HomeMy WebLinkAboutDoc 182 - Lease Amend with City of La Pine0-cES
Deschutes County Board of Commissioner
1300 NW Wall St., Suite 200, Bend, OR 97701-196(
(541) 388-6570 - Fax (541) 385-3202 - www.deschutes.or€.
AGENDA REQUEST & STAFF REPORT
For Board Business Meeting of June 23, 2010
Please see directions. for completing this document on the next page.
DATE: June 16, 2010
FROM: Teresa Rozic Property & Facilities 385-1414
TITLE OF AGENDA ITEM:
Consideration of Board signature of Document 2010-182, a Lease Amendment between Deschutes
County and the City of La Pine.
PUBLIC HEARING ON THIS DATE? NO
BACKGROUND AND POLICY IMPLICATIONS:
Since 2007 Deschutes County has leased approximately 684 square feet of office space in the Sout'
County Services Building to the City of La Pine. The City of La Pine has exercised its option to re iew
the lease for another three-year period.
FISCAL IMPLICATIONS:
Rental income in the first year of the extended term will be $7,791.48; in the second and third year ; it
will be $8,064.00.
RECOMMENDATION & ACTION REQUESTED:
Staff recommends signature of Document 2010-182.
ATTENDANCE: Teresa Rozic
DISTRIBUTION OF DOCUMENTS:
One original back to Teresa Rozic for the Lessee.
382-4331'
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:
June 16, 201d
Please complete all sections above the Official Review line.
Contractor/Supplier/Consultant Name:
Contractor Contact:
Jeremy Green
Type of Document: Lease Amendment
Department:
City of La Pine
Property & Facilities
Contractor Phone #:
Goods and/or Services: Extend existing office space lease
Background & History: Since 2007 Deschutes County has leased approximately
684 square feet of office space in the South County Services Building to the City of La
Pine. The City of La Pine has exercised its option to renew the lease for another three-
year period
Agreement Starting Date:
June 1, 2010
Ending Date:
May 31, 2013
Annual Value or Total Payment: Rental income in the first year of the extended term
will be $7,791.48; in the second and third years it will be $8,064.00.
® Insurance Certificate Received (check box)
Insurance Expiration Date: lJuly 1, 2010
Check all that apply:
(—] RFP, Solicitation or Bid Process
❑ Informal quotes (<$150K)
P Exempt from RFP, Solicitation or Bid Process (specify — see DCC §2.37)
Funding Source: (Included in current budget? P Yes ❑ No
If No, has budget amendment been submitted? Fl 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:
If a new FTE will be hired with grant funds, confirm that Personnel has been notified tt at
it is a grant -funded position so that this will be noted in the offer letter: , Yes t to
6/17/2 ) 10
Contact information for the person responsible for grant compliance: Name:
Phone #:
Departmental Contact and Title: Teresa Rozic Phone #: 385-1414
Department Director Approval:
Signature
0(7(/
Date
Distribution of Document: Who gets the original document and/or copies after it has
been signed? Include complete information if the document is to be mailed.
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
6/16/2( 10
REVIEWED
LEGAL COUNSEL
LEASE AMENDMENT
THIS LEASE AMENDMENT (this "Amendment") is made and entered into by and between
DESCHUTES COUNTY ("Lessor") and CITY OF LA PINE ("Lessee").
WITNESSETH:
WHEREAS, Lessor and Lessee entered into a Lease (DC 2007-217) with an effective date of
June 1, 2007 ("the Lease"); and
WHEREAS, the parties desire to extend the term of the Lease;
NOW, THEREFORE, the parties agree that the Lease is hereby amended to read as follows:
1. Section 1 of the Lease is amended to read in its entirety as follows:
"1. Term: The effective date of this Lease shall be June 1, 2007, or the date on which each party has
signed this Lease, whichever is later, and shall continue until May 31, 2013, or six (6) years. Lessee
shall have the option to extend the initial six-year lease term for one (1) additional period of three (3)
years (the "Extended Term"). Lessee must notify Lessor in writing of its intention to exercise the
extension option at least 180 days prior to the expiration of the initial six-year lease term. Giving of
the notice of extension will be sufficient to make this Lease binding for the Extended Term without
further act of the parties. The terms and conditions for the Extended Term will be identical with the
initial six-year lease term except for (a) Lessee will no longer have an extension option (unless the
parties agree otherwise in writing), and (b) Lessor and Lessee will each have the right to terminate
this Lease during the Extended Term for any reason or no reason by providing the other party 180
days' prior written notice."
2. Section 2 of the Lease is amended to read in its entirety as follows:
"2. Rent: The rental rate shall be Six Hundred Dollars ($600.00) per month, paid in advance, for the
first 12 -month period of the initial six-year lease term. Thereafter, the rental rate will automatically
increase by 2.5% over the rental rate during the immediately preceding 12 -month period until May
31, 2010. Commencing June 1, 2010, and continuing for the 12 -month period immediately
thereafter, the rental rate will be Six Hundred Forty -Nine and 29/100 Dollars ($649.29) per month,
paid in advance. Commencing on June 1, 2011, and continuing thereafter (including the Extended
Term, if applicable) until the termination of this Lease, the rental rate will be Six Hundred Seventy -
Two Dollars ($672.00) per month. Lessor waives the first month's rent. Lessee's first rent payment
is due on July 1, 2007."
3. This Amendment is hereby expressly made part of the Lease. The terms and conditions of the
Lease that are not amended or otherwise modified by this Amendment remain unchanged and in full
force and effect. To the extent this Amendment is deemed inconsistent with any of the terms or
conditions contained in the Lease, the terms of this Amendment will control. All capitalized terms
used in this Amendment and not otherwise defined herein will have the respective meanings assigned
to them in the Lease. All prior and contemporaneous agreements, discussions, understandings, and
negotiations, whether written or oral, express or implied, are merged herein, and to the extent
Document 2010-182 Page 1 of 2
inconsistent herewith, are of no further force and effect. No addition, modification, amendment, or
alteration to this Amendment will be effective against the parties unless specifically agreed upon in
writing and signed by the parties.
4. This Amendment is effective May 31, 2010.
The parties have executed this Lease this 7th day of June, 2010.
LESSOR: DESCHUTES COUNTY, OREGON
By
Dave Kanner, County Administrator
LESSEE: CITY OF LA PINE �.
By � i"!Z� zie-o
tty Shie s, Mayor
dt
Document 2010-182 Page 2 of 2