HomeMy WebLinkAboutDoc 222 - Lease - Kemple Dental Clinicvim, ES
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Deschutes 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 June 29, 2011
Please see directions for completing this document on the next page.
DATE: June 17, 2011
FROM: Teresa Rozic Property & Facilities 385-1414
TITLE OF AGENDA ITEM:
Consideration of Board Signature of Document 2011-222, a Lease between Deschutes County as
Lessor and Kemple Memorial Children's Dental Clinic as Lessee.
PUBLIC HEARING ON THIS DATE? No
BACKGROUND AND POLICY IMPLICATIONS:
Kemple Memorial Children's Dental Clinic is a nonprofit organization incorporated in 2003. Volunteer
dentists provide emergency and other dental treatment to underserved children. Deschutes County has
provided space for this program since 2006. Kemple wishes to continue leasing the space for another
three years. This lease is for approximately 312 square feet at 63360 Britta Street, Bend, commonly
known as the Juvenile Community Justice Building.
County policy authorizes leases to nonprofit organizations that serve the same client base as county
departments or programs. The Kemple Memorial Children's Dental Clinic meets that criterion.
FISCAL IMPLICATIONS:
None. Lessee provides dental services to juveniles housed in the Juvenile Resource Center.
RECOMMENDATION & ACTION REQUESTED:
Staff recommends signature of Document 2011-222.
ATTENDANCE: Teresa Rozic
DISTRIBUTION OF DOCUMENTS:
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.)
Date:
05/02/2011
Please complete all sections above the Official Review line.
Department:
Contractor/Supplier/Consultant Name:
Contractor Contact:
Vickie Matthews
Type of Document: Lease
Goods and/or Services: N/A
Property & Facilities
Kemple Memorial Children's Dental Clinic
Contractor Phone #:
541-617-1653
Background & History: Kemple Memorial Children's Dental Clinic is a nonprofit
organization incorporated in 2003. Volunteer dentists provide emergency and other
dental treatment to underserved children. Deschutes County has provided space for
this program since 2006. They wish to continue leasing the space for another three
years. This lease is for approximately 312 square feet at 63360 Britta Street, Bend,
commonly known as the Juvenile Community Justice Building. In exchange for rent, .
Kemple provides dental services to juveniles housed in the Juvenile Resource Center.
Agreement Starting Date:
07/01/2011
Annual Value or Total Payment:
None
Ending Date:
Insurance Certificate Received (check box)
Insurance Expiration Date: 12/22/2011
06/30/2014
Check all that apply:
❑ RFP, Solicitation or Bid Process
❑ Informal quotes (<$150K)
❑ Exempt from RFP, Solicitation or Bid Process (specify — see DCC §2.37)
Funding Source: (Included in current budget? ❑ Yes ❑ No
If No, has budget amendment been submitted? ❑ Yes ❑ No
Is this a Grant Agreement providing revenue to the County? ❑ Yes ® No
Special conditions attached to this grant:
Deadlines for reporting to the grantor:
6/17/2011
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: ❑ Yes ❑ No
Contact information for the person responsible for grant compliance: Name:
Phone #:
Departmental Contact and Title: Teresa Rozic Phone #: 385-1414
Li(1
Department Director Approval:
Signature Date
Distribution of Document:
One original to Teresa Rozic for the Lessee
Official Review:
County Signature Required (check one): ❑ BOCC ❑ Department Director (if <$25K)
❑ Administrator (if >$25K but <$150K; if >$150K, BOCC Order No.
Legal Review Date
Document Number 2011-222
5/2/201 1
REVIEWED
LEGAL COUNSEL
LEASE
This Lease is made by and between DESCHUTES COUNTY, a political subdivision of the State
of Oregon ("Lessor") and KEMPLE MEMORIAL CHILDREN'S DENTAL CLINIC, an Oregon
nonprofit corporation ("Lessee").
Lessor hereby leases to Lessee and Lessee takes from Lessor the "Premises" described as
follows:
Approximately Three Hundred Twelve (312) square feet of office space located at 63360
Britta Street, Building 1, Room 112, Bend, Oregon 97701.
The parties agree that the terms of this Lease are as follows:
1. Term. The effective date of this Lease shall be July 1, 2011, or the date on which each
party has signed this Lease, whichever is later, and shall continue until June 30, 2014, 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 Three (3) years by
giving at least thirty (30) days written notice to Lessor prior to the expiration of the lease
term.
2. Rent. In full consideration for use and occupancy of the Premises, Lessor waives all
fees payable by Lessee. In exchange, Lessee agrees to provide necessary dental
services to juveniles housed in the Deschutes County Resource Center. The fees which
are waived by Lessor include fees attributable to Lessee's use of a portion of common
areas, parking and public areas attributable to Lessee's occupancy of the Premises.
3. Use of Premises. The Premises shall be used by Lessee for the purpose of operating
Lessee's primary business, Kemple Memorial Children's Dental Clinic, subject to
obtaining any required permits and licenses. 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. Parking. Lessee, its employees, and clientele shall have a nonexclusive right to access
and utilize vehicle parking spaces in County parking lots. Lessee's employees will be
required to adhere to the County Parking Policy and Regulations, which County in its
sole discretion may amend from time to time.
5. Restrictions on Use. In connection with the use of the Premises, Lessee shall:
DC 2011-222 Page 1 of 6
DC 2011 ' 2?2
a) Conform to all applicable laws and regulations affecting the Premises and correct at
Lessee's own expense any failure of compliance created through Lessee's fault or by
reason of Lessee's use of the Premises. Lessee shall not be required to make any
structural changes to affect such compliance, unless such changes are required
because of Lessee's specific use.
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 the real
property, or which would tend to create a nuisance or damage the reputation of the real
property.
c) Refrain from making any unlawful or offensive use of said property or to suffer or
permit any waste or strip thereof.
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.
f) Comply with Lessor's policies regarding smoking, parking, fragrances, facilities
maintenance, facilities use and violence in the workplace. Those policies are attached
to this lease as Exhibit A and by this reference are incorporated herein.
6. Lessee's Obligations. The following shall be the responsibility of the Lessee:
a) Lessee shall not be required to make structural repairs that would place the Premises
in a better condition than at the commencement of this lease. 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.
b) Any repairs necessitated by the negligence of Lessee, its agents, employees or
invitees.
c) Any repairs or alterations required under Lessee's obligation to comply with laws and
regulations as set forth in "Restrictions on Use" above.
7 Maintenance and Repair of Premises.
a) Lessor shall perform all necessary maintenance and repairs to the structure,
foundation, exterior walls, roof, doors and windows, elevators, emergency lighting, and
Lessor -provided fire extinguishers, sidewalks, and parking area which are located on or
serve the Premises. Lessor shall maintain the premises in a hazard free condition and
shall repair or replace, if necessary and at Lessor's sole expense, the heating, air
conditioning, plumbing, electrical, and lighting systems in the Premises, obtaining
required permits and inspections from Code enforcement authorities, and shall keep the
Premises, improvements, grounds and landscaping in good repair and appearance
replacing dead, damaged or diseased plant materials when necessary.
DC 2011-222 Page 2 of 6
b) Should Lessor fail to maintain the Premises in accordance with above requirements,
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.
c) 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.
8. Utilities and Services.
a) Lessor shall provide adequate heat, electricity, water, air conditioning, trash removal
service, and sewage disposal service for the Premises and janitorial services for the
common areas of the building. Lessee shall provide its own telephone and Internet
service and janitorial services for the Premises.
b) Unless it is an exempt entity, Lessee agrees to pay property taxes and assessments
applicable to the Premises which are due and payable during the term of this Lease or
any extension hereof.
9. 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.
10. 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 structure where Premises are
located.
DC 2011-222 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 that volunteer dentists carry professional liability
insurance and are licensed in the state of Oregon to practice.
f) Lessee shall provide to Lessor proof of workers compensation insurance.
g) Indemnification: Lessor and Lessee shall each be responsible for the negligent and
wrongful acts of their officer, agents, employees and invitees. Lessor's liability exposure
is restricted by the Oregon State Constitution, Article XI, and Oregon Revised Statutes
30.260 through 30.300, the Oregon Tort Claims Act.
11. 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.
12. 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 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.
13. 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.
14. 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 the payment or for thirty (30) days in the case
of other obligations. If the obligation cannot be performed within the thirty -day period,
DC 2011-222 Page 4 of 6
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).
15. 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
Attn: Susan Ross
14 NW Kearney Avenue
Bend, Oregon 97701
Phone: 541-383-6713
Lessee: Kemple Memorial Children's Dental Clinic
Attn: Vickie Matthews
63360 Britta Street, Building 1
Bend, Oregon 97701
Phone: 541-617-1653
16. Assignment. Lessee shall not assign or sub -rent the premises without the prior written
consent of the Lessor.
17. 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.
18. 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.
19. 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
DC 2011-222 Page 5 of 6
READ THIS LEASE, UNDERSTANDS IT, AND AGREES TO BE BOUND BY ITS
TERMS AND CONDITIONS.
LESSOR:
Dated this day of , 2011
BOARD OF COUNTY COMMISSIONERS
OF DESCHUTES COUNTY, OREGON
TAMMY BANEY, CHAIR
ATTEST: ANTHONY DEBONE, VICE -CHAIR
Recording Secretary ALAN LINGER, COMMISSIONER
LESSEE:
Dated this /y — day of
,2011
KEMPLE IMO I CHILDREN'S DENTAL CLINIC
By /// /�
Paul Tay President
DC 2011-222 Page 6 of 6
From: Lumbermens Insurance 541-385-3231 To. 915416171624 r age 1?2
A 1. V tCU,
Date: 5/912C11 3-25:05 PM
CERTIFICATE OF LIABILITY INSURANCE
DATE (MMIDOf YY)
05/09/2011.
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS
CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES
BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED
REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.
IMPORTANT: If the certificate holder is an ADDITICNAL INSURED, the policy(les) must be endorsed. If SUBROGATION IS WAIVED, subject to
the terms and conditions of the pollcy, certain pollcles may require an endorsement. A statement on this certificate does not confer rights to the
certificate holder In lieu of such endorsement(s).
PRODUCER
Lumbermens Insurance / RiskPoint Ins Advisors
965 SW Emkay Drive
PO Box 940
Bend, OR 97709
INSURED
Kemple Memorial Childrens Dental Clinic
63360 NW Britta Street
Bend, OR 97701
CONT:LT Holly Hills
NAME:
▪ 61r 541.382.2421
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MAIL
ADDRESS:
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INSURER(S) AFFORDING COVERAGE NAiC
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INSURER B
INSURER C
INSURER D
INSURER E
INSURER F
American Economy Insurance Co
COVERAGES
CERTIFICATE NUMBER: MASTER ALL
REVISION NUMBER:
THIS 15 TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEE' ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PER,OD
INDICATED. NOTWITHSTANDING ANY RECUR TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT W'TH RESPECT TO WHICH THIS
CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SJBJECT 70 ALL NE TERMS,
EXCLUSIONS AND CONDITIONS OF SUCH POLICIES LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS
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DESCRIPTION OF CPERATIONSI LOCATIONS VEHICLES Attach ACORC 10^ Additional RA;chaduh IF mon space is ncc:ndl
CERTIFICATE HOLDER IS AN ADDITIONAL INURED AS RESPECTS TO GENERAL LIABILITY AND IS SUBJECT TO THE
POLICY TERMS, CONDITIONS AND EXCLUSIONS.
CERTIFICATE HOLDER CANCELLATION
FAX: 541.317.3168
DESCHUTES COUNTY, ITS OFFICERS, AGENTS
EMPLOYEES & VOLUNTEERS
ATTN: TERESA ROZIC
63360 NW BRITTA STREET
BEND, OR 97701
SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE
THE EXPIRATION DATE THEREOF. NOTICE WILL BE DELIVERED IN
ACCORDANCE WITH THE POLICY PROVISIONS.
AUTHDR¢EDREPRESENTATiVE
_
Holly Hills/HHILL
ACORD 25 (2009/09)
O 1988-2009 ACORD CORPORATION. All rights reserved.
The ACORD name and logo are registered marks of ACORD
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-rom: Lumbermens Insurance 54"-385-3231 To 915416171624 Page 212 Date: 519i2C11 3:25:06 PM
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ADDITIONAL REMARKS SCHEDULE
Page of
(AGENCY NAMED INSURED
Lumbermens Insurance / RiskPoint Ins Advisors Kemple Memorial Childrens Dental Clinic
POLICY NUMBER Bend, OR 97701
CARRIER MAIC CGDE
EFFECTIVE CATE
ADDITIONAL REMARKS
THIS ADDITIONAL REMARKS FORM IS A SCHEDULE TO ACORD FORM,
FORM NUMBER: 25 FORM TITLE: ACORD Certificate of Liability Insurance
Garage Liability
INSRADD'L 'OLICYEFFECTIVE PCL CYEXPIRATICN
LTR INSRD POLICI'NUMBER CATEIMMICDm DATE :WIC LIMT3
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(NSR ADD'L POLICY E.FFECTIVE PCL CYEKPIRA.TICN
LTR INSRD POLICY NUMBER CATE IMMPCDIYY) DATE ,MM1CDFYr,
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Other Liability
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OREGON WORKERS COMPENSATION
CERTIFICATE OF INSURANCE
CERTIFICATE HOLDER:
DESCHUTES COUNTY
ATTN: TERESA ROZIC
14 NW KEARNEY AVE.
BEND, OR 97701
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lcorporation
The policy of insurance listed below has been issued to the insured named below for the
policy period indicated. The insurance afforded by the policy described herein is subject to
all the terms, exclusions and conditions of such policy.
POLICY NO.
470909
POLICY PERIOD
10/01/2010 to 10/01/2011
ISSUE DATE
06/16/2011
INSURED: BROKER OF RECORD:
CARDINAL EMPLOYERS ORGANIZATION INC UNITED RISK SOLUTIONS INC
110 ACKERMAN AVE PO BOX 936
COOS BAY, OR 97420-3001 MEDFORD, OR 97501
LIMITS OF LIABILITY:
Bodily Injury by Accident
Bodily Injury by Disease
Body Injury by Disease
$500,000 each accident
$500,000 each employee
$500,000 policy limit
DESCRIPTION OF OPERATIONS/LOCATIONS/SPECIAL ITEMS:
RE: Kemple Memorial Childrens Dental Clinic
IMPORTANT:
The coverage described above is in effect as of the issue date of this certificate. It is subject to change
at any time in the future.
This certificate is issued as a matter of information only and confers no rights to the certificate
holder. This certificate does not amend, extend or alter the coverage afforded by the policies above.
AUTHORIZED REPRESENTATIVE
President and CEO
400 High Street SE
Salem, OR 97312
P: 800.285.8525
F: 503.373.8020
Po I icy_Batch_Certif i cateOfI nsur a nce