants, or owners or users of adjoining property or unoccupied portions of I the real property, or which would tend to create a nuisance or damage the i reputation of the real property. I c) Refrain from making any unlawful or offensive use of said property or to suffer or permit any waste or strip thereof. I d) Exercise diligence in protecting from damage the real property and common area of Lessor covered by and used in connection with this Lease. e) Be responsible for removing any liens placed on said property as a result of Lessee's use of leased premises. 5. Lessee's Obligations. Lessee leases the Premises in its "as is" condition without any warranty or representations as to habitability for residential purposes. Lessee waives any and all claims against Lessor with respect to any issues of habitability during Lessee's occupancy of the Premises. The following shall be the responsibility of the Lessee: a) Maintain a license with the State of Oregon to operate an adult foster home. b) Lessee shall pay for any repairs to the Premises that cost less than $250.00, per occurrence. c) Lessee may place fixtures, partitions, personal property, and the like in the Premises and may make nonstructural improvements and alterations to the Premises at its own expense. Lessee may be required to remove such items at the end of the Lease term. d) Any repairs necessitated by the negligence of Lessee, its agents, employees or invitees, regardless of any other provision in this Lease. e) Lessee shall take good care of the interior of the Premises and at the expiration of the term surrender the Premises in as good condition as at the commencement of this Lease, excepting only reasonable wear, permitted alterations, and damage by fire or other casualty. 6. Maintenance and Repair of Premises. a) Lessor shall perform repairs to the Premises that cost $250.00 or more per occurrence, and bear the entire cost of the repair. Document 2012-093 Page 2 of6 b} Should Lessor fail to maintain the Premises in accordance with Paragraph 6 a) above, and after at least fourteen (14) days prior written notification to Lessor, Lessee may contract for necessary labor equipment and material to bring Premises within those requirements and may deduct reasonable and necessary costs from future rent payments. 7. Utilities and Services. a} Lessee shall pay for all charges for heat, light, power, sewage, water, garbage disposal, and other services or utilities furnished to the Premises. b} The cost of real property taxes and assessments applicable to the Premises are included in the base rent set forth in Paragraph 2 above. Lessor shall pay said taxes and assessments when due. 8. Liens. a} Except with respect to activities for which the Lessor is responsible, the Lessee shall pay as due all claims for work done on and for services rendered or material furnished to the leased real property and shall keep the real property free from any liens. If Lessee fails to pay any such claims or to discharge any lien, Lessor may do so and collect the cost from Lessee. Any amount so expended shall bear interest at the rate of nine percent (9%) per annum from the date expended by Lessor and shall be payable on demand. Such action by Lessor shall not constitute a waiver of any right or remedy which Lessor may have on account of Lessee's default. b} Lessee may withhold payment of any claim in connection with a good faith dispute over the obligation to pay, so long as Lessor's property interests are not jeopardized. If a lien is filed as a result of nonpayment, Lessee shall, within thirty (30) days after knowledge of the filing, secure the discharge of the lien or deposit with Lessor cash or a sufficient corporate surety bond or other surety satisfactory to Lessor in an amount sufficient to discharge the lien plus any costs, attorney fees and other charges that could accrue as a result of a foreclosure or sale under a lien. 9. Insurance. a) It is expressly understood that Lessor shall not be responsible for carrying insurance on any property owned by Lessee. b) Lessee will be required to carry fire and casualty insurance on Lessee's personal property on the Premises. c) Lessor will carry fire and casualty insurance only on the structures located on the Premises. Document 2012-093 Page 3 of 6 d) Lessee shall carry commercial general liability insurance, on an occurrence basis; with a combined single limit of not less than $1,000,000 each occurrence, with an annual aggregate limit of $2,000,000. Lessee shall provide Lessor with a certificate of insurance, as well as an endorsement, naming Deschutes County, its officers, agents, and employees and volunteers as an additional insured. There shall be no cancellation, termination, material change, or reduction of limits of the insurance coverage during the term of this lease. e) Lessee shall provide to Lessor proof of workers compensation insurance. f) Indemnification: Lessee shall be responsible for any and all injury to any and all persons or property caused directly or indirectly by reason of any and all activities by Lessee on or in connection with the leased property; and further agrees to indemnify, defend, and save harmless the Lessor, its officers, agents, and employees from and against all claims, suits or action, damages, costs, losses and expenses in any manner resulting from, arising out of, or connected with any such injury. Lessor shall be responsible for the negligent and wrongful acts of its officers, agents, employees and invitees. Provided however, consistent with its status as a public body, Lessor enjoys certain privileges and immunities under the Oregon State Constitution, Article XI, and Oregon Revised Statutes 30.260 through 30.300, the Oregon Tort Claims Act, and thus it's liability exposure is restricted. 10. Casualty Damage. If the Premises or improvements thereon are damaged or destroyed by fire or other casualty to such a degree that the Premises are unusable for the purpose leased, and if repairs cannot reasonably by made within ninety (90) days, Lessee may elect to cancel this Lease. Lessor shall in all cases promptly repair the damage or ascertain whether repairs can be made within ninety (90) days, and shall promptly notify Lessee of the time required to complete the necessary repairs or reconstruction. If Lessor's estimate for repair is greater than ninety (90) days, then Lessee, upon receiving said estimate will have twenty (20) days after such notice in which to cancel this Lease. Following damage, and including any period of repair, Lessee's rental obligation shall be reduced to the extent the Premises cannot reasonably be used by Lessee. 11. Surrender of Leased Premises. Upon abandonment, termination, revocation or cancellation of this Lease or the surrender of occupancy of any portion of or structure on the leased premises, the Lessee shall surrender the real property or portion thereof to Lessor in the same condition as the real property was on the date of possession, fair wear and tear excepted, except, that nothing in this lease shall be construed as to relieve Lessee of Lessee's affirmative obligation to surrender said premises in a condition which complies with all local, state or federal environmental laws, regulations and orders applicable at the time of surrender that was caused by Lessee or occurred during the term of this lease. Upon Lessor's written approval, Lessee may leave site improvements authorized Document 2012-093 Page 4 of6 by any land use or building permit. Lessee's obligation to observe and perform this covenant shall survive the expiration or the termination of the Lease. 12. Nonwaiver. Waiver by either party of strict performance of any provision of this Lease shall not be a waiver of or prejudice of the party's right to require strict performance of the same provision in the future or of any other provision. 13. Default. Neither party shall be in default under this Lease until written notice of its unperformed obligation has been given and that obligation remains unperformed after notice for fifteen (15) days in the case of payment or for thirty (30) days in the case of other obligations. If the obligation cannot be performed within the thirty-day period, there shall be no default if the responsible party commences a good faith effort to perform the obligation within such period and continues diligently to complete performance. In case of default the non­ defaulting party may terminate this Lease with thirty (30) days' notice in writing to the defaulting party, shall be entitled to recover damages or any other remedy provided by applicable law, or may elect to perform the defaulting party·s obligation. The cost of such performance shall be immediately recoverable from the defaulting party plus interest at the legal rate for judgment. If Lessee makes any such expenditures as the non-defaulting party, those expenditures may be applied to monthly rent payments(s). 14. Notices. Notices between the parties shall be in writing, effective when personally delivered to the address specified herein, or if mailed, effective 48 hours following mailing to the address for such party specified below or such other address as either party may specify by notice to the other: Lessor: Deschutes County -Property & Facilities Department Attention: Susan Ross PO Box 6005 Bend, OR 97708 Phone: 541-383-6713 Lessee: Deborah K. McClaskey 924 SE Breitenbush Lane Bend, OR 97702 Phone: 541-382-4350 15. Assignment. Lessee shall not assign or sub-rent the premises without the prior written consent of the Lessor. 16. Attorneys' Fees. In the event a suit or action of any kind is instituted on behalf of either party to obtain performance under this Lease or to enforce any rights or obligations arising from this Lease, each party will be responsible for paying its own attorney fees. Document 2012-093 Page 5 of6 17. Authority. The signatories to this agreement covenant that they possess the legal authority to bind their respective principals to the terms, provisions and obligations contained within this agreement. 18. MERGER. THIS LEASE CONSTITUTES THE ENTIRE LEASE BETWEEN THE PARTIES. NO WAIVER, CONSENT, MODIFICATION OR CHANGE OF TERMS OF THIS LEASE SHALL BIND EITHER PARTY UNLESS IN WRITING AND SIGNED BY BOTH PARTIES. SUCH WAIVER, CONSENT, MODIFICATION OR CHANGE, IF MADE, SHALL BE EFFECTIVE ONLY IN THE SPECIFIC INSTANCE AND FOR THE SPECIFIC PURPOSE GIVEN. THERE ARE NO UNDERSTANDINGS, AGREEMENTS, OR REPRESENTATIONS, ORAL OR WRITTEN, NOT SPECIFIED HEREIN REGARDING THIS LEASE. LESSOR, BY THE SIGNATURE BELOW OF ITS AUTHORIZED REPRESENTATIVE, HEREBY ACKNOWLEDGES THAT LESSOR HAS READ THIS LEASE, UNDERSTANDS IT, AND AGREES TO BE BOUND BY ITS TERMS AND CONDITIONS. LESSOR: Dated this ___day of ________, 2012 BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON ANTHONY DEBONE, CHAIR ATTEST: ALAN UNGER, VICE-CHAIR Recording Secretary TAMMY BANEY, COMMISSIONER LESSEE: ;;;p~e~ Deborah K. McClaskey Dated this PI/( day of ~, 2012 Document 2012-093 Page 6 of 6