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HomeMy WebLinkAboutOrdinance 10- 1792 One year Lease with MSU-Extended UniversityG "fix ORDINANCE NO. 1 792 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF BOZEMAN, MONTANA, AUTHORIZING THE CITY MANAGER TO ENTER INTO A I -YEAR LEASE WITH MSU- EXTENDED UNIVERSITY FOR THE LEASE OF OFFICE AND CLASSROOM SPACE IN THE ALFRED M. STIFF PROFESSIONAL BUILDING AT 20 EAST OLIVE, FOR THE PURPOSE OF A COMPUTER TRAINING LAB. WHEREAS, the City of Bozeman desires to lease office and classroom space in the Alfred M. Stiff Professional Building located at 20 East Olive, for a computer training lab and office space as it has done since August 2000; and WHEREAS, said lease allows up to 2 City of Bozeman employees to enroll in each non- credit class taught by MSU - Extended University. The lease also requires the University to pay a pro -rated share of the custodial costs for the building based on square footage, currently $1, 622.13 per year. WHEREAS, MSU - Extended University has indicated their desire to renew said lease; and WHEREAS, the lease of this property benefits the public interest because city employees are able to receive professional training; and WHEREAS, Section 2.11 of the Bozeman City Charter requires the Commission to adopt an ordinance when the Commission "convey(s), lease(es)or authorize(s) the conveyance or lease of any property of the city;" and WHEREAS, Section 7- 84201, MCA, authorizes the City to lease property upon a vote of 2/3 of the Commission which requires an affirmative vote of four members of the five member Bozeman City Commission; and WHEREAS, should this Ordinance never be finally adopted by the City Commission, the lease shall have no binding effect. NOW Oi' ORDAINED BY O" / OF THE CITY OF BOZEMAN, MONTANA: ORDINANCE 1792 Page I of 3 Section I The City Commission hereby authorizes the City Manager to enter into the attached 1 -year space lease (Exhibit A) with MSU-Extended University for lease of office and classroom space in the Alfred M. Stiff Professional Building, located at 20 East Olive, Bozeman, MT. The lease is incorporated herein by reference and made a part of this Ordinance. The lease has a provision by which the lease can be renegotiated at the end of one year and extended for up to two additional one year extensions for a total of three years. Final execution of the lease is dependent upon final adoption of this Ordinance No. 1792 and as such the City Manager cannot execute the lease until 30 days after second reading of this Ordinance. Section 2 Repealer. All provisions of the ordinances of the City of Bozeman in conflict with the provisions of this ordinance are, and the same are hereby, repealed and all other provisions of the ordinances of the City of Bozeman not in conflict with the provisions of this ordinance shall remain in full force and effect. Section 3 Savings Provision. This ordinance does not affect the rights and duties that matured, penalties that were incurred or proceedings that were begun before the effective date of this ordinance. All other provision of the Bozeman Municipal Code not amended by this Ordinance shall remain in full force and effect. Section 4 Severability. That should any sentence, paragraph, subdivision, clause, phrase or section of this ordinance be adjudged or held to be unconstitutional, illegal, or invalid, the same shall not affect the validity of this ordinance as a whole, or any part or provision thereof, other than the part so decided to be invalid, illegal or unconstitutional, and shall not affect the validity of the Bozeman Municipal Code as a whole. Section 5 Codification. This Ordinance shall not be codified but shall be kept by the City Clerk and entered into a disposition list in numerical order with all other ordinances of the City and shall be organized in a category entitled "Conveyances and Leases of City Land." ORDINANCE 1.792 Page 2 of 3 Section 6 Effective Date. This ordinance shall be in full force and effect thirty (30) days after final adoption. PROVISIONALLY PASSED by the City Commission of the City of Bozeman, Montana, on first reading at a regular session held on the 23 day of August, 2010. J K. US For BOA h� PS. m - -. T ~ aCL7 IIC 4 ti Citr Clerk FINALLY PASSED AND ADOPTED by the City Commission of the City of Bozeman, Montana on second reading at a regular session thereof held on the 13` day of September, 2010. The effective date of this ordinance is October, 13, 2010. ATTO :���2_�,' . APPRO'V'ED AS TO FORM: jif" SULLIVAN CitorI ley ORDINANCE 1792 Page 3 of 3 LEASE AGREEQENT This |num m��cn1 was entered into on between the City ofM�m� ("Lessor") and ( Lessor i*the sole owner o[ the business pncndxcs described below, having office space for lease in such premises. Ln»^cc is in the huxiuc^s of and desires tn lease office space fsonLessor. ). DESCRIPTION O]P PREMISES: Lessor ]cases tmlessee premises oothe lower level of the building koovvu as the Alfred M. Stiff Building, located at 20 East [Dipc, Bozeman, Mnatuoo, under the Terms and [-oodiboox set forth in this |eu*c. Lessee does hereby hire and take uy the tenant [3ui1e/Ropru] LLD),|ohe used for the purpose of classroom and office and for on other purpose. 2. TERM: The term ofihinlease sha tn for u /odof one (l) year, cooncmcncio�ou the L5ibday x� of and terminating the l� day of uobsssooner tcmmioutodax set forth in this lease, or unless lessee has rzcoziscd the option to ocoCvv Under provisions set forth in this lease agreement. The agreement may, upon mutual agreement, hcextended for u period of one year o1utime, vvi|hoo more than two, (Z), such extensions allowed, for u total o[3 years under this original agreement. Nc(Tobz1ioom for the extension nf this agreement ,hall bccompleted not less than sixty days prior tothe termination o[ the ugreenncpt. l FEES AND SERVICE CHARGE: A. In exchange f the use of the space covered in this lease agreement MSU-Extended l}oivmcxiiy provide Z (two) spaces in each scheduled non-credit class, with uu}uxx fee less than $|50.0O, for City o[Bozemoun employees o&oocharge. B. Io addition tu the lease payment the ^ Lc*sce'`*hall pay o portion o[ the custodial costs for the building. This ornnnoL is $139 a square foot for 1k67sqoarc [eci Sj 622.13 per year or ozootb}y. 4` PARKIN(',: A. Lessee sha have the nonexclusive use, in common with the other Lesseesof the lease premises, tn the parking areas for the building. During normal working hours, Lessee will whenever possible park in the building's parking lot across the alley from the main parking lot or in the south row of the main parking lot. Lcxxcc and Lessee's employees shall not park in the north row nf the main parking lot during normal business hours. B. In any event, the use n{ the parking facilities shall at all times be subject to nzusnooh]e rules and cc,gulutious that the Lessor may promulgate, when, in the Lcxxur`x opinion it is necessary to insure facilities for the business invitees and customers of the Lessees and Lessor. Lessee further recognizes that the Lessor makes nu�u�run�yofuu�s�cci1�coocob��oI�ur�io8 spaces. l.cxxmrshall have on obligation 10 police of enforce parking usage by Lcxuecx, or invitees, or the agents, servants, or employees of Lessor or Lessees. In the event that Lessor finds that the use of the parking facilities by Lessee or employees of Lessee interferes with its use by other Lessees and their patients and or business invitees, then Lessee shall cooperate with Lessor in requiring Lessee and Lessee's customers and business invitees to refrain from using the parking facilities, this right reserved unto Lessor, 5. RESTRICTIONS ON USE: A. Lcxxce is [undliur with the premises and that the taking of possession of the leased property shall be conclusive evidence that the leased premises were ut the time of the taking m[ possession in good, o]cmo_ sanitary and lcuxcu6lecondihon, and is in all respects satisfactory and acceptable to the {zoxec, and is in the condition in which it was represented to the Lessee to be or agreed to be put into by the Lessor, and the Lessee hereby releases the Lessor from any and all c]uirux arising from any defects in the condition of the said leased premises, the streets, alleys, areas, area ways, passages, or sidewalks �Iqjomingnruppor Lessee thereto. B. Lessee will not use mpermit anything Nbeused or done upon the said premises that might be dangerous to life or limb and that the Lessee will not in any manner deface orinjure the said premises or do anything that will increase the rate of insurance thereon, or permit anything tobc done upon said pncomiacs_ociuthe passageways, alleys, areas, area ways, sidewalks, or streets adjacent thereto, which will uu)mnmt to or create uxoioumce, or interfere with the other occupants of the p/neroi»cV. C. Lessee may use and occupy the leased premises for the purpose of the conduct or the practice of tra educations and and activities incidental thereto, and not otherwise. Lessee shall not use or knowingly permit any part o[the leased property to be used for any uolmvv[ul purposes, and xhu)\ comply with all of the laws and regulations of the City of Bozeman, State of Montana, and the United States of America. 0. ALTERATIONS AND MODIFICATION; REPAIRS: A. Lessee will keep the said leased property im clean and sanitary condition, without any obligation om the part of the Lessor to make any alterations m improvements o[any kind in or about the preznises, and that the Lexuorvri|| repair u, replace promptly all damages iothe premises due (p the acts mfthe Lessee, its agents, or its invitees. B. Lexxuc will make no alterations in, or additions to, the said premises without first obtaining the Lessor's written consent and the Lcuotc will not erect or permit to be erected upon the premises any signs without the written consent oƒ the Lessor. (.. With respect {n all alterations nzimprovements to said premises which the l.Cnxco oudcz-tukcx with the written consent of the Lessor, that the Lessee shall in each instance save said Lessor forever baom}exa and free from all durougcy loss and liability of every kind and cbucuu1cr which may be u\uiozcd, asserted, or charged, including liability to a'Huccoi owners and Loxxcex, based upon the acts of negligence ofthe Lessee or its agent, contracts, or employees for any negligence or for the failure of any of\he/u<o observe and tn company with the !c�alrcgoimcnucutxn{ the (~itymfDnzrz000, and that the Lcsocc will preserve and bold the Lessor and the said premises forever free, clear and harmless from liens for labor and materials furnished. D. Except as hcncio set forth to the contrary, Lessor shall bear the expense of all ncpuiro maintenance, alterations, or improvements as i< in its sole discretion, dctcroliuc* required on the leased proper 7. RIGHT TO REDECORATE: Lessee shall have the right from time to time to decorate and redecorate the leased property, at Lessee's sole expense, all ofwhich shall be done ioo good and workmanlike manner, and with the prior written consent o{Lessor. Lessor upon the building upon which the leased property is located, and does hereby indemnify the bold Lessor harmless in connection 0, & CONDITIONS AND PEACEFUL POSSESSION: Except us provided io paragraph 9, Lessor covenants and agrees that the premises shall he maintained in gppd repair and Les*c*uh}cconditino. excepting in case nf damage rcxmldo��unzthe uegB acts Lessee, its servants, 4geo{x,and employees, and business invitees, and further u*|oo�us Lessee Continues hormokcclass space available [n city employees as outlined in Section 3A, pays the custodial charges as outlined in Section 3B, and f the covenants and o�occoicmtx herein contained and dLessee shall peacefully and quietly have, hold and enjoy (bm|exxcdPnoporLyfortbc1cooaQ)rcsaidouduoy extension V. UTILITIES: All applications and connections for necessary utility services on the demised prem ises sha ho made bo the name o[ lessees only. Lessee shall bc solely liable for utili charges as they become due, including, but not limited to, those of sewer water, gas.. electricity, secur and telephone and data services. Lessee ix res for any phone or data services. Lessee i*res for Te installation and all chxr�csfor services thereafter. l(\ LIABILITY OFLESSOR: A. Lessee agrees that the Lessor shall not be liable for any darnage or inj ury either io person or persons or property or for the loss of property sustained by the Lessee or by any other persons on the leased premises due 10 any act oI negligence ef the Lessee. C. Lessee will indemnify lessor ou account uf any damage or injury tnaoy person, octo goods of any pcsmo_ arising [n/cm the use of the dco)ixcd premises by lcyxce or arising /ronu the failure of lessee to keep the deroixcd premises io good condition msprovided in this |caxc agreement. D. Lcoxoz uhoi] not be liable to \oxscc for any dm/nugc by or from any act of negligence of any other occupant of the same building, or by any owner or occupant of adjoining or contiguous property. E. l.esxcc ugrrcx to pay for all damage to the building, as well as all damage or injury suffered by 1coaatx or occupants of the building cm|*cU by the misuse or neglect of the demised premises by /csmcc. ll. DESTRUCTION OF PREMISES: A. Dimuarued between the Lessor and the Lessee that ifduring the term nf this lease the leased premises or the izuDrnvenzeots thereupon shall be injured or destroyed by fire or other unavoidable casualty or rendered unleaseable by public authority without the failure of Lessor, so as to render the leased property unfit for occupancy, or to such an extent that the premises cannot be repaired with reasonable diligence im sixty (hO) days from the happening of such injury, oract,tbcmtheLcxsncouuy terminate this lease asof the date ofsuch duuuooc act or destruction and the Lessee shall immediately surrender the leased property and all im1cors1 (bczzin to the Lessor, and the Lessee shall pay rent only to the time nfsaid destruction oract. H. If the leased property can be restored within sixty (60) days from the happening of such injury thereto and the Lessor within fifteen (15) days frorn the occurrence elects in writing to repair and restore said premises within the sixty (60) days from the happening of the injury 1hco:1o,thcu\his|e8ocxball not end or {conioutc on uc000mL of such injury by Orc or otherwise, but the dollar amount paid for custodial services shall not run nr accrue after injury xod during the process of repairs, except only that the Lcoace shall during such time pay a pro-rated portion of the custodial payment apportioned to that portion of the leased property which are in condition for occupancy or which may actually be occupied during repairing periods, 3 [ If, however, the ]eased property xhuD be xn slightly injured by u4Ycumac aforesaid as not to be rendered unfit for occupancy, then the Lessor shall repair the same with reasonable promptness, and in that case, the rent shall cease orbe abated during such repairing. D. All equipment, appliances, fixtures, improvements, or betterments placed by the Lessee on the ]eased premises which shall be damaged or destroyed io any of the events aforementioned, shall bc repaired and replaced by the Lessee ut its owner expense and not o\ the expense nf the Lessor. Except as herein set forth, Lessor shall not be held to account for any damages tn Lessee attributable tmthe acts or omissions mfLcsomr`x, providing however, Lessee shall immediately report any failure or defect tn ]LesuorT,bn shall repair or correct such defects with reasonable dili�oncc. 12. ASSIGNMENT AND SUBLEASE: [esxcc agrees that it will not sublet the leased property or any pail thereof and will not assign this least or any interest therein or permit such lease to become transferred by operation of law or otherwise and will not commit any act or acts which will cause the lease to become sublet or assi-ned in whole or in pail unless the written consent of the Lessor endorsed thereon shall first hoobtained. Lessee may associate other individuals nf the same discipline and profession as Lessee and such association xbuli not be deemed subletting under the terms of this /\gocecoco1. |9. BREACH OR DEFAULT; If the leased property shall hc deserted o« vacated, oclf in(ys are commenced against the Lcxocc in any Court under bankruptcy, c« for the appo of trustee or receiver of the Lessee's property either before V« after the commencement nfthe leased term, or there shall bcodefault in the payment o[ any rent ozany part (bcromL for more than fifteen (15) days, ocif there shall be a default in the performance of any covenant, agreement, condition, rule or regulation herein contained, or hereafter established on the part of the Lessee for more than fifteen (15) days after written notice of such default by the Lessor, Lessee*s rights in this lease (if the Lessor xnagreements shall hc deemed tobe taken tobeu waiver nf any succeeding breach thereof. 14. KEY AGREEMENT, ACCESS: A. Lessee shall have a MEDECO key to the building upon which the leased property is located, and to the leased property. Lessee acknowledges and agrees that, as u condition of this |exxc, that the M|2DEC,() key isu registered key inu registered MET)E(.[)SYSTEM governing access to the facility under lease and lessee is physically and financially responsible for the safekeeping of such MEDECO key, lm the even of loss nf the MIIDECO key, Lessee further acknowledges responsibility for the full cost of the replacement of such key(s) and if necessary the cost of rekeying locks and cutting new keys for building tenants. Upon termination of the Lease agreement, Lessee shall voluntarily surrender the uxxigucdMEl)E(`O key(s). B. The building iowhich the {coscd property is located nhu]i be open for entry of Lessee, ]Lcmscm"* employees and business invitees. Lcexcc may have uccce* to the {ruscd property at all times, in connection with his/her business. Lessee shall have the duty nf keeping the entry im the building secure during such times, so the unauthorized personnel may not enter after the business hours, from 8:00 o'clock u.zo,uotil 5:00 o'clock n-ro., Monday through Friday, C. Lessee will permit tbc[cexorvt all reasonable times us allowed by law, tn enter the leased property to inspect its condition and at Lessor's election to make reasonable and necessary repairs 1bc/cou for the protection and for the preservation of the property, also the Lessor shall the right to enter opmo the leased property to ascertain its condition or to uxccnin\u the performance or mmo'perfhoz uocc of 4 m� � u{�cn�m��uf�s]cu����m du premises the expiration of this lease agreement. 15. INSURANCE: Lessee shall keep the leased property insured throughout the term n[this lease as follows: The parties hereto understand and agree that the Lessee is an agency u/the State of Montana and ix self- insured uoduziheprnvisiomunf Title 2. Ch. 9 Montana Codes Annotated, MS[l will maintain insurance required for state ugcocicx as provided under Title 2. [h. 9, Montana {~ndcx Annotated, The uTuto{ury limits of li ability are $750,000 for each claim and $1.5 million for each occurrence. Any provisions 8{ this agreement, whether ornot incorporated herein by reference, will bccontrolled, limited and otherwise modified to limit any liability of the State of Montana and MSU to that set f in the above cited laws. A certificate o[ insurance will bc provided atthe start of the lease period. 16. SURRENDER UPON TERNIINATION, A. Lessee, upon leaving the premises hereby leased, shall u1 its own expense repai uoyUaouage occasioned by Lessee's occupancy and remove all dirt, rubbish and refuge, and upon the Lessee's failure to do w, the Lessor may iromudiuteKy, without further notice, do xm at (be Leuucc`s ospom»c, which the Lessee shall immediately pay upon receipt of a bill for the same from tile Lessor. B. Lessee ogncc* to return the }coxed property peacefully and promptly to the Lessor at the cod of the ieno of this |cuxc, or at any previous termination in as good condition as the same are in or hcncu8er pot in, ordinary wear expected. C. The Lessee shall on the last day of the term, or upon sooner termination of the term, peacefully and quietly surrender the ]eased property to the Lessor in as good condition as it was at the beginning reasonable wear and tear expected. Lessee shall remove all of its property so that Lessor can repossess and enjoy (hcloused property not later than noon on the day upon which the lease ends, whether upon notice orby holdover or other wise. Lessor shall have the same right tn enforce this covenant by 'cctnucmL for damages or \uuxe. Lessee may at any time hcfnoc or upon termination of this \ca*c nc000rc from the leased property all equipment, property and fixtures installed by Lessee provided such property is moved without substantial injury ofthcicuxoJproperty. No injury *hu]|hctmmxidcrcdauhxtoniiulifi1 is property corrected nrrestored t0(becondition prior tn the installation of such property. Any such property not removed shall become the property nf the Lessor. Any injury uoirenuircdzouyhc corrected by Lessor, and [cxxcm shall promptly reimburse Lessor upon receipt of its stu1umocmL therefore. 17. RESTROONI FACII,ITIES; [csxo,ybcdK provide zcxtrooro facilities oo t premises for the use of Lessee and Lessee's agents. employees, and business io�ees,provided further that Lessee's use thereof shall not be exclusive but to the contrary, shall be in common with all the other Lessees, employees and business invitees Occupying or using the building. 18, SECURITY DEPOSIT: No deposit required for state agencies UV.IIOJ'DING OVER: lf Lessee shall remain io possession of the leased premises after the expiration of either the ori inal term of this lease or of any extended term, except pursuant to an exercise oy option N renew, such possession shall bcaaunimtbWmonth tenancy, with consent u{Lessor. If Lessee holds possession of the dernised premises after the term of this lease agreement, Lessee ,,hall become a tenant froin month -to -month on the terms specified in this lease agreement. Lessee shall continue to be a month -to -month tenant until the tenancy shall be terminated by Lessor, or new lease is executed, or until Lessee has given to lessor a written notice at least one month prior to date of termination of the monthly tenancy of Lessee's intention to terminate the tenancy. 20. NOTICE: A. All notices. demands, or other writings in this lease agreement provided to be given or made or sent, or which may be given or made or sent, by either party to the other, shall be deemed to have been C, fully given or made or sent when made in writing and deposited in the United States mail, registered and postage prepaid, and addressed as follows: To Lessor: Facilities Director, City of Bozernan, P.O. Box 1230, Bozeman, MT 59771-1230 To Lessee: SU-Extended University_Nlontana State University, P.O. Box 173860 Bozeman, MT 59717-3860B. The address to which any notice, demand, or other writing may be given or made or sent to any party above provided may be changed by written notice given by such party as provided. C. Lessee shall provide Lessor with a contact list to include at least one person that can be reached in the event of an emergency or for any occasion when Lessee is out of town or otherwise available, Such list will be kept current and updated as necessary. 21. TIME OF ESSENCE: Time if of the essence of this lease with respect to the performance by the Lessee of its obligations thereunder. Z__ 22. ENTIRE AGREEMENT: This lease agreement shall constitute the entire aorecinent between Z7 the parties. Any prior understanding or representation of any kind preceding the date of this lease agreement shall not be binding upon either party except to the extent incorporated in this lease agreement. 23, MODIFICATION OF AGREEMENT: Any modification of this lease agreement or additional obligation assumed by either party in connection with this agreement shall be binding only if evidenced in a writing signed by each party or an authorized representative of each party. L _ 24. ATTORNEY'S FEES: In any legal action brought by either party to enforce any of the terms of Z the Agreement, the prevailing party shall be entitled to all costs and expenses incurred in connection with such action, including a reasonable attorney's fee. Any and all legal action brought under this lease C7 or related to this agreement must be brought in Gallatin County, 25, PARAGRAPH HEADINGS: The paragraph headings in this instrument are for convenience only, and do not limit or construe the contents of any para graphs. 26. BINDING EFFECT: This Agreement shall be binding upon and inure to the benefit of the heirs, successors, administrators and assigns of the parties hereto. 27. SIGNAGE: Lessee shall pay for any signage located on the wall next to the office entry door; such signage shall be similar to other signage in the building. Lessor shall add Lessee's name to the L_ building marquee. There shall be no exterior signage allowed. L _ 28. INDEMNIFICATION: 6 a) Lessee's Indemnity. Lessee indemnifies, defends, and holds Lessor harmless from claims: (i) for personal injury, death, or property darnage, or (11) for incidents occurring in or about the Premises or Building; and for which t7 L- (iii) under either (i) or (11) are caused by the negligence or willful misconduct of Lessee, its agents, employees,. When the claim is caused by the joint negligence or willful misconduct of Lessee and Lessor or Lessee and a third party unrelated to Lessee, except Lessee', agents or employees, Lessee's duty to defend, indemnify, allocable share of the joint negligence or willful misconduct. (b) Lessor's Indemnity. Lessor indemnifies, defends, and hold, Lessee harmless from claims: (i) for personal injury, death or property damage; (i1) for incidents occurring in or about the Premises or Building, and; (iii) caused by the negligence or willful misconduct of Lessor, its agents, or employees. (c) Lessee's sole remedy to satisfy the judgment shall be: (1) Lessor's interest in the Building and Land including the rental income and proceeds from sale, and 01) any insurance or condemnation proceeds received because of damage or condemnation to, or of, the Building or Land that are available for use by Lessor. When the claim is caused by the joint negligence or willful misconduct of Lessor and Lessee or Lessor and a third party unrelated to Lessor, except Lessor's agents, employees, or invitees, Lessor's duty to defend, indemnify, and hold Lessee harmless shall be in proportion to Lessor's allocable share of the joint negligence or willful misconduct. (d) Release of Claims. Notwithstanding paragraphs (a), (b), and (c), the parties release each other from any claims either party (Injured Party) has against the other. This release is limited to the extent the claim is covered by the Injured Party's insurance or the insurance the Injured Party is required to carry under Section 11, whichever is greater. 29. SPECIAL PROVISIONS: The Lessee agrees not to discriminate in the fulfillment of this Lease Agreement, or in any training classes or activities that take place on the premises, on the basis of 7 race, color, religion, creed, sex, age, marital status, national origin, or actual or perceived sexual orientation, gender identity or disability. The Lessee agrees this requirement shall apply to the hiring and treatment of the Lessee's employees, contract instructors, and all persons taking classes. DATE /Ir 20 DATE �b 20 1 " k Lessor/Manager L� Marilyn JarvW Lessee — MSU Extended University