HomeMy WebLinkAboutStaff Report Agenda Item #3.B 02/02/2015DATE:
TO:
FROM
February 2, 2015
Honorable Mayor and Members of the City Council through City Manager
Sue Castellucci, Housing
SUBJECT: An Ordinance (Second Reading) Authorizing Lease of Real Property Located at
1500 Petaluma Blvd. South, Petaluma, CA (APN: 019-210-012) to the Petaluma
People Services Center (PPSC) and Authorizing the City Manager to Execute the
Lease and Related Documents
RECOMMENDATION
It is recormuended that the City Council adopt the attached Ordinance Authorizing Lease of Real
Property Located at 1500 Petaluma Blvd South, Petaluma, CA (APN 019-210-012) to the
Petaluma People Services Center (PPSC) and Authorizing the City Manager to Execute the
Lease and Related Documents.
BACKGROUND
On January 26, 2015, the City Council unanimously approved the first reading of an ordinance
authorizing a lease of real property located at 1500 Petaluma Blvd. South, Petaluma, CA
(A.P.N. 019-210-012) to the Petaluma People Services Center (PPSC) and authorizing the City
Manager to execute the lease and all related documents. The recommended action provides for a
second reading and adoption of the ordinance.
FINANCIAL IMPACTS
In consideration of the fact that PPSC is providing a valuable community service, the rent on the
leased space is proposed to be $1.00 per year.
ATTACHMENTS
1. • Ordinance
EFFECTIVE DATE
OF ORDINANCE
Introduced by
ATTACHMENT 91
ORDINANCE NO. N.C.S.
Seconded by
ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PETALUMA APPROVING
A LEASE AGREEMENT, BETWEEN PETALUMA PEOPLE SERVICES CENTER, A CALIFORNIA
NONPROFIT PUBLIC BENEFIT CORPORATION ("TENANT") AND THE CITY OF PETALUMA
("LANDLORD") FOR A PORTION OF IMPROVED REAL PROPERTY(APN 019-210-012)
("PREMISES"), 1500 PETALUMA BOULEVARD SOUTH, PETALUMA, CA.
AND AUTHORIZING THE CITY MANAGER TO EXECUTE ALL DOCUMENTS NECESSARY TO
COMPLETE THE LEASE TRANSACTION
WHEREAS, Section 46 of the Charter of the City of Petaluma requires that specified
actions for the acquisition, sale, or lease of real property be taken by Ordinance; and,
WHEREAS, Landlord owns in fee simple real property located at 1500 Petaluma Boulevard
South, Petaluma, CA. (Assessor's Parcel Number: 019-210-012), which has been improved with a
building ("Property"); and
WHEREAS, Landlord currently rents half of the Property to the Committee on the
Shelterless for performance of homeless services and programs, the other half of the Property,
approximately 5,000 (five thousand) square feet, has been occupied by Tenant; and
WHEREAS, currently, Tenant provides essential social and human services to prevent
homelessness; tenant/landlord mediation; and rental assistance for the low income community
in Petaluma on the property; and
WHEREAS, Tenant desires to offer their services to the low income community in
Petaluma, and the Landlord desires to provide a location at which the Tenant may offer such
services, subject to the terms and conditions of the lease attached to and made a part of this
ordinance as Exhibit A; and
WHEREAS, the City Council finds this action qualifies for categorical exemption under the
California Environmental Quality Act (CEQA) pursuant to Title 14, Chapter 3 of the California
Code of Regulations (CEQA Guidelines), sections 15061, 15301 because the project involves
operation, repair, maintenance, permitting, leasing, licensing and minor alteration of an existing
facility involving negligible or no expansion of use beyond that existing at the time of the City's
determination, in that leasing to PPSC about half or 5,000 square feet of the City owned property
at 1500 Petaluma Boulevard South for the provision of social services programs pursuant to the
lease will not result in significant expansion of use of the property in terms of impacts on the
property and the neighborhood beyond the current impacts of the services being offered on
site.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF PETALUMA AS
FOLLOWS:
Section 1: The above recitals are true and correct and incorporated into this
ordinance as findings of the City Council.
Section 2: The City Council approves the lease, between the City of Petaluma as
Landlord, and PPSC, as Tenant, a copy of which is attached as Exhibit A.
Section 3: On behalf of the City, the City Manager is authorized and directed to
execute documents substantially in accordance with Exhibit A, as determined by the City
Attorney, and all other documents reasonably necessary to complete the lease transaction.
Section 4: If any section, subsection, sentence, clause, phrase or work of this
Ordinance is for any reason held to be unconstitutional, unlawful or otherwise invalid by a court
of competent jurisdiction or preempted by State legislation, such decision or legislation shall not
affect the validity of the remaining portions of this Ordinance. The City Council of the City of
Petaluma hereby declares that it would have passed and adopted this Ordinance and each
and all provisions thereof irrespective of the fact that any one or more of said provisions be
declared unconstitutional, unlawful other otherwise invalid.
Section 5: This Ordinance shall become effective thirty (30) days after the date of its
adoption by the Petaluma City Council.
Section 6: The City Clerk is hereby directed to publish or post this Ordinance or a
synopsis for the period and in the manner provided by the City Charter and any other
applicable law.
INTRODUCED and ordered posted this 2611, day of January 2015.
ADOPTED this _ day of , 2015 by the following vote:
Ayes:
Noes: None
Abstain:
None
Absent:
None
ATTEST:
Claire Cooper, CMC, City Clerk
David Glass, Mayor
APPROVED AS TO FORM:
Eric W. Danly, City Attorney
ACHMENT #2 = Exhibit A to Ordinance
4
LEASE
This Commercial Lease Agreement (the "Lease"") is entered into as of
, 2015, by and between the City of Petaluma, a California charter city
("Landlord") and Petaluma People Services Center, a California nonprofit public benefit
corporation ("Tenant"). Landlord and Tenant are hereinafter referred to individually as "Party'
and collectively as "Parties."
RECITALS
A. Landlord owns in fee simple real property located at 1500 Petaluma Boulevard
South, Petaluma, CA. (Assessor's Parcel Number: 019-210-012), which has been improved with
a building ("Property').
B. Landlord currently rents half of the Property to the Committee on the Shelterless,
with the other half of the Property, approximately 5,000 (five thousand) square feet leased to
Tenant.
C. Currently, Tenant provides essential social and human services to the low income
community in Petaluma at 1500 Petaluma Blvd. South.
D. Tenant desires to offer their services and programs to low income families, and
the Landlord desires to provide a location at which the Tenant may offer such services, subject to
the terms and conditions herein.
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of
which are hereby acknowledged, the Parties agree as follows:
1. PREMISES: Landlord hereby leases the Property to Tenant in accordance with
this provision, including approximately half of the building, unimproved areas of the Property,
driveways, parking facilities, and pedestrian and vehicular ingress, egress and travel ways , (the
"Premises"), all as depicted in Exhibit A attached hereto in accordance with the provisions of
this Lease. Common and shared use facilities in and around the building on the Property are
included in the Premises subject to this Lease and leased non -exclusively to Tenant. Tenant's
obligations regarding the Premises pursuant to this Lease, including, but not limited to, Tenant's
use, maintenance and repair, indemnity and insurance obligations, apply to the entire Premises,
including the common and shared use facilities, and such Tenant obligations concerning portions
of the Premises leased non -exclusively to Tenant shall be joint and several with the obligations
of any other entity to whom portions of the Premises may be leased non -exclusively.
2. TERM: The term of this Lease shall commence on March 2, 2015
("Commencement Date") and continue through April 30, 2021, unless terminated sooner in
accordance with the provisions of this Lease (the "Rental Period"). The Parties agree to execute
and record a Memorandum of this Lease in the official records of Sonoma County.
3. RENT: In consideration of the fact that PPSC is providing valuable community
service, Tenant shall pay annual rent for the period in the sum of $1.00 per year for the use and
occupancy of the Premises, due as -of the Commencement Date and each -anniversary thereof.
4. TRIPLE NET LEASE: This is a triple net lease to Landlord. It is the intent of the
Parties that the Rent shall be an absolutely net return to Landlord. Tenant shall pay all costs and
expenses relating to Tenant's occupancy of the Premises of any kind or nature whatsoever. Such
costs and expenses include, without limitation, all amounts attributable to, paid or incurred in
connection with Tenant's operation, repair, maintenance (whether interior or exterior) and
management of the Premises; all taxes and assessments; insurance premiums; security; janitorial
services; labor; costs of licenses, pen -nits and inspections; and all other costs and expenses
incurred or paid by Tenant with respect to the Premises.
5. USE: The premises shall be used for Tenant's administrative offices and a
central site for social service programs including, but not limited to: in-home services for
seniors, youth and family counseling, drug and substance abuse prevention, job training
and placement for low income youth and adults, neighborhood youth cops projects and
countywide information for persons in need. ("Use"). No other use may be conducted on
the Premises other than the Use. Landlord may treat any other use of the Premises by
Lessee as an Event of Default. Permission granted for the Use in this Lease does not
constitute regulatory approval, and to the extent that such Use is subject to any regulatory
approval or permit, such Use shall not commence until any and all applicable regulatory
approvals and/or permits have been granted.
6. COMPLIANCE WITH LAWS. Tenant shall procure and maintain all
governmental approvals, permits and licenses required for the lawful conduct of Tenant's
permitted use of the Premises and shall comply with all state, federal and local laws, rules and
regulations in connection with its use and occupancy of the Premises. Landlord may treat
Tenant's failure to connply with such state, federal and local laws as an Event of Default.
7. UTILITIES AND SERVICES: Tenant shall pay when due all charges or
assessments for telephone, water sewer, gas, heat, electricity, garbage disposal, trash disposal
and all other utilities and services that are supplied to the Premises.
8. MAINTENANCE AND REPAIR: Tenant shall maintain the Premises in a clean
and sanitary condition. Landlord shall have no obligation to make repairs to or perform
maintenance of the Premises. Without limiting the provisions in Section 4 of this Lease, Tenant
shall pay all costs and expenses attributable to or incurred in connection with Tenant's use and
occupancy of the Premises, including janitorial and landscape maintenance services. In the event
that Tenant fails to maintain or keep the Premises in good repair or if Tenant's acts or omissions
result in a nuisance or health or safety risk, at Landlord's option, Landlord may perform any such
required maintenance and repairs. Within tett (10) days of Tenant's receipt of Landlord's
invoice therefore, Tenant shall pay Landlord's costs incurred in connection with such repairs.
9. SECURITY: Tenant is responsible for providing its own security on the Premises
as Tenant deems necessary in its sole discretion.
10. STATUTORY NOTICE POSSESSORY INTEREST TAX, TAXES AND
ASSESSMENTS: Throughout the Term, Tenant shall pay prior to delinquency, all applicable
real property taxes, possessory interest taxes, license and permit fees, sales, use or occupancy
taxes, assessments whether general or special, ordinary or extraordinary, foreseen or unforeseen,
of any kind or nature whatsoever_ pertaining -to the Premises or apart thereof (collectively.
"Impositions"). Specifically, Tenant is advised that under California Revenue and Taxation
Code Section 107.6, execution of this Lease may create a possessory interest for Tenant subject
to property taxation. Tenant hereby agrees that if such possessory interest is created and is
subject to property taxation, Tenant shall be solely responsible for the payment of any property
taxes levied on any such interest. Upon request by Landlord. Tenant shall furnish, in a form
satisfactory to Landlord, evidence of payment prior to delinquency of all Impositions paid by
Tenant.
11. AS -IS CONDITION OF PREMISES: Tenant is leasing the Premises in its "AS
IS" condition as such condition exists as of the Commencement Date. By executing this Lease,
Tenant acknowledges that it has had the opportunity to inspect the Premises and accepts the
Premises in the AS IS condition.
12. FUTURE ALTERATIONS AND REPAIRS: Except as provided in this Section,
Tenant shall not make alterations to the Premises without the prior written consent of Landlord.
Landlord agrees that "Tenant is entitled to male repairs as part of its normal maintenance and risk
management programs.
13. INDEMNITY: To the maximum extent permitted by law, tenant shall indemnify,
defend (with counsel reasonably acceptable to Landlord) and hold Landlord, the City of
Petaluma, and its officials, officers, agents, employees, contractors, guests and invitees
(collectively, "Indemnitees") harmless from and against any and all claims, demands, liabilities,
losses, damages, expenses and causes of actions of any kind, including, but not limited to,
attorneys' fees and costs of suit ("Losses") arising out of or in connection with use, occupation,
operation, improvement, repair or management of the Premises; and/or failure to comply with
any of Tenant's obligations contained in this Lease; by Tenant or any of Tenant's officials,
officers, employees, contractors, agents, or volunteers, provided that Tenant shall not be
obligated to indemnify, defend or hold the lndenmitees harmless for Losses resulting from
Indenmitees' sole or active negligence or willful misconduct . Tenant's indemnity obligation in
this provision shall survive the termination or expiration of this Lease with respect to any Losses
that occur during the Term.
14. INSURANCE REOUIREMENTS: During the term of this Lease, all extensions
thereof, hold -over periods or any other occupancy of the Premises by Tenant, Tenant shall
maintain at its sole cost and expense, the following insurance coverages: (i) Comprehensive
General Liability insurance issued by a carrier authorized to sell insurance in the State of
California, written on an occurrence basis, and providing coverage for bodily injury, death and
property damage caused by or occurring in connection with Tenant's use and occupancy of the
Premises with a policy limit of at least Two Million U.S. Dollars ($2,000,000) per occurrence;
(ii) Workers' Compensation insurance in compliance with the requirements of law; and (iii)
properly insurance providing coverage against tire, casualty loss and damage to the Premises.
Tenant shall provide Landlord with satisfactory evidence of the foregoing insurance coverage
prior to the commencement of the Term and, upon Landlord's request, of its continuance in force
throughout the Term. The foregoing insurance policies shall be primary and noncontributing
with respect to any policies issued to Landlord and shall name Landlord as additional insureds
and/or loss payees, as their interests may appear.
7
15. NONDISCRIMINATION: Tenant hereby covenants by and for itself and its
successors and assigns, and all persons claiming under or through it, and this Lease is made and
accepted upon and subject to the conditions that there shall be no discrimination against or
segregation of any person or group of persons on any basis listed in subdivision (a) or (d) of
Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926. 1,
subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of
the Government Code, in the leasing, subleasing, transferring, use, occupancy, tenure or
enjoyment of the Premises nor shall Tenant or any person claiming under or through it establish
or permit any such practice or practices of discrimination or segregation with reference to the
selection, location, number, use or occupancy of tenants, subtenants or vendees in the Premises.
17. RIGHT OF ENTRY: To the maximum extent provided by law, Landlord shall
have the right to enter and to inspect the Premises to ensure compliance with this Lease at all
reasonable times during the term of this Lease, provided that the Tenant is given at least 24
(twenty-four) notice of any inspection. Notwithstanding the foregoing, in the event of an
emergency, Landlord shall have the right to enter, to inspect, and to undertake any repairs or take
other action as necessary to mitigate the emergency without notice. Tenant shall provide
Landlord with a key to all Tenant -furnished locks securing the Premises and/or Landlord shall
retain a key to any Landlord -furnished lock(s).
18. PREVAILING WAGE. This Lease shall be subject to the requirements of
the California Prevailing Wage Law, California Labor Code Section 1720 et seq., and to
the extent applicable, Tenant shall comply with all applicable requirements of the
California Prevailing Wage Law, including, but not limited to, all applicable
requirements contained in Exhibit B, which is attached to and made a part of this
Agreement. Tenant's noncompliance with the applicable requirements of this section
shall constitute an Event of Default. Notwithstanding the foregoing, prior to undertaking
any improvement, alteration or maintenance, the Parties may agree in writing that the
proposed improvement, alternation or maintenance does not fall within the definition of
public works as defined in Labor Code section 1720, or alternatively, is otherwise exempt
from complying with Prevailing Wage Law.
19. SUBLETTING: Tenant shall not assign this Lease or sublet any portion of the
Premises without the prior written consent of Landlord.
20. DEFAULT: Tenant shall be in default of this Lease upon the occurrence of any
of the following ("Events of Default"): (i) the failure to pay any monetary obligation when due,
(ii) the failure to obtain and maintain insurance required by this Lease, (iii) the voluntary or
involuntary transfer of all or any portion of Tenant's interest in the Premises without Landlord's
prior written consent, or (iv) a default in the performance of any term, provision, covenant or
agreement pursuant to this Lease. Upon the occurrence of an Event of Default, the non -
defaulting party shall deliver a notice to the non-performing party ("Notice of Default") slating
the nature of the obligation which such non-performing party has failed to perform, and stating
the applicable period of time, if any, permitted to cure the default. Failure to give, or delay in
giving, a Notice of Default shall not constitute a waiver of any obligation or covenant required to
be performed hereunder.
21._ TERMINATION, REMEDIES
til
I
. Termination for Cause: Upon the occurrence of any Event of Default, and
in addition to any and all other rights or remedies of Landlord hereunder and/or provided
at law or in equity, Landlord shall have the right to terminate this Lease and Tenant's
possessory rights hereunder in accordance with applicable law. No remedy specified in
this Lease shall be considered exclusive of any other remedy, but the same shall be
cumulative.
b. Termination without Cause: Landlord may terminate this Lease at any
time for any reason after delivering Notice as defined in section 22 at least sixty (60) days
in advance of its intent to terminate the Lease. Tenant agrees to vacate the Premises
within sixty (60) days of the Notice of the intent to terminate the Lease being delivered
and agrees to the Release as set forth in Section 21.c.
C. Release for Termination without Cause: Upon termination of
this Lease, without cause, Tenant may be or may become eligible to receive
compensation, reimbursement, assistance, including, but not limited to, the fair
market value of real and personal property, loss of goodwill, loss of profits, actual
and reasonable expenses for moving a business, loss of tangible real properly as a
result of moving the business, expenses incurred in searching for replacement site
for the business, expenses to reestablish at the new site, "in -lieu payments" and
other such benefits (collectively, "Benefits") under the California Relocation
Assistance Act (Government Code, § 7260, et seq.). Title 25 of the California
Code of Regulations, Article 1, § 19 of the California Constitution, the California
Eminent Domain Law (Civil Procedure Code, § 1230.010, et seq.) or other similar
local, state, or federal statute, ordinance, regulation, rule, or decisional law
(collectively "Compensatory Laws"). Tenant further acknowledges that it has
received full and fair compensation of all Benefits Tenant is or might be or might
become entitled to recover from Landlord as a result of or in any way related to,
the Premises, the execution of this Lease, and the subsequent expiration or
termination of this Lease. Therefore, being fully informed of and understanding
the acknowledgements made herein and of Tenant's rights or potential rights to
benefits under the Compensatory Laws, Tenant hereby expressly and
unconditionally waives, and releases Landlord from, any and all rights of Tenant
to claim, demand, sue for, or receive any Benefits which Tenant is or might be or
might become entitled to recover from Landlord as a result of or in any way
related to the Premises, the execution of the Lease, and the subsequent expiration
of or termination of the Lease. The Landlord acknowledges and agrees that the
release and waiver set forth in this paragraph is material consideration for
Landlord entering into this Lease, and that but for this release and waiver,
Landlord would not have entered into this Lease. By releasing and forever
discharging the claims described herein, Lessee expressly waives any rights under
California Civil Code section 1542, which provides:
"A GENERAL RELEASE DOES NOT EXTEND TO
CLAIMS WHICH THE CREDITOR DOES NOT
KNOW OR SUSPECT TO EXIST IN HIS OR TIER
FAVOR AT THE TIME OF EXECUTING THE
RELEASE, WHICH IF KNOWN BY HIM OR HER
9
MUST HAVE MATERIALLY AFFECTED HIS OR
HER SETTLEMENT WITH THE DEBTOR."
Tenant's Initials Landlord's Initials
22. NOTICES: All notices shall be deemed given when made in writing and
deposited in the United States mail, certified, postage prepaid and addressed to such party the
following address:
To Landlord: City of Petaluma
1 I English Street
Petaluma, CA 94952
Attention: Housing Administrator
Telephone: (707) 778-4555
Facsimile: (707) 778-4586
To Tenant: Petaluma People Service Center (PPSC)
1500 Petaluma Blvd. South
Petaluma. CA 94952
Attention: Executive Director
Telephone: (707) 765-8488
Facsimile: (707) 765-8482
Either Party may change its address for the receipt of notices by giving written notice of
change to the other Party. Either Party may give personal notice to the other Party.
23. FAILURE TO VACATE: In the event that Tenant holds over. Landlord's shall
have all remedies as may be available to Landlord at law or in equity. In addition, Tenant shall
indemnify, defend (with counsel reasonably acceptable to Landlord) and hold harmless Landlord
and the City of Petaluma from all Losses resulting from Tenant's failure to vacate pursuant to
this Lease. This indemnity shall survive the expiration or termination of the Lease.
24. DISPOSITION OF IMPROVEMENTS: Prior to the expiration or termination of
this Lease, Tenant shall (i) remove all personal equipment, improvements, fixtures and property
placed on the Premises by Tenant, (ii) repair any damage caused by said removal, and (iii)
restore the Premises to its condition on the Commencement Date, less normal wear and tear,
except as Landlord may otherwise approve in writing. Except as expressly provided herein, upon
the expiration or earlier termination of this Lease all existing structures and other improvements
on the Premises shall unconditionally be and become the sole property of Landlord, and Tenant
shall have no right to compensation therefore. In the event that Tenant does not remove its
personal property within thirty (30) days after Lease expiration or termination, Landlord, at its
option, may deem such property abandoned and either retain or dispose of it in accordance with
applicable law.
10
25. INDEPENDENT CONTRACTOR: This Lease shall not be construed or
interpreted to create a partnership orjoint venture between Landlord and Tenant.
26. CORPORATE AUTHORITY: Each individual executing this Lease on Tenant's
behalf represents and warrants that he or she is duly authorized to execute and deliver this Lease
on Tenant's behalf and that this Lease is binding on Tenant in accordance with its terms.
27. SEVERABILITY: The determination that a provision of this Lease is illegal or
unenforceable shall not affect any other provision of this Lease.
28. BINDING CLAUSE: The provisions, covenants and conditions of this Lease
shall extend to, be binding upon and insure to the benefit of the heirs, executors, administrators,
successors and assigns of the respective Parties hereon.
29. SECTION HEADINGS: All section headings contained herein are for
convenience of reference only and are not intended to define or limit the scope of any provisions
of this Lease.
30. ESSENCE OF TIME: Time is of the essence for every provision, covenant and
condition of this Lease.
31. ENTIRE AGREEMENT: This Lease contains all the agreements of the parties
hereto and supersedes all prior negotiations and written agreements. There have been no
representations by Landlord or understandings made between Landlord and Tenant other than
those set forth in this Lease.
32. AMENDMENT: This Lease may only be modified or amended by a written
instrument duly executed by the Parties hereto.
IN WITNESS WHEREOF, this Lease has been executed by the Parties hereto as of the
date listed below.
SIGNATURES ON FOLLOWING PAGE.
TENANT
Petaluma People Services Center
By:,CPCf�lY(l
Elece Hempel, Esecutivc Director
LANDLORD
City of Petaluma
By:
John Brown, City Nlanager
Attest:
By:
Claire Cooper, City Clerk
Approved its to form:
By:
Eric W. Danly
City Attorney
12
Exhibit A to the Lease
Premises
13
I I I i I I I I I
0 25 50 100 Feet
14
Exhibit B to the Lease
15
PREVAILING WAGE EXHIBIT B
HOURS OF WORK:
A. In accordance with California Labor Code Section 1810, eight (8) hours of labor in
performance of the Services shall constitute a legal day's work under this Agreement.
B. In accordance with California Labor Code Section 1811, the time of service of any
worker employed in performance of the Services is limited to eight hours during any one
calendar day, and forty hours during any one calendar week, except in accordance with
California Labor Code Section 1815; which provides that wort: in excess of eight hours
during any one calendar day and forty hours during any one calendar week is permitted
upon compensation for all hours worked in excess of eight hours during any one calendar
day and forty hours during any one calendar week at not less than one -and -one-half limes
the basic rate of pay.
C. The Consultant and its subconsultants shall forfeit as a penalty to the City $25 for each
worker employed in the performance of the Services for each calendar day during which
the worker is required or permitted to work more than eight (8) hours in any one calendar
day, or more than forty (40) hours in any one calendar week, in violation of the
provisions of California Labor Code Section 1810 and following.
WAGES:
A. In accordance with California Labor Code Section 1773.2, the City has determined the
general prevailing wages in the locality in which the Services are to be performed for
each craft or type of work needed to be as published by the State of California
Department of Industrial Relations, Division of Labor Statistics and Research, a copy of
which is on file with the City and shall be made available on request. The Consultant and
subconsultants engaged in the performance of the Services shall pay no less than these
rates to all persons engaged in performance of the Services.
B. In accordance with Labor Code Section 1775, the Consultant and any subconsultants
engaged in performance of the Services shall comply Labor Code Section 1775 which
establishes a penalty of up to $50 per day for each worker engaged in the performance of
the Services that the Consultant or any subconsultant pays less than the specified
prevailing wage. The amount of such penalty shall be determined by the Labor
Commissioner and shall be based on consideration of the mistake, inadvertence, or
neglect of the Consultant or subconsultant in failing to pay the correct rate of prevailing
wages. or_the _previous _record _of_ the _Consultant _ or_subconsiltant_in_meeting applicable_____
16
prevailing wage obligations, or the willful failure by the Consultant or subconsultant to
pay the correct rates of prevailing wages. A mistake, inadvertence, or neglect in failing
to pay the correct rate of prevailing wages is not excusable if the Consultant or
subconsultant had knowledge of their obligations under the California Labor Code. The
Consultant or subconsultant shall pay the difference between the prevailing wage rates
and the amount paid to each worker for each calendar day or portion thereof for which
each worker was paid less than the prevailing wage rate. If a subconsultant worker
engaged in performance of the Services is not paid the general prevailing per diem wages
by the subconsultant, the Consultant is not liable for any penalties therefore unless the
Consultant had knowledge of that failure or unless the Consultant fails to comply with all
of the following requirements:
1. The Agreement executed between the Consultant and the subconsultant for the
performance of part of the Services shall include a copy of the provisions or
California Labor Code Sections 1771. 1775, 1776, 1777.5, 1813, and 1815.
3. The Consultant shall monitor payment of the specified general prevailing rate of
per diem wages by the subconsultant by periodic review of the subconsultant's
certified payroll records.
3. Upon becoming aware of a subconsultant's failure to pay the specified
prevailing rate of wages, the Consultant shall diligently take corrective
action to halt or rectify the failure, including, but not limited to, retaining
sufficient funds due the subconsultant for performance of the Services.
4. Prior to malting final payment to the subconsultant, the Consultant shall obtain an
affidavit signed under penalty of perjury from the subconsultant that the
subconsultant has paid the specified general prevailing rate of per diem wages
employees engaged in the performance of the Services and any amounts due
pursuant to California Labor Code Section 1813.
C. In accordance with California Labor Code Section 1776, the Consultant and each
subconsultant engaged in performance of the Services, shall keep accurate payroll records
showing the name, address, social security number, work classification, straight time and
overtime howl worked each day and week, and the actual per diem wages paid to each
journeyman, apprentice, worker, or other employee employed in performance of the
Services. Each payroll record shall contain or be verified by a written declaration that it
is made under penalty of perjury, stating both of the following:
The information contained in the payroll record is true and correct.
3. The employer has complied with the requirements of Sections 1771, 1811, and
1815 for any Services performed by the employer's employees on the public
works project.
17
The payroll records required pursuant to California Labor Code Section 1776 shall be
certified and shall be available for inspection by the Owner and its authorized
representatives, the Division ol' Labor Standards Enforcement, the Division of
Apprenticeship Standards of the Department of Industrial Relations and shall otherwise
be available for inspection in accordance with California Labor Code Section 1776.
D. In accordance with California Labor Code Section 1777.5, the Consultant, on behalf of
the Consultant and any subconsultants engaged in performance of the Services, shall be
responsible for ensuring compliance with California Labor Code Section 1777.5
governing employment and payment of apprentices on public works contracts.
G. In case it becomes necessary for the Consultant or any subconsultant engaged in
performance of the Services to employ on the Services any person in a trade or
occupation (except executive, supervisory, administrative, clerical, or other non manual
workers as such) for which no minimum wage rate has been determined by the Director
of the Department of Industrial Relations, the Consultant shall pay the minimum rate of
wages specified therein for the classification which most nearly corresponds to Services
to be performed by that person. The minimum rate thus furnished shall be applicable as a
minimum for such trade or occupation from the time of the initial employment of the
person affected and during the continuance of such employment.
18
ATTACHMENT #3
It ECO R D ING It F()l F's 11:1) it)
\\U t\ In N REtORUEU RLI I RN 'f O:
City of Pclalmna
P. O. Oos 61
Petaluma, CA 94952-2610
Alm: City Clerk
EXENIP I' FROM RECORDING FEES PER
(a VI-RN%11-NI ll 101- i3O) 1(13.'7+N1
Space above this line for Recorder's use.
MEMORANDUM OF LEASE
This Memorandum of Lease (this "Memorandum"), dated for reference purposes as of
, 2015, by and between the City of Petaluma, a public body, corporate and
politic ("Landlord") and Petaluma People Services Center, a California nonprofit public benefit
corporation, ("Tenant"), in reference to and consideration of that certain Commercial Lease
Agreement dated as of 2015 ("Effective Date"), by and between
Landlord and Tenant (the "Lease").
1. The purpose of this Memorandum is to provide notice of the existence of the
Lease which is incorporated herein by this reference.
2. Landlord is the owner of fee title to the Property located at 1500 Petaluma
Boulevard South, in the City of Petaluma, California, (the "Property").
3. Pursuant to the Lease, Landlord leases to Tenant, and Tenant leases from
Landlord, the existing improvements located on the Property (the "Premises") subject to all of
the terms and conditions set forth in the Lease.
4. The term of the Lease shall be March 2, 2015, to and including April 30, 2021.
5. In the event of any conflict between this Memorandum and the terns and
conditions of the Lease, the terms and conditions of the Lease shall control.
6. This Memorandum may be executed in counterparts, each of which shall be an
original, and all of which together shall constitute one fully -executed agreement.
IN WITNESS WI-IEREOP, the parties have executed this Memorandum as of the date set
forth above.
19
LANDLORD 'rENANT
CITY OF PETALUMA PETALUMA PEOPLE SERVICE CENTER
By: By:
John Brown, City Manager Elece Hempel, Executive Director
Attest:
Claire Cooper, City Cleric
Approved as to form:
Eric W. Danly, City Attorney
SIGNATURES MUST BE NOTARIZED.
20
FORM OF ACKNOWLEDGMENT
STATE OF CALIFORNIA
) ss.
COUNTY OF SONOMA
On . 20_, before me, , a Notary Public, personally
appeared , who proved to me on the basis of satisfactory evidence
to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged
to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by
his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the
person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature
(seal)
21