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HomeMy WebLinkAbout03232017 Economic Development Committee PacketCouncil Economic Development Members: Councilmember Coffey Councilmember A. Gutierrez Councilmember Cousens Action Items: Committee CED Conference Room City Hall March 23, 2017 1:30 p.m. Staff: Others: Cliff Moore, City Manager Sean Hawkins, Economic Development Manager Rob Peterson, Airport Manager Joan Davenport, Director of Community Development Colleda Monick, Economic Development Assistant Agenda 1. Lease Agreement — Former Tiger Mart — 1808 North First Street — Jeff Cutter 2. Comprehensive Plan Presentation — Economic Development Elements — Joan Davenport / Joseph Calhoun 3. Economic Development Plan and Millsite Web pages on City Website — Sean Hawkins / Randy Bonds, Jr. 4. Code updates — YMC 8.30 (Street Banners) and YMC 11.08 (Sign Code) updates — Sara Watkins 5. JEM Development Parking Agreement — Sean Hawkins Update Items: 1. Economic Development Plan — Next Steps — Sean Hawkins 2. Airport Update — Rob Peterson Audience Comments Council Economic Development Committee Planning Conference Room City Hall February 23rd, 2017 1:30 p.m. Members: Staff: Others: Councilmember Coffey Cliff Moore, City Manager Maria Rodriguez Councilmember Cousens Sean Hawkins, Economic Development Luz Gutierrez Councilmember Gutierrez Manager Lauren Leaky Scott Schafer, Public Works Director Rob McCurdy Colleda Monick, Economic Phil Cline Development Assistant Haida Mazar Ed Pacheco Steve Zien Executive Minutes • Economic Plan Update Hawkins shared that scheduling for various committee initiatives is underway, along with development of a public website devoted to communicating the process of each initiative. Additionally, the website will also provide city statistics related to economic development such as; airport load factors, number of commercial permits issued, sales tax growth, etc. Councilmember Coffey requested that the various committee initiatives and the individuals/organizations working on those initiatives be shared with the full council in order to provide an opportunity for additional involvement. Councilmember Coffey also requested the sharing and keeping of minutes at each of the meetings related to the initiatives. • Apprenticeship Resolution Schafer provided a draft resolution for committee review regarding establishing an apprenticeship utilization as an optional supplemental requirement for City of Yakima public works projects that exceed $300,000. There was a recommendation by the committee to move the resolution to full council for review. • Craft Beverage Yakima update and 2017 Professional Services Agreement Hawkins shared the promotional agreement between the City of Yakima and Craft Beverage Yakima. Members of the Craft Beverage Yakima organization spoke on the previous years accomplishments and thanked the council committee members for their continued support of the organization. There was a recommendation by the committee to move the resolution to full council for review. Special Event Support Hawkins requested guidance on the distribution of funds for the remaining special event fund; $30K. Councilmember Gutierrez requested that a special committee be developed to provide assistance to the 4th of July planning team at the State Fair Parkway. Councilmembers discussed that they would like to see a 4th of July parade. Councilmember Gutierrez moved to bring a professional services agreement to full council that would provide $20K to the Cinco De Mayo Festival and $25K to be provided to the 4th of July event. Councilmember Cousens seconded. Motion carries. RECON Hawkins shared that the booth for the 2017 RECON event has been booked and with it the city has four badges to be used at the show. Brad Hill from the Mill Site group and Jonathan Smith from the Yakima County Development Association have booth expressed interest in attending. Councilmembers Gutierrez, Coffey, and Cousens are also all interested in attending and have requested additional information be provided to them regarding the event. Housing Tax Incentive - Mills Building Hawkins shared with the councilmembers that the developer involved in the Mills Building renovations is interested in taking advantage of the city's housing tax incentive. The multiuse development includes 8 multi -family unit apartments that will receive over $300,000 investment in each unit. The incentive would freeze the property taxes of the building at its current rate for the next 8 years. There was a recommendation by the committee to bring an agreement for the Mills Building for the housing tax incentive to full council. Update Items: March Study Session regarding the discussion of an eastside pool - Councilmember Gutierrez requested an update regarding the Speedway development in relation to the Yakima Economic Development Strategic Plan, `Sites for Business' initiative, to be provided in advance of the March study session. Audience Participation - Councilmember Coffey requested that `Audience Participation' be included to all future Council Economic Development Committee meeting agendas. Central Washington Hispanic Chamber of Commerce - Mazar and Zien attended on behalf of the Chamber and noted that they would like to get involved and offered their services to the committee. LEASE AGREEMENT CITY OF YAKIMA TO DEAN OWENS This lease agreement (the "Lease"), made and entered into March , 2017, by and between the CITY OF YAKIMA, WASHINGTON, a municipal corporation, ( the "City") and DEAN OWENS, ("OWENS"). WITNESETH: WHEREAS, City owns certain real property, identified as Yakima County Accessor Parcel Number 181312-44412, located at 1808 North 1St St, Yakima, WA, including several buildings located thereon (collectively referred to herein as the "Property"), available for limited use as more specifically provided by this Lease, and legally described as: That part of Gordon's Highway Tracts, recorded in Volume "I" of Plats, page 22, and that part of the South 870.00 feet of the West Y2 of the Southeast '/4 of the Southeast '/a of Section 12, Township 13 North, Range 18 East, W.M., bounded as follows: Beginning at the Northeast corner of Lot 15 of said Plat of Gordon's Highway Tracts, 24 feet West reference bearing, along the Easterly line of said Plat of Gordon's Highway Tracts, also being the Westerly right of way line of North First Street, 170.00 feet to a point which is 5.00 feet South 00 24' West of the Northeast corner of Lot 12 of said Plat; thence North 890 40' West, parallel with the Northerly line of said Plat, 155.00 feet; thence North 00 24' East 170.00 feet to the Easterly extension of the Northeast line of Lot 15 of said Plat; thence South 89040' East 155.00 feet to the point of beginning.; and WHEREAS, OWENS desires to lease, occupy and use the Property in accordance with the specific terms and conditions set forth in this Lease Agreement, NOW THEREFORE, in consideration of the mutual covenants contained herein and the benefit to be derived by each party, the parties agree as follows: 1. INTENT OF AGREEMENT: The intent of this Lease is to Lease the Property to OWENS so that OWENS can restore and recondition the grounds and building structures on the Property to a condition amenable to a commercial purpose. OWENS shall maintain the property and the building structures in a clean and attractive condition during the term of the Lease, suitable for use as a show lot for automobiles or a similar commercial endeavor acceptable by the City. 2. DEMISE OF PROPERTY: City hereby leases to OWENS and OWENS leases from City the Property, together with all rights of ingress, egress, public road access and use of utility connections to the Property. OWENS shall clean up, restore and maintain the Property, including the grounds and building structures thereon, in a condition and appearance suitable for commercial purposes as soon as feasible following Effective Date of this Lease, subject to the terms and conditions set forth elsewhere herein. Failure by OWENS to maintain the Property in such a commercially acceptable condition at any time during the term of the Lease shall constitute a material breach of the Lease, in which event City, at its option, may terminate the Lease for cause. 3. TERM — EFFECTIVE DATE: The tenancy provided by this Lease shall be a five (5) year Lease Term commencing on March , 2017 and ending on March 31, 2022, unless earlier terminated as set forth in this Lease. OWENS shall have the option to extend its tenancy under this Lease for one (1) additional five (5) year term by providing written notice to City at least six (6) months prior to the end of the preceding lease term of the intent to extend the Lease. The sum of the terms provided by the preceding two (2) sentences, but as otherwise potentially terminated pursuant hereto, is the lease term (the "Term"). 4. MORTGAGE: OWENS shall not have the right, authority or permission to mortgage the leasehold created by this Lease or any sublease hereunder or assignment hereof, in whole or part, for the entire Term. 5. RENT: In consideration of the demise of the Property, and the terms and conditions outlined herein, OWENS agrees to pay the City to lease the property as follows: One Thousand Dollars ($1000.00) per month, payable on the first day of each month and each month thereafter during the full Term, beginning on the first day of the tenancy, pro -rated for the days left in the month tenancy begins if tenancy does not begin on the first day of a month. Payments shall be made to the City of Yakima at the City Finance Office or at such other place as shall be directed by City. In the event OWENS exercises the option to extend this Lease, monthly payments during the extended Term shall likewise be 2 paid on the first day of each month during the extended Term. 6. DEPOSIT: [Not applicable — deposit not required]. 7. TAXES AND LIENS: In addition to the reserved rent as it comes due, OWENS promises and agrees to pay, as the same become due and payable, all governmental fees and taxes, if any, payable by reason of this Lease, the use of the Property, or the construction or ownership of improvements thereto, specifically to include leasehold excise tax. OWENS shall neither suffer nor permit the attachment of any lien or other encumbrance on the Property. OWENS agrees to defend, indemnify and hold harmless City from any such fees, taxes or liens. 8. USE: OWENS and all sub -tenants of OWENS, shall not commit waste upon and shall use the Property only for appropriate commercial purposes acceptable to the City as otherwise described in the Lease. OWENS' use of the Property shall be subject to the following additional limitations: A. Use, together with any restorative construction and maintenance performed on the Property by OWENS or OWENS' subtenants shall be compatible with the Property's zoning in effect at the commencement of the Term and shall not include or allow any excavation or disruption of the surface of the Property or in any way alter the Property surface from the condition it is in at the initiation of the Lease Term. All Department of Ecology sampling wells on the Property shall be protected and preserved from damage. OWENS shall be responsible for all cost of repair or replacement of said sampling wells for any damage that occurs to them during the Lease Term. B. The Property shall be used only for lawful commercial purposes appropriate for the location and the layout of the Property as approved by the City, such approval not to be unreasonably withheld or delayed. The property shall not be permitted to be used for any purposes related to marijuana production, processing or sale. 9. UTILITIES: OWENS shall be responsible for any necessary installation and operational service costs for all utility services used by OWENS or OWENS' subtenants on the Property, including, but not limited to, power, natural gas, water, sewer, garbage and communication from the exterior edge of the Property. 10. PREMISES CONDITION: OWENS accepts the Property AS -IS. Nothing contained in the preceding sentence shall affect OWENS' right to indemnity from City as provided in Section 19 hereof. 11. MAINTENANCE: OWENS agrees, at its sole cost and expense, to keep the Property, including the asphalt lot and the buildings constructed thereon, clean, neat and in good repair and shall provide all necessary building structure and landscaping maintenance services, fertilizing, irrigation, sweeping, cleaning, parking lot cleanup and trash and litter collection, such that the Property remains attractive, clean and well-maintained. OWENS shall also be responsible for all necessary snow removal and pavement maintenance to keep the property safe and accessible. 12. SIGNS: OWENS may be permitted to erect commercial signage so long as all necessary permits are acquired and codes are complied with for the installation and maintenance thereof. Billboard signage shall not be permitted. 13. IMPROVEMENTS: All buildings, trade fixtures and other improvements existing on the Property or those that may be installed thereon by OWENS or OWENS' subtenants during the Lease Term shall be made to conform to applicable land use laws and building codes. OWENS shall be responsible for procuring all building and other permits required for work performed upon the Property. All new improvements to the grounds or the building structures that may be provided by OWENS shall first be presented to the City for consideration and prior approval before being constructed on the Property, which approval shall not be unreasonably withheld. Approval of any such additional improvements or modifications shall be deemed granted forty- five (45) days after submitting the proposal in writing to City if no specific response has been provided by City to OWENS within that time. City shall not impose a condition upon the approval of such improvements or modifications thereto that violate any applicable law, or which would be violative of any insurance policy required to be maintained by OWENS. 14. REVERSION OF IMPROVEMENTS AND FIXTURES UPON EXPIRATION OR TERMINATION OF LEASE: 4 15. 16. Upon expiration or termination of this Lease for any reason, unless otherwise agreed to in writing between City and OWENS, all improvements to the Property shall revert to the City without requirement of payment of any type by City to OWENS. Upon termination or expiration of this Lease, OWENS shall remove all its trade fixtures and repair any damage to the Property caused by removal of said trade fixtures to the reasonable satisfaction of the City Manager. Fixtures not removed on or before the effective date of termination or expiration shall become the property of the City unless other arrangements have been previously approved in writing by the City Manager. OWENS shall, as additional consideration for grant of this Lease, insure that all liens, security interest and other encumbrances against said improvements and structures, except those created or suffered by City, whether consensual or involuntary, shall be paid, discharged or satisfied prior to time for reversion thereof to City; and, in any event, the parties acknowledge that City shall not, by virtue of termination of the leasehold interest nor reversion of the structures or other improvements, be liable for any debt or encumbrance associated therewith, whether now existing or hereafter incurred, levied or attached. REGULATIONS: OWENS agrees to comply with all applicable laws, ordinances, rules, regulations and policies of all governmental authorities having jurisdiction over the Property, including policies adopted by City, as such laws, ordinances, rules, regulations and policies apply to the use and operation of the Property. SUBLETTING: Subject to the agreement to perform and the performance of the terms hereof by any subtenant of OWENS, City's written consent is required for any sublease of the Property by OWENS. City agrees that in accordance with the terms of approval and consent set forth in this Lease OWENS is authorized under this Lease to enter into space leases and subtenant rental agreements within the Property for individual facility operations. No sublease shall relieve OWENS of its obligation to perform this Lease in accordance with the terms herein. 17. ASSIGNMENT: OWENS shall not assign its interest in this Lease to another party without the express written consent of the City. City may withhold consent to OWENS request for an assignment at City's sole discretion. If approved by City in writing, any assignee of this Lease and/or OWENS' rights hereunder shall assume OWENS' obligations under this Lease, however said assignment shall not relieve OWENS of its obligation to perform this Lease in every respect. Such assignment shall be in conformance with all City, local, state and federal laws, ordinances, rules, regulations and policies and the assignee shall comply with all laws, ordinances, rules, regulations and policies applicable to the use and operation of the Property, facilities and operations as those laws, ordinances, rules, regulations and policies now exist or may hereafter become effective. City's consent to assignment shall not be construed to be consent to any subsequent assignment. 18. MISCELLANEOUS PROVISIONS: A. City may further develop or improve adjacent City property, infrastructure and facilities regardless of the desire or views of OWENS regarding any such development or improvement, and without interference or hindrance on the part of OWENS and without liability to OWENS. B. OWENS shall be responsible for weed control on the Property, including but not limited (where appropriate) to: mowing; spraying; removal of noxious weeds, etc. C. OWENS shall post unused portions of the Property against trespass by unauthorized individuals and shall prevent illegal dumping of debris on the property. 19. INDEMNITY/DUTY TO DEFEND: A. Except as provided in Paragraph 19(E), OWENS shall defend, indemnify and hold harmless City and its elected and appointed officials, employees and agents, from any and all losses directly suffered by City and from any and all liability, damages, suits, claims, actions, judgments or decrees, including attorney fees and costs, made against the City or its elected and appointed officials, employees and agents based on the use or occupancy of the Property during the Term or from default by OWENS or any assignee or subtenant hereunder, in any term or condition of this Lease. B. Except as provided in Paragraph 19(E), City shall defend, indemnify and hold harmless OWENS from any and all losses directly suffered by OWENS and from any and all liability, damages, suits, claims, actions, judgments or decrees, including attorney fees and costs, made against OWENS based on the use or occupancy of the Property for any time other than during the Term or as a result of City's default in any term or condition of this Lease, excepting any liability, damage, suit, or claim arising from the occupancy or use of the Property by OWENS or as a result of OWENS' operations on the Property or from any other act or omission of OWENS, its servants, employees, agents, invitees, independent contractors, assignees, subtenants or any other entity, person, firm or corporation acting on behalf of OWENS or under its direction, whether such claim shall be by OWENS or a third party; provided, however, that OWENS shall not be liable for any injury, damage or 9 loss occasioned solely by the sole negligence of City, its agents or employees. City shall give OWENS prompt and reasonable notice of any such claims or actions and OWENS shall have the right to investigate, compromise and defend the same to the extent of its interest. C. City shall defend, indemnify, and hold harmless OWENS from any and all claims and actions, loss, damage, expense or cost, resulting from, arising out of, or caused by City and which leads to any liability under the Federal Comprehensive Environmental Response Compensation Liability Act of 1980, as amended, 42 U.S.C. 9601 et seq.; Hazardous Materials Transportation Act, 49 U.S.C. 1801 et seq.; Resource Conservation and Recovery Act, 42 U.S.C. 6901 et seq.; the Clean WaterAct, 42 U.S.C. 1251 et seq.; the Washington Environmental Policy Act, RCW Ch. 43.21C; the Washington Water Pollution Control Act, RCW Ch. 90.48; the Washington Hazardous Waste Management Act, RCW Ch. 70.105; the Washington Model Toxic Control Act, RCW Ch. 70.105D, and the regulations promulgated thereunder, or under any applicable local or state environmental ordinance, statute, law, rule or regulation, for all claims, actions, loss, damage, expense or cost associated with environmental conditions that pre-existed the initiation of this Lease. PROVIDED, City shall have a continuing right of entry upon the Property, upon providing OWENS with a two (2) week notice of said entry (excepting emergency occurrences where no notice is necessary and excepting occurrences for which two weeks' notice is impractical, wherein the City will provide notice as the occurrence allows) to conduct necessary tests and actions required for compliance with the Washington State Department of Ecology (Ecology) with respect to the continuing environmental investigation and mitigation of hazardous substances on the Property. City reserves the right to take whatever actions are required by Ecology to resolve the environmental conditions on the Property, even if the actions taken result in a temporary or permanent effect upon OWENS use of the Lease Property. City and OWENS agree that any resultant diminishment of the Lease Property shall be addressed in a negotiation of the Lease terms and conditions, up to and including termination of the Lease. The provisions of this Paragraph 19(C) shall survive the termination of this Lease. D. OWENS shall defend, indemnify, and hold harmless City, its elected and appointed officials, agents and employees, free and harmless from any and all claims and actions, loss, damage, expense or cost, resulting from, arising out of, or caused by OWENS, its assignees and/or subtenants, resulting in any liability under the Federal Comprehensive Environmental Response Compensation Liability Act of 1980, as amended, 42 U.S.C. 9601 et seq.; Hazardous Materials Transportation Act, 49 U.S.C. 1801 et seq.; Resource Conservation and Recovery Act, 42 U.S.C. 6901 et seq.; the Clean Water Act, 42 U.S.C. 1251 et seq.; the Washington Environmental Policy Act, RCW Ch. 43.21C; the Washington Water Pollution Control Act, RCW Ch. 90.48; the Washington Hazardous Waste Management Act, RCW Ch. 70.105; the Washington Model Toxic Control Act, RCW Ch. 70.105D, and the regulations promulgated thereunder, or under any applicable local or state environmental ordinance, statute, law, rule or regulation. The provisions of this Paragraph 19(D) shall survive the termination of this Lease. 7 E. The defense, indemnity, and hold harmless provisions provided in Paragraphs 19(A) through 19(D) hereof shall apply only to the extent the party claiming same is not at fault with respect to the event giving rise thereto. If both parties are at fault, such defense, indemnity, and hold harmless shall be applied under principles of comparative fault. 20. INSURANCE: OWENS agrees that, at all times during the full Lease Term, it shall, at its own expense, maintain in full force and effect adequate fire and other casualty coverage for the Property and structures, buildings, infrastructure and contents, including all personal property, fixtures and improvements of OWENS. Such policy shall include a replacement cost endorsement. OWENS shall obtain and file with the City's Risk Manager a Certificate of Insurance evidencing such coverage. OWENS shall provide the City with a thirty (30) day cancellation notice prior to any policy cancellation. Adequacy of coverage is defined as insurance sufficient to restore the Property to its pre -casualty condition. Prior to execution of this Lease, OWENS, at its expense, shall obtain and file with the City's Risk Manager a Certificate of Insurance evidencing commercial general liability insurance coverage ("CGL") providing coverage of at least $2,000,000 per occurrence and $2,000,000 general aggregate. This Certificate of Insurance shall be subject to approval by the City's Risk Manager as to company, terms and coverage and said approval shall not be unreasonably withheld. The CGL shall name the City, its elected officials, officers, agents, employees, and volunteers as additional named insureds and must protect the City from any and all claims and risks and losses in connection with any activities or omissions by OWENS by virtue of this Lease. The CGL policy shall remain in full force and effect at OWENS' sole expense for liability for property damage or personal injury that may occur in connection with activities or omissions by OWENS, and provide continuous coverage for the full term of this Lease and the Agreement. OWENS shall ensure that the City's Risk Manager is given thirty (30) calendar days prior written notice, by certified mail, of any cancellation, lapse, reduction or modification of such insurance. 21. DEFAULT; TERMINATION; AND FORFEITURE: A. The failure by OWENS to comply with any material term, provision or condition of this Lease shall constitute grounds for termination of this Lease. This Lease and tenancy shall terminate for cause as specified above on written notice by City to OWENS stating in detail the manner in which OWENS fails or has failed to comply with this Lease. OWENS shall comply with this Lease in the manner specified in the notice within sixty (60) days (except twenty days with respect to default regarding payment of rent or other monetary obligation) from OWENS' receipt of such notice, provided, however, that if the nature of OWENS' default (other than for monetary defaults) is such that more than sixty (60) days are reasonably required for its cure, then OWENS shall not be deemed to be in default if OWENS commences such cure within said sixty (60) day period and thereafter diligently prosecutes such cure to completion, otherwise this Lease and tenancy shall be terminated. Such notice shall be given in writing and served on OWENS by personal delivery or mailed by certified mail with return receipt requested addressed to OWENS at its address stated below or such other address as the parties may advise each other in writing. Notices shall be deemed received three (3) days after mailing. In addition to the provisions hereinabove, and/or as an alternative or cumulative remedy, City may, at its sole election, pursue any other action, redress, or remedy now or hereafter available to City under the laws of the State of Washington, including state Landlord -Tenant laws. B. As respects land, land improvements and the buildings and structures thereon, as additional and not alternative remedy, optional with City and upon sixty (60) days written notice to OWENS, should OWENS be in default hereunder, City may cure or correct the same and the cost of such action by City shall immediately become due and payable to the City by OWENS, together with late fees on said sum at a rate of ten percent (10%) per annum, and the non-payment of said sum by OWENS shall be adequate grounds for City to invoke the other remedies as provided in this Lease. C. The failure by City to comply with any material term, provision or condition of this Lease shall constitute grounds for termination of this Lease. This Lease and tenancy shall terminate for cause as specified above on written notice by OWENS to City stating in detail the manner in which City fails or has failed to comply with this Lease. City shall comply with this Lease in the manner specified in the notice within sixty (60) days from City's receipt of such notice, provided, however, that if the nature of City's default is such that more than sixty (60) days are reasonably required for its cure, then City shall not be deemed to be in default if City commences such cure within said sixty (60) day period and thereafter diligently prosecutes such cure to completion, otherwise this Lease and tenancy shall be terminated. Such notice shall be given in writing and served on City by personal delivery or mailed by certified mail with return receipt requested addressed to City at its address stated below or such other address as the parties may advise each other in writing. Notices shall be deemed received three (3) days after mailing. In addition to the provisions hereinabove, and/or as an alternative or cumulate remedy, OWENS may, at its sole election, pursue any other action, redress, or remedy now or hereafter available to it under the laws of the State of Washington, including state Landlord -Tenant laws. 22. DISPUTE RESOLUTION: In the event that any dispute shall arise as to the interpretation of this Lease, or in the event of a notice of default as to whether such default does constitute a breach �i of the Lease terms, and if the parties hereto cannot mutually settle such differences, then the parties shall first pursue mediation as a means to resolve the dispute. If both parties consent in writing, other available means of dispute resolution may be implemented. 23. VENUE, ATTORNEY FEES: In the event dispute resolution is not successful and litigation is initiated to enforce the rights and obligations hereunder, venue shall lie in a court of competent jurisdiction in Yakima County, Washington. The prevailing party shall be entitled to its reasonable attorney fees in addition to court costs. 24. NON-DISCRIMINATION CLAUSE: To the extent required by law, OWENS, for itself, its personal representatives, successors in interest and assigns, as a part of the consideration hereof, does hereby covenant and agree as follows: A. No person, on the grounds of race, color, religion, sex, age, marital status, handicap or national origin, shall be unreasonably excluded from participation in, denied the benefits of, or be otherwise subjected to discrimination in OWENS' personnel policies and practices or in the use or operation of OWENS' services or facilities. B. OWENS agrees that in the construction of any improvements on, over or under City land and the furnishing of services thereon, no person, on the grounds of race, color, religion, sex, marital status, handicap, age or national origin, shall be unreasonably excluded from participation in, denied the benefits of, or otherwise be subjected to discrimination. 25. RIGHT OF FIRST REFUSAL: It is understood and agreed by the parties hereto that in the event the City receives an offer of purchase for the Property in an amount at or above the current appraised value at the time of offer from a third party during the period of the Lease hereunder, OWENS will have twenty (20) days from notification of said third party offer to match the offer under the terms of a first right of refusal to purchase the Property. If OWENS fails to present a matching offer within the twenty (20) day period established herein the City will be free to accept the third party offer and once the sale has closed, terminate this Lease. In the event OWENS purchases the property in accordance with the terms set forth herein the City agrees to compensate Roger Wilson of Wilson Real Estate three (3) percent of the total Property sale value, less costs, taxes and fees associated with the sale thereof, as City's share of the sales commission for his representation in the sale and purchase 10 of the property on behalf of OWENS. 26. OPTION TO PURCHASE: It is a further condition of the Lease, and consideration for the terms and conditions outlined herein, including, but not limited to the requirement to maintain the property in a good condition, together with the value added by the improvements OWENS makes to the property, that at such time as the City receives a No Further Action (NFA) letter from the Department of Ecology for the environmental contamination work that has been ongoing on the property for several years, the City shall forward the NFA letter to OWENS and within sixty (60) days from receipt of said letter OWENS shall present the City with an offer to purchase the property for no less than the value of the property as it exists on the date the NFA letter is issued, as determined by a certified commercial real estate appraiser. Prior rental payments and/or increase in the value of the property due to improvements undertaken by OWENS shall not be credited to the purchase price. In the event OWENS purchases the property in accordance with the terms set forth herein the City agrees to compensate Roger Wilson of Wilson Real Estate three (3) percent of the total Property sale value, less costs, taxes and fees associated with the sale thereof, as City's share of the sales commission for his representation in the sale and purchase of the property on behalf of OWENS. Initial: (City) Initial: (OWENS) 27. INTEGRATION: Exhibits and Recitals are incorporated herein by this reference. This Lease and the Agreement incorporated herein embody the entire agreement between the parties with respect to the subject matter herein contained. No amendments or modifications hereof shall be enforceable unless in writing, signed by the party to be charged. 28. THIRD PARTY BENEFICIARY: Nothing in this Agreement is intended to create any rights in any entity not a party to this Agreement nor is any person or entity not named a party herein a third party beneficiary to this Agreement. 29. NOTICE: All notices allowed or required hereunder shall be effective if given in writing and served by personal delivery or delivered by certified mail, return receipt requested, at the address shown below unless a different address is designated by a party in writing: 11 If to City; YAKIMA CITY MANAGER 129 N. 2nd Street Yakima, Washington 98901 If to OWENS: DEAN OWENS Yakima, Washington 98902 30. BINDING EFFECT AND BENEFIT: This Lease shall be binding upon and inure to the benefit of the parties hereto, their successors, assigns and subtenants. 31. AMENDMENTS: Any Amendment to the Lease shall be made in writing and signed by both parties to the Lease. 32. SEVERABILITY: If any term or provision of this Agreement is found invalid or unenforceable by a court of competent jurisdiction, the remainder of this Agreement shall be enforceable and effective to the fullest extent permitted by law. Further, the parties shall negotiate in good faith regarding amendments to this Agreement that would effectuate the intent of any provision held invalid or not enforceable. CITY: CITY OF YAKIMA, WASHINGTON IR Cliff Moore, City Manager Date STATE OF WASHINGTON ) ) ss County of Yakima ) certify that I know or have satisfactory evidence that Cliff Moore signed this instrument, on oath stated that they were authorized to execute the instrument and acknowledged it as the 12 City Manager of the City of Yakima, Washington to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Date - By'. Notary Public Appointment Expires OWENS: DEAN OWENS By: Dean Owens By: STATE OF WASHINGTON } ) ss County of Yakima } Date Date I certify that I know or have satisfactory evidence that Dean Owens and signed this instrument, on oath stated that they were authorized to execute the instrument and acknowledged it to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Date Bv: Notary Public Appointment Expires 13 14 CITY OF YAKIMA LEGAL DEPARTMENT "SouthThirdSfte4Yddm.,Wa4u0on %9M R9PS6" Fax (509}5'75.6160 MEMORANDUM February 17, 2017 TO: Kathy Coffey, Chairperson of the Economic Development Committee Avina Gutierrez, Member Holly Cousens, Member FROM: Sara Watkins, Senior Assistant City Attorney SUBJECT: Changes in code provisions involving signs, in light of Reed v. Gilbert. 1. Background In mid -2015, the United States Supreme Court decided Reed v. Town of Gilbert, a case involving provisions of the Town of Gilbert, Arizona's sign code. The case specifically looked at the Town of Gilbert's temporary sign provisions, which had different regulations based on the content of the temporary sign (i.e. temporary signs communicating noncommercial messages, political signs, and temporary directional signs were all regulated differently). The Court held that the Town could not regulate signs based on their content and, therefore, since temporary signs were regulated differently based on what they said, the Town's sign code provisions were deemed in violation of law. Many jurisdictions had content -based restrictions on signs in their sign codes. The City of Yakima has worked with the Planning Commission to address the Title 15 Sign Code provisions, and currently is working through the process to bring to Council amendments to the zoning code regarding the sign provisions. There are some ordinances outside of Title 15 that also regulate signs. As part of the review of the Yakima Municipal Code in light of the Gilbert case, the following amendments are recommended. March 20, 2017 Page 2 2. Yakima Municipal Code Section 8.30: Street and Building Decorations a. Background. The entire street banner regulation is based on the contingency that street banners are to be used only for community events, not commercial, religious or political advertisement or purposes. "Community events" is broadly defined to include any event intended and held for the benefit of the entire community and open to participation of the entire community. Banners have a maximum permit period of two weeks. Governments can provide limited public forums, however, once a government opens up a limited public forum, it must respect the boundaries it sets and may not exclude speech whether the distinction is not reasonable in light of the purpose served by the forum. Cornelius v. NAACP Legal Defense and Ed. Fund, Inc., 473 U.S. 788, 804-806 (1985). If a limited public forum is created by the government, then content based discrimination is allowed if it preserves the purposes of the public forum, however, the government cannot discriminate against viewpoints of entities seeking to use the limited public forum if they meet the limitations of the forum. Perry Ed. Assn. v. Perry Local Educators' Assn., 460 U.S. 37, 46 (1983). When the state is the speaker, it can say what it wishes and select the views it wants to express. Pleasant Grove City, Utah v. Summum, 555 U.S. 460 (2009). The City opened up the banner program to promote community activities and community organizations, and, therefore, created a limited public forum for speech activity. b. Proposed amendments: Summary The proposed amendments are included in redline. Highlights include: 1. Added the definition of "decorative material" for clarification. 2. Bolstered the purpose section of YMC 8.30.015 to clearly indicate that the ordinance is for the display of public event and public service messages in the limited public forum. It also allows the City to use the banner space for its purposes. 3. Removed language stating specifically that events must be nonreligious and nonpolitical in nature from YMC 8.30.040 as it was duplicitous to the language in YMC 8.30.050. 4. Removed language allowing other jurisdictions to promote their community events outside of the City of Yakima. March 20, 2017 Page 3 5. Removed language regarding priority for banner placement if events have happened annually for at least 3 years to ensure fairness in competition for banner space. 6. Added language to ensure that decorative materials not be placed on banners in YMC 8.30.080. 7. Added language that requires applicants to pay all costs of removing a banner if it is not removed after the permit period. YMC 8.30.080. 3. Sign Code: Yakima Municipal Code 11.08 a. Background YMC 11.08 is the building code portion of the sign code. It supplements the provisions found in Title 15, which addresses land use issues and locations of specific types of signs. The ordinance adopts the Uniform Sign Code, 1991 Edition. The ordinance has not been updated since 1991. It may be advantageous to evaluate whether adoption of a more contemporary uniform code regarding construction of signs is appropriate, but that was not evaluated as part of my review. b. Proposed Amendments: Summary The proposed amendments are included in redline. Highlights include: 1. Additional language in YMC 11.08.010 stating that this code section should work in conjunction with the Title 15 sign code regulations. 2. The definition of "sign" was changed to mirror the definition found in Title 15. 3. YMC 11.08.030 changes include references to Title 15, and changes to language to make the regulations content neutral. 4. YMC 11.08.040 was amended to reference the correct chapter for permit fee information. 5. Amendments to YMC 11.08.070 mirror changes found in Title 15 regarding projecting signs and temporary signs projecting into streets (not allowed). 6. Content -based restrictions were removed from 11.08.080. 7. Additional language clearly excepting from permit requirements lawful tenants of buildings being allowed to perform work installing or constructing signs with the owner's permission. This issue recently came up and it was determined that the ordinance was not clear. The change would allow a commercial tenant with a written lease to erect, remove, service or maintain a sign on the property without obtaining a permit. Owners are still allowed this permit exemption as well. RESOLUTION NO. R-2015-062 A RESOLUTION authorizing the City Manager to execute an agreement between JEM Development Company and the City of Yakima for parking lot utilization in the downtown core. WHEREAS, the City of Yakima has an opportunity to provide the use of additional parking spaces in the downtown area where residents and visitors can park while enjoying the restaurants, wineries, attractions, and entertainment offered in downtown Yakima; and WHEREAS, JEM Development owns several vacant parking lots in the downtown core and is willing to make two of them available to the City of Yakima for the convenience of downtown visitors; and WHEREAS, the City desires to enter into a two-year agreement with JEM Development to use a total of 260 of JEM's parking spaces, 180 of which are located in the area of North 4th Street and Staff Sgt. Pendleton Way and 80 of which are located at the corner of Naches Avenue & Chestnut Ave.; and WHEREAS, JEM Development will make the 260 parking spaces available for public parking at no cost to the City of Yakima in accordance with the terms of the Parking Agreement attached hereto and incorporated herein by this reference; and WHEREAS, the City will be responsible for maintaining the lots in their current condition, performing basic maintenance duties, and paying the annual property tax of $7,422 for the two lots which equates to $28.00 per space annually; now, therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA: The City Manager is hereby authorized and directed to execute the attached and incorporated two-year Parking Agreement with JEM Development for use of 260 parking spaces in the downtown core area. ADOPTED BY THE CITY COUNCIL -this 5th day of May, 2015. Micah Cawi y, Mayor 1� 1 ATTEST: onya Claar Te , City berl LEASE AGREEMENT — PARKING LOTS City of Yakima And JEM Development Company THIS LEASE AGREEMENT- PARKING LOTS (the "Lease") is entered into and effective as of the &-"6-day of May, 2015 (herein the "Effective Date"), by and between JEM Properties, LLC, Morrier Family Realty, LLC, and JEM Development Real Estate, Inc., doing business as JEM Development Company (collectively, the "Lessor'), and the City of Yakima, a municipal corporation (the Lessee, hereafter called "City"). Lessor and City are sometimes referred to herein collectively as the "parties". I. Recitals A. The companies comprising Lessor are a corporation or limited liability company, each of which is duly formed and existing under the laws of the State of Washington, with principal business offices located at 402 East Yakima Avenue, Suite 1200, Yakima, Washington 98901. B. City is a municipal corporation duly formed and existing under the laws of the State of Washington, with City Hall located at 129 North 2nd Street, Yakima, Washington 98901. C. Lessor owns, operates and maintains property and structures, more particularly described below, which are adequate and available for parking of vehicles. Lessor and City desire to enter this Lease, whereby Lessor will make available to City the described parking lots and structures for parking of vehicles for the public and for access of the public in connection with the parking of vehicles. II. Agreement In consideration of the mutual covenants, conditions and benefits in this Lease, the Lessor and the City agree as follows. 1. The Premises. The Lessor hereby leases to the City, and the City hereby leases from the Lessor, the following six (6) parcels situated in the City of Yakima, Yakima County, Washington (collectively called the "Premises"), and as further collectively shown on the maps attached hereto as Exhibit "A," which Exhibit "A" is hereby incorporated herein by this reference: (A) Parkin Lot A: North 40 Street and North Naches Avenue Parcels. The following three (3) parcels comprise Parking Lot A, improved as paved parking lots with 80 parking spaces, collectively: (i) Parking Lot, 101 North 4th Street. This parcel is approximately 0.45 acre in size and is located at the corner of East "A" Street and North 4th Street. This parcel is legally described as follows: Lots 14, 15 and 16 of Block 89. Plat of Yakima, being within the Northwest quarter of Section 19, Township 13, Range 19 E.W.M.; EXCEPT the South 10 feet of said Lot 16 for street right of way. Yakima County Assessor's Parcel No. 191319-21447. (ii) Parking Lot, 107 North 4th Street. This parcel is approximately 0.32 acre in size and is located north of and abutting Parcel (i) described above. This parcel is legally described as follows: Lots 12 and 13, Block 89, Plat of Yakima Yakima County Assessor's Parcel No. 191319-21445. (iii) Parking Lot, 108 North Naches Avenue. This parcel is approximately 0.32 acre in size and is located east of and abutting Parcel (ii) described above. This parcel is legally described as follows: Lots 4 and 5, Block 89, Plat of Yakima Yakima County Assessor's Parcel No. 191319-21440. Parcel A(i) above is owned of record by Morrier Family Realty, LLC, a Washington limited liability company. Parcels A(ii) and A(iii) above are owned of record by JEM Development Real Estate, Inc., a Washington corporation (the legal name of which was changed from "Yakima Mall Shopping Center Corporation" to "JEM Development Real Estate, Inc.", by Amendment to Articles of Incorporation filed with the Washington Secretary of State's office). (B) Parking Lot B: Parcels on southeast corner of intersection of East Chestnut Avenue and South Naches Avenue. The following three (3) parcels comprise Parking Lot B, improved as paved parking lots with parking spaces, collectively: (i) Parking Lot, 101 South Naches Avenue. This parcel is approximately 8,796 square feet in size and is located at the southeast corner of the intersection of East Chestnut Avenue and South Naches Avenue. This parcel is legally described as follows: Lot 16 and the North one-third of Lot 15, Block 112, Plat of Yakima. Yakima County Assessor's Parcel No. 191319-13426. (ii) Parking Lot, 103 South Naches Avenue. This parcel is approximately 8,985 square feet in size and is located south of and abutting parcel (i) described above. This parcel is legally described as follows: The North two-thirds of Lot 14, and the South two-thirds of Lot 15, Block 112, Plat of Yakima. Yakima County Assessor's Parcel No. 191319-13425. (iii) Parking Lot, 105 South Naches Avenue. This parcel is approximately 9,191 square feet in size and is located south of and abutting parcel (ii) described above. This parcel is legally described as follows: Lot 13, and the South one-third of Lot 14, Block 112, Plat of Yakima. Yakima County Assessor's Parcel No. 191319-13424. Said parcels comprising Parking Lot B are owned of record by JEM Properties, LLC, a Washington limited liability company. 2. Term. The parties agree and understand that the purpose of this Lease is to provide additional public parking spaces during the time that the "Downtown Plaza" (situated on the City -owned property commonly known as 22 South 3`d Street (Yakima County Assessor's Parcel No. 191319-24507)) is being constructed. Consequently, the term of this Lease will commence upon the date that a written "Notice to Commence" is issued by City to Lessor (hereafter the "Commencement Date"). The initial term of this Lease will be for a two (2) year period ending on the second (2"d) anniversary date of the Commencement Date, subject to administration on a month-to-month basis until termination as set forth below. Unless earlier terminated in accordance with the terms hereof, this Lease shall be automatically renewed for four (4) additional two-year terms; provided that, the final term shall in any event end no later than May 31, 2125. Either party shall have the right to terminate this Lease in its entirety, or the right to modify the Lease by terminating the application of this Lease to any one or more of the parking lots comprising Parking Lot A or Parking Lot B as defined and described in Section 1 above, upon sixty (60) days prior written notice in accordance with and pursuant to Section 17 below. Either party may elect nonrenewal of this Lease, or modification of this Lease by withdrawing any one or more of the parking lots comprising Parking Lot A or Parking Lot B as defined and described in Section 1 above, by delivering written notice of nonrenewal to the other party at least sixty (60) days prior to the date of the expiration of the then term of this Lease. Notwithstanding the above, the parties anticipate that City will issue its Notice to Commence within two years after execution of this Lease. If such Notice to Commence is not issued by City on or prior to the 2nd anniversary date of the Effective Date then this Lease shall expire and terminate without further notice to either party. 3. Use. City shall use the Premises as parking lots for the general public (and not for City's employees, contractors and the like) and for no other use or purpose. City shall not allow its employees or any other persons to use the Premises for any use or purpose other than parking for the general public without the prior written consent of the Lessor, which consent may be withheld in the Lessor's sole and absolute discretion. City shall have the sole right and authority to regulate and control use of such parking lots for the general public during the term of this Lease, and may post appropriate signage governing allowable purposes and parking times. City shall not permit anything to be done in or about the Premises that will in any way conflict with any law, statute, ordinance or governmental rule or regulation now in force or which may hereafter be enacted or promulgated. Provided that, notwithstanding the foregoing, City may permit its employees and its guests the non-exclusive use of Parking Lot B in the manner and to the extent as provided in that certain Lease dated February 17, 2015, by and between City and The Tower, LLC, a Washington limited liability company (and an affiliate of Lessor herein) for the lease of Suite 100 in that certain property known and generally referred to as the "Tower Annex." 4. Rent. City will not pay rent, but Lessor agrees and acknowledges that performance of City's improvements, maintenance and repair obligations, as well as other mutual benefits, as set forth herein and below, constitute good and sufficient consideration supporting this Lease. 5. City Improvements. City will restripe all of the parking lots comprising Parking Lot A and Parking Lot B and will provide signage as deemed appropriate in City's sole discretion, all at City's sole cost. For purposes of information only, the City estimates that the cost of restriping of Parking Lot A will be approximately $3,000.00. 6. Security Deposit. None 7. Utilities. City shall pay any and all charges for water, sewer, gas, electricity, telecommunication, cable, and all other utilities at the Premises and shall establish accounts directly with the utility providers. 8. Maintenance and Repair; Upkeep of Premises; Hazardous Substances. City is solely responsible for all maintenance and repair of the Premises, including but specifically not limited to snow removal. City shall keep the Premises in a neat and safe condition. The City shall maintain the Premises in compliance with all laws, ordinances, or regulations governing the Premises and the City's use of the Premises. The Lessor shall have no obligation to make any repairs or improvements to the Premises from and after the Effective Date and during the term of this Lease. City's duties to repair and maintain the Premises shall not include any duty or responsibility to replace pavement on the Premises, or to repair damage to such pavement caused by ordinary wear and tear. City's duty to repair pavement shall be limited to that portion of any existing pavement excavated by City to facilitate installation of lighting or any other approved City improvement. City shall not keep on or around the Premises, for the use, disposal, treatment, transportation, generation, storage or sale, any substances designated as or containing components designated as hazardous, dangerous, toxic or harmful, and/or which are subject to regulation as hazardous substances by any federal, state or local law, regulation, statue or ordinance (collectively referred to asHazardous Substances"). Without limiting the foregoing City shall with respect to any such Hazardous Substance comply promptly, timely, and completely with all governmental regulations regarding Hazardous Substances. In the event City shall be found to have violated any of the above covenants, any and all costs incurred by Lessor as a result of City's non- compliance, including Lessor's attorneys fees and costs, shall be additional rent and shall be due and payable to Lessor immediately upon demand by Lessor. Without limiting the foregoing, City shall be fully and completely liable to Lessor for and shall indemnify, defend and hold Lessor harmless from and with respect to any and all cleanup costs and any and all other charges, fees, penalties (civil and criminal) imposed by any governmental authority with respect to the use, disposal, treatment, transportation, generation and/or sale of Hazardous Substances, in or about the Premises. 9. Property Taxes. Upon commencement of this Lease and continuing during the term of this Lease, City shall be responsible for paying the property taxes. 10. Condition. City has had the opportunity to inspect the Premises prior to signing this Lease and accepts the Premises in their "AS IS" condition without any representation from the Lessor as to its condition or suitability for City's intended use. 11. Alterations. Except as set forth above in Paragraph 5 of this Lease, City shall not make any alterations, additions, or improvements to the Premises without first obtaining 5 the written consent of the Lessor, which consent may be withheld in the Lessor's sole discretion. 12. Liability; Indemnification; Release. City hereby agrees to indemnify and to hold Lessor harmless from and to defend Lessor against: (a) any and all claims of liability for any injury or damage to any person or property whatsoever occurring in, on or about the Premises or any part thereof, except only those claims for liability arising solely from the intentional acts or gross negligence of Lessor or its agents or representatives in, on or about the Premises; (b) any and all claims arising from any breach or default in the performance of any obligation on City's part to be performed under the terms of this Lease, or arising from any act or negligence of City, or any of its agents, contractors, employees or invitees; and (c) any and all costs, attorneys fees, expenses and liabilities incurred by Lessor relating to any such claims in (a) or (b) above or in any action or proceeding brought thereon. Nothing in this Lease or in this section shall create any obligation by either party (or both parties) to defend, hold harmless or indemnify any person or member of the public entering upon or using the Premises described herein. Nothing in this Lease or in this section shall be construed to create any liability for any personal injuries (including death) or property damage caused by or resulting from the use of the Premises by any third party and/or member of the public entering upon or using the Premises or parking spaces described herein. 13. Insurance. City will procure and maintain, at its sole cost and expense, during the term of this Lease, insurance satisfactory to the Lessor, insuring the Lessor (a) from liability for damage to person or property and (b) for contractual liability arising in whole or in part from action or inaction by, or on behalf of, the City arising out of the rights or obligations of City under this Lease. For the avoidance of doubt, City does not have responsibility to obtain insurance for replacement of the Premises in the case of a catastrophic 'event, which coverage is the responsibility of the Lessor in Lessor's discretion. As of the Commencement Date of this Lease, and continuing without interruption during the term of this Lease, City shall provide certificate(s) of insurance to Lessor on behalf of City. The certificate(s) of insurance shall meet the following minimum requirements. Commercial General Liability Insurance. City shall provide Lessor with a certificate of insurance as proof of commercial liability insurance and commercial umbrella liability insurance with a total liability limit of the limits required in the policy, subject to minimum limits of Two Million Dollars ($2,000,000.00) per occurrence combined single limit bodily injury and property damage, and Two Million Dollars ($2,000,000.00) general aggregate. The certificate shall clearly state who the -provider is, the coverage amount, the policy number, and when the policy and provisions provided are in effect. Said policy shall be in effect for the duration of this Lease. The policy shall name the Lessor, its officers, agents, and employees as additional insureds. City shall not cancel or change the insurance without first giving Lessor thirty (30) calendar days prior written notice. The insurance shall be with an insurance company or companies rated A -VII or higher in Best's Guide and licensed in the State of Washington 14. Assignment; Sublease. City shall not assign this Lease and City shall not sublease the Premises in whole or in part. 15. Lessor's Right of Access. The Lessor, or the Lessor's employees or agents, shall have the right to enter the Premises in a reasonable manner upon reasonable advance notice to City to inspect the Premises or to conduct surveys, testing, or studies in connection with any engineering, design, financing, or permitting activities related to potential development of the Premises; provided, however, that no notice will be required in emergency circumstances where it is impractical to provide City with advance notice. The Lessor shall use reasonable efforts to minimize any disruption of City's activities. 16. Default. Each of the following shall constitute an Event of Default: a. The City fails to maintain at all times the insurance required by this Lease. b. Either party fails to comply with any agreement or requirement in this Lease, other than the obligations listed in subsection (a), for a period of thirty (30) days after notice from the Lessor. If an Event of Default has occurred and continues, the non -defaulting party may terminate this Lease and pursue any other remedies available under Washington state law. In any litigation, the substantially prevailing party shall be entitled to collect from the other party, in addition to any damages, all reasonable costs, fees, and expenses, including reasonable attorneys' fees, incurred by the prevailing party in pursuing its remedies. 17. Termination. Either party may terminate this Lease in whole or in part by delivering at least sixty (60) days' advance written Notice of Termination to the other party. For avoidance of doubt, the City or Lessor may terminate this Lease in its entirety or only in part by terminating the lease with respect to any one or more of the parking lots comprising Parking Lot A and Parking Lot B as defined and described in Section 1 above. On the expiration of the Term, or any earlier termination of this Lease, the City shall: (a) immediately vacate the Premises (or the portion thereof terminated); (b) repair all damage to the Premises (or the portion thereof terminated) caused by the City's removal of its equipment and property from the Premises; and (c) restore the terminated Premises to the general condition that existed at the commencement of the Term, reasonable wear and tear excepted. The City's indemnity obligation shall survive the termination or expiration of this Lease. 18. Entire Agreement, Applicable Law, Venue. This Lease contains the entire agreement of the parties with respect to the leasing of the Premises and no i7 representations or agreements not included in this Lease shall be enforceable unless in writing and signed by the party to be charged. This Lease shall be governed by and interpreted in accordance with the laws of the State of Washington. Venue for any action arising out of the performance, breach or enforcement of this Lease shall lie in Yakima County, Washington. IN WITNESS WHEREOF, the Lessor and the City have caused this Lease to be executed by their duly authorized agents as of on the date first written above. CITY: CITY OF YAKIMA ony ATTES' ANIi , City Manager �, -05onya C16ar ee, City Clerk Crit cONTRACT NO' 2 0'1Z `► 3 RESOLUTION NO: 6- ��—�-�' Z LESSOR: JEM DEVELOPMENT REAL ESTATE, INC.; JEM PROPERTIES, LLC; MORRIER FAMILY REALTY, LLC W L Joseph Morrier, resident and Manager, respe tively By.&a #A. M U�lub kA.( macre to ry ATTESTATION 8 STATE OF WASHINGTON ) ) ss. Yakima County ) At Yakima, Washington, this .S day of _-- 2015, personally appeared JOSEPH MORRIER, President, and fl, 6 -i� Oje&raa , Secretary, duly authorized officers agent of JEM Development Real Estate, Inc., and JOSEPH MORRIER, as Manager of JEM Properties, LLC and as Manager of Morrier Family Realty, LLC, and acknowledged this instrument, by said officers sealed and subscribed, to be said officers' free act and deed and the free act and deed of the LESSOR named above. ,�• �S DRA0''�f : ■y p t%0TAF1 Y w ■ PuRoo m O ►r'�� URRY 2�'' •fi:�i `':cap i1 P's `,,, STATE OF WASHINGTON Yakima County �u� NOTARY PUBLIC in and for the Statp of Washington, residing at: WIC My Commission Expires; At Yakima, Washington, this day of , 2015, personally appeared TONY O'ROURKE, City Manager of the City 6f Yakima, CITY named above, and acknowledged this instrument, by said officer sealed and subscribed, to be said officer's free act and deed and the free act and deed on behalf of the CITY named above. KAARRE ALLYN :Notary Public State of Washington My Commission Expires April 11, 2016 wr - /,) aavuq- NOTAIRY PUBLIC in and for'the State of Washington, residing at: My Commission Expires: t V — 1 —A to I) BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No 5 C For Meeting of May 5 2015 ITEM TITLE Resolution authorizing the City Manager to enter a Parking Agreement with JEM D evelopm ent Company SUBMITTED BY SeanHawkins Economic Development Manager 575 6274 SUMMARY EXPLANATION The following two year agreement will allow the City to lease 260 new public parlang spaces from JEM Development The parking lot locations are on the Northeast corner of N 4th Street and Sergeant Pendleton Way (180 spaces) and the Southeast corner of Naches Avenue and Chestnut Street (80 spaces) There is no fee to lease the parking spaces over the course of the agreement however the City will agree to the following items 1) The City will agree to pay the property taxes on both lots which is estimated to be 7 422 per year or $28 00 per space annually 2) The City will agree to fix pot holes in each lot and restripe each lot 3) The City will perform basic maintenance including street sweeping weed abatement or other basic litter removal services 4) The City will indemnify JEM Development for any claims of liability Resolution X Other (Specify) Contract Start Date Item Budgeted Funding SourcefFiscal Impact Strategic Priority Insurance Required9 No Mail to Phone Ordinance Contract Term End Date Amount Economic Development APPROVED FCRL- SUBMITTAL � � City Manager RECOMMENDATION Staff recommends Council authorize the City Manager to sign the parking agreement between JEM Development and the City of Yakima ATTACHMENTS Descripbon Upload Date Type D Resolution vwthJEM Devfor parking 4rIM015 C-overMemo D Parking lot lease JEM Development 4P, OP -01 S Cover M em