HomeMy WebLinkAbout021332 ORD - 02/11/1992AN ORDINANCE
AUTHORIZING THE CITY MANAGER TO EXECUTE A TEN-YEAR (10) LEASE
AGREEMENT WITH NUECES COUNTY COMMUNITY ACTION AGENCY FOR
PROPERTY LOCATED ON MORRIS STREET AND HARMON AVENUE; AND
PROVIDING FOR PUBLICATION.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI,
TEXAS:
SECTION 1. That the City Manager is hereby authorized to execute a 10 -year (10)
lease agreement with Nueces County Community Action Agency for property located on Morris
Street and Harmon Avenue, a substantial copy of which is attached hereto and made a part hereof,
marked Exhibit "A."
SECTION 2. Publication shall be made in the official publication of the City of
Corpus Christi as required by the City Charter of the City of Corpus Christi.
mono
AG:5000.077.kp
021332
NCCAA LEASE
THE STATE OF TEXAS §
COUNTY OF NUECES §
WHEREAS, the CITY OF CORPUS CHRISTI, TEXAS ("City") is the
owner of real property located at:
Lots 1 through 12 both inclusive, Block 11 in Steele's
Addition to the City of Corpus Christi, Nueces County,
Texas conveyed to the City by Edward A. and Maria E.
Chapa in Volume 2094, Page 738 of the Deed of Records of
Nueces County, Texas, together with all improvements
located or which may be constructed on the above
described lots "Facilities" collectively (" Property");
and
WHEREAS, the Nueces County Community Action Agency, a Texas
nonprofit corporation (the "Lessee"), desires to lease the
Property.
NOW, THEREFORE, In consideration of the foregoing and the
mutual promises herein contained, the City and Lessee agree as
follows:
I. USE
The City does hereby lease, let, and demise to Lessee the
Property, and all improvements located or to be located thereon for
the consideration, and such other consideration as provided by this
Lease, of one dollar ($1.00) per year due and payable on
September 1, 1992 or date of completion of the Facilities whichever
occurs first and payable on that same date each succeeding year of
the Lease.
II. TERM
The term of this Lease shall be effective sixty (60) days
after the third (3rd) reading and continue for ten (10) years,
subject to the provisions concerning termination as stated herein.
III. PURPOSE
Lessee shall operate the Facilities and the Property
exclusively for the following purposes, and uses incidental
thereto: To further the primary objective of the Act as outlined
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Er "A"
ill Federal Register 24 CFR 570.200(a)(2) to serve as a Headstart
campus to provide preschool activities to include educational,
nutritional, medical, dental, psychological, and other services to
approximately 80 underprivileged, low income children ages three to
five at all times in accordance with Housing and Urban
Development's (HUD) Community Development Block Grant (CDBG)
regulations and all local, state, and federal requirements and
laws.
IV. FURNISHING BUILDING
It is understood that Lessee will be responsible for
furnishing and equipping the Facilities and that City has no
obligation to furnish any equipment or furnishings for the Lessee.
All personal property furnished by Lessee or donated by others in
behalf of Lessee will remain the property of Lessee unless
specifically donated to City.
V. MAINTENANCE
During the term of this Lease, Lessee will maintain, at its
sole expense, the exterior and interior of the Facilities and any
other improvements on the Property, all fixtures connected
therewith, all personal property thereon, exterior walks and
driveways, and all lawn, vegetation and landscaping. Maintenance
shall be of such quality as to maintain the Property in a first-
class condition. Lessee shall obtain, at its own expense, all
building permits, all utility services, garbage collection,
janitorial services, and similar services.
VI. INFORMATION, RECORDS, REPORTS & DOCUMENTATION
Lessee agrees to keep and maintain, in a manner acceptable to
the City Manager or his Designee, adequate books and records
showing all receipts and disbursements, which shall be available
for examination by the Director of Finance or his designated
representative or HUD representatives at any time within usual
business hours, and to provide the City, ninety (90) days after the
end of Lessee's fiscal year, with an annual report including, but
not limited to, a balance sheet and either an income statement or
receipts and disbursements for the preceding year prepared by a
certified public accountant. Lessee shall, on a quarterly basis,
provide City with weekly reports itemizing the activities held or
presented at the Facilities or by Lessee, the number of people
visiting the Facilities or otherwise served by the Facilities.
Lessee shall also keep and provide access to records
documenting compliance with Section 109 of the Housing and
Community Act which requires that no person shall on the grounds of
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race, color, national origin or sex, be excluded from participation
in, be denied the benefits of, or be subjected to discrimination
under, any program or activity funded in whole or in part with
community development funds made available pursuant to the Act.
Lessee shall comply with the following attachment to OMB
Circular number A-110:
Attachment C, "Retention and Custodial
Requirements for Records", except that in lieu
of the provisions in paragraph 4 the retention
period for records pertaining to individual
CDBG activities starts from the date of
submission of the annual performance and
evaluation report, as prescribed in Section
570.507, in which the specific activity is
reported on for the final time;
Lessee shall keep and provide access to records documenting
compliance with the following sections of the Housing and Community
Act 24 CFR 570, et seq: 570.610 Uniform Administrative
Requirements and Cost Principles; and 570.611 Conflict of
Interest. If there is a conflict of interest with any employee,
agent, consultant, officer or member of the Board of Directors of
Lessee, identify by name and title the person with the conflict and
the nature of the conflict.
VII. Indemnification
Lessee agrees that it will indemnify and hold City harmless
of, from, and against all claims, demands, actions, damages,
losses, costs, liabilities, expenses, and judgments, recovered from
or asserted against City on account of injury or damage to persons
or property to the extent any such damage or injury may be incident
to, arise out of, or be caused, either proximately or remotely,
wholly or in part, by an act or omission, negligence or misconduct
on the part of City, its officers, employees, or agents,
("Indemnitees") and on the part of Lessee or any of its agents,
servants, employees, contractors, patrons, guests, licensees, or
invitees, entering upon the Facilities pursuant to this Lease
Agreement with the express or implied invitation or permission of
Lessee, or when any such injury or damage is the result of,
proximate or remote violation by Indemnitees, Lessee, or any of its
agents, servants, employees, contractors, patrons, guests,
licensees, or invitees of any law, ordinance, or governmental order
of any kind, or when any such injury or damage may in any other way
arise from or out of the improvements being constructed at the
Facilities herein or out of the use or occupancy of the
Improvements to the Facilities or the Facilities themselves by
Indemnitees, Lessee, its agents, servants, employees, contractors,
patrons, guests, licensees, or invitees, including without
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limitation, any damages or costs which may occur as a result of:
the design of the improvements to the Facilities, the bidding
process, actual construction of the improvements to the Facilities,
administration of the construction contracts by the City or its
designee, failure of the improvements to the Facilities prior to
completion and acceptance of the Improvements by City and Lessee
jointly, failure of the improvements of the Facilities to work as
designed, failure of the Contractor or manufacturer to honor its
warranties or failure to maintain the improvements to the
Facilities or the Facilities themselves.
These terms of indemnification shall be effective whether such
injury or damage may result from the sole negligence, contributory
negligence, or concurrent negligence of Indemnitees; but not if
such damage or injury may result from gross negligence or willful
misconduct of Indemnitees.
Lessee covenants and agrees that, in case City shall be made
a part to any litigation against Lessee or in any litigation
commenced by any party, other than Lessee relating to this Lease
Agreement, Lessee shall and will pay all costs and expenses,
including reasonable attorney's fees and court costs incurred by or
imposed upon City by virtue of such litigation.
VIII. COMPLIANCE WITH LAWS
Lessee agrees that, in operation of the Property and all
programs offered by Lessee at the Property, it will promptly comply
with and fulfill all laws, ordinances, regulations and codes of
Federal, State, County, City and other governmental agencies
applicable to the Property and all programs offered by Lessee at
the Property, and all ordinances or regulations imposed by the City
for the correction, prevention and abatement of nuisances or code
violations in or connected with the Property during the term of
this Lease, at Lessee's sole expense and cost.
IX. SUSPENSION AND TERMINATION
The City may suspend or terminate this Lease in accordance
with 24 CFR 85.43 if Lessee materially fails to comply with any
term of this Lease.
This Lease may be terminated for convenience in accordance
with 24 CFR 85.44.
Pursuant to the sections cited above, and HUD guidelines, if
any deficiencies are discerned by monitoring of this Lease, City
will either temporarily withhold cash payments pending correction
of the deficiencies, disallow all or part of the cost of the
activity or action not in compliance, wholly or partly suspend or
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terminate lease or terminate the current award, withhold further
awards, or take other remedies that may be legally available.
Either party may terminate this Lease as of the last day of
any month upon thirty (30) days prior written notice, so long as
all provisions of this Lease providing responsibilities in the
event of termination are complied with.
Upon termination of this Lease Agreement, Lessee agrees to
refund to the City all Community Development Block Grant funds
expended on construction of improvements to the Facilities. If
Lessee cannot refund all such money within thirty (30) days
termination notice the City may take whatever action is necessary
to reimburse the City as set out in 24 CFR 85.43 and 85.44.
X. REVERSION OF ASSETS
Lessee's Facilities shall be used to meet one of the national
objectives set forth in Section 570.208 of the Housing and
Community Act for ten (10) years from the date of execution of this
Lease.
In the event that Lessee's Facilities are not used to meet one
of the national objectives for ten (10) years from the date of
execution of this Lease Agreement, then Lessee's Facilities shall
be disposed of in a manner that results in the City being
reimbursed in the amount of the current fair market value of the
Facilities less any portion of the value attributable to
expenditures of non-CDBG funds for acquisition of, or improvements
to, the Facilities in accordance with 24 CFR 570.503(b)(8).
XI. PROGRAM INCOME
Lessee agrees to comply with Attachment D of OMB Circular
number A-110 with reference to Program Income, if applicable.
XII. RELIGIOUS ACTIVITIES
Where applicable, Lessee agrees to comply with requirements in
reference to Religious Organizations as set forth in 24 CFR
570.200(j).
XIII. BREACH OF LEASE
No assent, express or implied, by the City to any breach of
any of Lessee's covenants, agreements, conditions or terms hereof
shall be deemed or taken to be a waiver of any succeeding breach of
any covenant, agreement, condition or term hereof.
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XIV. RIGHT TO ENTER AND INSPECT
The City reserves the right to enter the Property at any
reasonable time during the term of this Lease for the purpose of
inspecting the same in order to determine whether the terms and
conditions of this Lease are being observed and carried out,
including but not limited to, both exterior and interior
maintenance.
XV. INSURANCE
Lessee shall acquire and maintain the following insurance
coverages during the term of this Lease:
(a) general liability insurance covering all
activities to be conducted on the Property
with a personal injury endorsement in the
minimum amount of $500,000 for each
occurrence; $1,000,000 as aggregate liability
and $100,000 for property damage arising out
of each accident, with the City as an
additional insured;
(b) workers' compensation insurance on all its
employees as required by state and federal law;
(c) property insurance in the amount of the full
replacement value of all buildings and
improvements, insuring against all risks as
required by the City Manager, or his designee;
Lessee shall provide City with certificates of insurance
reflecting all the above coverages, and shall promptly provide City
with copies of all such insurance policies at least ten (10) days
prior to occupying the facilities. Failure to maintain such
insurance will be cause for the City to take control of the
Facilities and will cancel any claim that Lessee may have to the
use of the Facilities. No such coverage shall be canceled, not
renewed or materially changed without thirty (30) days prior
written notice to the City, directed to the City Manager. The City
Manager shall annually review and update such amounts and terms and
coverages for all insurance policies.
XVI. DEFAULTS
Upon thirty days prior written notice to Lessee, the City may,
at its option, in addition to any other remedy or right hereunder
or by law, terminate this Lease upon occurrence of any of the
following conditions ("Defaults"), provided that Lessee has not
cured the Default prior to termination:
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(1) Failure to operate the Property for the purposes
set forth in Paragraph III except during the
periods necessary for repairs or renovation
approved by the City in writing or except as
otherwise contemplated by this Lease.
(2) Failure to maintain property including Facilities,
improvements thereto, and grounds.
(3) Intentional, knowing or fraudulent failure to
maintain strict and accurate books of account, or
failure to furnish said books of account to the
City and/or HUD for inspection.
(4) Failure to abate any nuisance specified in writing
by the City within a reasonable time specified in
writing by the City.
(5) Failure to comply with any term of this Lease.
(6) Failure to have in effect policies of general
liability insurance, workers' compensation
insurance, and property insurance as required by
the City Manager.
(7) Lessee's assignment of this Lease or subletting of
the Property, or attempted assignment or
subletting, without prior written consent of City.
(8) Dissolution of Lessee as a nonprofit corporation.
(9) Abandonment of the Property for thirty (30) days.
(10) Failure of Lessee to correct any other breach
in the performance or observance of any other
covenant or condition of this Lease.
Upon termination of this Lease as herein above provided, or
pursuant to statute, or by summary proceedings or otherwise, the
City may enter forthwith and resume possession either by summary
proceedings, or by action at law or in equity or by force or
otherwise, as the City may determine, without being liable in
trespass or for any damages. The foregoing rights and remedies
given to the City are, and shall be deemed to be, cumulative of any
other rights of the City under law, and the exercise of one shall
not be deemed to be an election, and the failure of the City at any
time to exercise any right or remedy shall not be deemed to operate
as a waiver of its right to exercise such right or remedy at any
other or future time.
Notwithstanding any other provisions hereof should Lessee
breach any section or provision of this Lease including without
limitation the failure to pay taxes, assessments and other
government charges, said breach shall be in accordance with IX
herein. If repayment is required as a remedy, other remedies may
be pursued as deemed necessary if repayment is not made, City shall
be entitled to its reasonable attorneys fees in any court action
arising out of this Lease.
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XVII. MODIFICATION
Modifications to this Lease shall not be effective unless
signed by a duly authorized representative of all parties hereto.
Modifications which do not change the essential scope and purpose
of the Lease may be approved on behalf of the City by the City
Manager.
XVIII. PUBLICATION
Lessee agrees to pay the costs of newspaper publication of
this Lease and related ordinance as required by the City Charter.
XIX. TERMINATION NOTICE
Lessee acknowledges and understands that if it is unable to
carry out the terms of this Lease, this Lease is null and void.
Lessee agrees to execute a Termination Agreement setting out the
reasons for the termination, the effective date of termination, and
in the case of partial termination, the portion of the Lease to be
terminated. Either party may terminate this Lease as of the last
day of any month upon thirty (30) days prior written notice
containing the same information as required in the above described
Termination Agreement to the other party. Notice shall be deemed
to have been given upon deposit in U. S. Certified Mail properly
stamped and addressed for delivery to:
City of Corpus Christi
P.O. Box 9277
Corpus Christi, Texas 78469-9277
Attention: City Manager
or
Nueces County Community Action Agency
2590 Morgan
Corpus Christi, Texas 78405
Upon termination of this Lease, Lessee agrees to refund to the
City all Community Development Block Grant funds expended on
construction of the Facilities and improvements thereto and
purchase of the Property. If Lessee cannot refund all such money
it will vacate the Property within the thirty (30) days termination
notice period.
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XX. TAXES
Lessee shall pay any ad valorem taxes associated with the
Property which may be levied during the term of this Lease or any
extension hereof. Lessee shall not voluntarily create, cause, or
allow to be created, any debts, liens, mortgages, charges, or other
encumbrances against the Property. Lessee shall from time to time,
duly pay and discharge or cause to be discharged or to be paid,
when the same becomes due, all taxes, assessments, and other
government charges which are lawfully imposed upon the Property and
which, if unpaid, may by law, become a lien or encumbrance upon
such Property and thereby impair or otherwise adversely affect the
holding of such Property for the use set out in this Lease.
XXI. GENERAL PROVISIONS
A. No Liability. In no event shall the City be liable for
any contracts made by or entered into by Subrecipient with any
other person, firm, corporation, association, or governmental body.
B. Nonassignment. Lessee shall not assign, mortgage, pledge,
or transfer this Agreement or any interest in the Facilities
without prior written consent of the City.
C. Nonexclusive Services. Nothing herein shall be construed
as prohibiting Lessee from entering into contracts with additional
parties for the performance of services similar or identical to
those enumerated herein, and nothing herein shall be construed as
prohibiting Lessee from receiving compensation therefore from such
additional parties, provided that all other terms of this Lease are
fulfilled.
D. Changes and Amendments. Modifications to this Lease shall
not be effective unless signed by a duly authorized representative
of all parties hereto.
E. Jurisdiction and Validity. If for any reason any section,
paragraph, subdivision, clause, phrase, or provision of this Lease
shall be held invalid or unconstitutional by final judgment of a
court of competent jurisdiction, it shall not affect any other
section, paragraph, subdivision, clause, phrase, work or provision
thereof be given full force and effect for its purpose. The laws
of the State of Texas shall apply to any dispute arising hereunder.
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Venue shall lie in Corpus Christi, Nueces County, Texas, where this
Lease was entered into and shall be performed.
SIGNED, this day of , 19
ATTEST: CITY OF CORPUS CHRISTI
Armando Chapa Juan Garza
City Secretary City Manager
APPROVED:
0 day of ci,m{y4 , 1991
By: A (A 1t G cuw
Aistant City Attorne
CONTRACTS91
nccaa9l.lse
NUECES COUNTY COMMUNITY
ACTION AGENCY
. Martinez
Execu
tive Dire -
Florence Adams
Chairperson
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1
PRECONTRACTING AFFIDAVIT
STATE OF TEXAS §
COUNTY OF NUECES §
Date:
Affiant:
Affiant on oath says:
I am Executive Director of Nueces County Community Action Agency. The
has applied for and been awarded Community Development Block Grant Program
(CDBG) funds administered by the City of Corpus Christi ("City").
Prior to the start of the project for which CDBG funds were awarded,
representatives of Housing Authority met with City Staff and received copies
of the following federal rules and regulations:
OMB Circular A-110
24 CFR 85.43 and 85.44
24 CFR 570.500, et. seq.
24 CFR 570.600 et. seq.
24 CFR 570.200, et. seq.
I Joe A. Martinez affirm that the staff and Board of Directors of the
NCCAA have received the above listed federal rules and regulations, that City
Staff has explained those rules and regulations and the staff and Board of
Directors understands their oatio under those rules and regulations.
Executive Director
tore Title
SWORN TO AND SUBSCRIhEB' before me by Joe A. Martinez on
vQg.e.m ( ac / 2, , 1991.
(seal)
' S
BLAS A. GOMEZ
Notary Public State of Texas
:SI My Commission Expire; 6.16.95
STATE OF TEXAS
COUNTY OF NUECES
NOTARY PUBLIC,
NAME:
My Commission Expires:
ACKNOWLEDGEMENT
f Texas
This instrument was acknowledged before me on »rei-m_i-e/t /L, 1991 by Joe
A. Martinez as Executive Director of Nueces County Community Action Agency,
a Texas nonprofit corporation.
(seal)
BLAS A. GOMEZ
Notary Public, State of Texas
My Commission Expires 6-1615
geoid /2 -
NOTARY PUBLIC, State of Texas
NAME:
My Commission Expires:
That the foregoing ordinance was read for the first time and passed to its second reading on this
the 1 day of - yt h L (t2 ( t, ' , 19 //i, by the following vote:
• t
Mary Rhodes
Cezar Galindo (E' G<
Leo Guerrero
Betty Jean Longoria �1 Q±
That the foregoing or
this the � day of =
Mary Rhodes
Cezar Galindo
Leo Guerrero
Betty Jean Longoria
Edward A. Martin
Joe McComb
Dr. David McNichols
Clif Moss
Mary Pat Slavik
e was read for the second time and passed to its third reading on
, 19 (1 )- , by the following vote:
Edward A. Martin
Joe McComb
Dr. David McNichols
Clif Moss
Mary Pat Slavik
That theforegoing ordinance was read for the third time and passed finally on this the
day of /00 '9 (1- (,(Q t\ c% I , /19 Q.Z , by the following vote:
Mary Rhodes X Lei x Edward A. Martini
Cezar Galindo Joe McComb
Leo Guerrero at* Dr. David McNichols
Betty Jean Longoria (Ltz.p Clif Moss
Mary Pat Slavik
PASSED AND APPROVED, this the l day of 5 `Dn,u 4�, tai , 19
ATT9T: C,
/010,-{$_.
XL
it
City Secretary MAYOR
THE CITY OF ORPUS CHRISTI
APPROVED: /0 DAY OF LE nL/ 'v , 192L:
JAMES R. BRAY, JR., CITY ATTORNEY
044
2,A)C,, Assistant City Attorney
021332
State of Texas,
}
PUBLISHER'8 AFFIDAVIT
County of Nueces } ss:
CITY OF CORPUS CHRISTI
Ad #39065
PO #
Before me, the undersigned, a Notary Public, this day personally
came Anna Steindorf, who being first duly sworn, according to
law, says that she is a Business Office Secretary of the Corpus
Christi Caller -Times, a daily newspaper published at Corpus
Christi in said County and State, generally circulated in
Aransas, Bee, Brooks, Cameron, Duval, Hidalgo, Jim Hogg, Jim
Wells, Karnes, Kenedy, Kleberg, Live Oak, Nueces, Refugio, San
Patricio, Victoria, and Webb Counties, and that the publication
of NOTICE OF PASSAGE OF ORDINANCE NO. 021332 AUTHORIZING THE CITY
OF MANAGER TO EXECUTE A TEN-YEAR LEASE AGREEMENT which the
annexed is a true copy, was published in the Corpus Christi
Caller -Times on the 16th day of February 1992.
One Time(s)
$ 40.50
Subscribed and sworn to before me this 4th day of
March , 1992.
�i�_ii_l, e
Notary Public, Nueces County, Texas
My commission expires on 4-24-93
e. ' NOL `ww PASSAGE
g OF OR NO, 021332
Y MANA TO XECU ETY A
3, TEN-YEAR LEASE AGREE-
- MENT WITH
FC -
N
t PROPERTY LOCATED. ON
MORRISSTREET AND HAR-
MON AVENUE; AND
' PROVIDING FOR PUBLICA-.
TION; remuneration to
" the City is one dollar
Per year beginning sixty
G days after the third
reading; use of facility is to
1 serve as a Headstart campus.
A copy of the lease
f," is on file In the City
to• Secretary's office. „
The ordinance was passed
1 and approved on third
s.". reading by the City Council
'Iof the City of Corpus Christi,
s" Texas on the 11th day of
n February, 1992.
/s/ Armando Chaps
€_ Cyr, d City Secretory
le ire' Corps ?Oul u
1-x.41 n. ..n a,