HomeMy WebLinkAboutResolutions - 2013.02.07 - 20699MISCELLANEOUS RESOLUTION #13023 February 7, 2013
BY: PLANNING & BUILDING COMMITTEE, JIM RUNESTAD, CHAIRPERSON
IN RE: FACILITIES MANAGEMENT — LEASE FOR BOY SCOUTS OF AMERICA BUILDING
BY OAKLAND COUNTY CREDIT UNION
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Chairperson, Ladies and Gentlemen:
WHEREAS the Oakland County Board of Commissioners authorized execution of a Bill
Of Sale to Oakland County from the Clinton Valley Boy Scouts of America, Inc., (BSofA) in MR
#12331 allowing the County to take possession of their 9379 sq. ft. building on the County's
campus in 2012; and
WHEREAS the Oakland County Credit Union (OCCU) is planning to make extensive
renovations to their building on Oakland County's campus starting in March 2013 and require a
temporary location to conduct business from; and
WHEREAS a lease in good standing has continuously existed between the OCCU and
the County since 1965; and
WHEREAS the attached lease between the OCCU and the County sets the terms and
conditions for the use of the BSofA building during the renovation of the OCCU building; and
WHEREAS all of the BSofA building equipment appears to be in serviceable condition,
lighting has been retrofitted to be more energy efficient, and internal labor costs, utilities,
custodial, preventive maintenance, typical repairs, landscaping, etc., will be comparable to any
other building of its size and use; and
WHEREAS the terms of the attached lease requires full reimbursement for all expenses
incurred by the County to maintain the grounds and operate the building; and
WHEREAS the OCCU will make basic renovations/improvements to the interior of the
BSofA building in adherence to Facilities Management standards at no cost to the County.
NOW THEREFORE BE IT RESOLVED that the Oakland County Board of
Commissioners authorizes the execution of the attached lease with the Oakland County Credit
Union.
BE IT FURTHER RESOLVED that the Oakland County Board of Commissioners directs
its Chairperson or its designee to execute said lease.
Chairperson, on behalf of the Planning and Building Committee, I move the adoption of
the foregoing resolution.
PLANNING AND BUILDING COMMITTEE
j.
Copy of OCCU lease with Oakland County attached.
PLANNING & BUILDING COMMITTEE VOTE:
Motion carried unanimously on a roll call vote.
BUILDING LEASE
BETWEEN
OAKLAND COUNTY
AND
OAKLAND COUNTY CREDIT UNION
This Lease is made and entered into on ("Commencement Date"), by the
Oakland County Credit Union, a Michigan Corporation, 1220 County Center Drive, Waterford,
Michigan 48328 ("Tenant") and the County of Oakland, a Michigan Constitutional Corporation,
1200 North Telegraph Road, Pontiac, Michigan 48341 ("Landlord").
A. The Tenant currently leases real property from the Landlord on the Landlord's campus
located at 1220 County Center Drive, Waterford, Michigan 48328. That lease was amended
on January 19, 2012 to extend the lease until June 28, 2051.
B. Tenant owns the building located at 1220 County Center Drive, Waterford, Michigan and the
Landlord leases the real property upon which the building is located and parking lot to
Tenant.
C. Tenant will soon start renovation of the building located at 1220 County Center Drive,
Waterford, Michigan 48328.
D. During this renovation, Tenant desires to lease the building and parking lot located at 1100
County Center Drive, Waterford, Michigan 48328, which is specifically depicted and
described in Exhibit A.
E. This will allow Tenant to continue to provide services to its members near its current
location, while renovating the building at 1220 County Center Drive, Waterford, Michigan
48328.
F. The Landlord desires to lease the building and parking lot located at 1100 County Center
Drive, Waterford, Michigan 48328 to the Tenant during the renovation.
in consideration of the mutual covenants contained in this Lease, the Parties agree to the following
terms and conditions:
1. Leased Premises. The Landlord leases to the Tenant the building and parking lot,
located at 1100 County Center Drive, Waterford, Michigan 48328 ("Premises"), which is
further described and depicted in Exhibit A.
2. Term and Commencement Date.
2.1 The Term of this Lease shall begin on the Commencement Date and shall end on
December 31, 2013 ("initial term"). The Tenant shall have possession of the
Premises on the Commencement Date.
2.2 This Lease may be renewed for an additional six (6) months ("renewal term") at the
discretion of the Oakland County Department of Facilities Management Director or
his or her successor (F&M Director). This renewal shall be evidenced by a written
letter to Tenant from the F&M Director.
3. Termination. Tenant may terminate and/or cancel this Lease at any time upon one thirty
(30) days written notice to Landlord, for any reason, including convenience, without
incurring obligation or penalty of any kind. The effective date of termination and/or
cancellation shall be clearly stated in the .written notice.
4. Rent. The rent amount shall be the annual gross square footage rate, divided into equal
monthly amounts, as determined by the Oakland County Department of Facilities
Management and based upon the annual gross square footage rate set by the Oakland
County Board of Commissioners for similar County buildings. The rent shall be due and
paid on the first calendar day of each month. The rent shall be paid to "the County of
Oakland" at Oakland County Department of Facilities Management, One Public Works
Drive, Waterford, MI 48328. If the Lease Commencement Date is other than the first
calendar day of the month, then the rent shall be pro-rated based upon a thirty (30) day
month.
5. Hold Over. In the event the Tenant holds over after the expiration of this Lease without
a written agreement between the Landlord and the Tenant, the hold over shall be
construed to be a tenancy from month-to-month on the same terms and conditions
contained in this Lease, for a period not to exceed ninety (90) days.
6. Alterations or Improvements. Tenant shall not make any alterations, improvements or
other modifications to or upon the Premises without the prior written consent of the F&M
Director. Any alterations, improvements or other modifications made to or upon the
Premises shall become an integral part of the Premises and shall become the sole property
of Landlord immediately upon completion, unless Landlord notifies Tenant, prior to
construction, that the alterations, improvements or other modifications shall be removed
by Tenant at the conclusion or termination of the Lease, at Tenant's sole expense. Any
alterations, improvements, or other modifications made to or upon the Premises shall be
performed by a properly qualified contractor approved by the F&M Director, prior to
commencement of work. Any alterations, improvements or other modifications shall be
done only during normal business hours, unless prior written permission is received by
the F&M Director and done in such a way as not to interfere with other Landlord
operations on, near or about the Premises. Any contractor retained by Tenant shall
comply with MCL 129.201, et seq. Any alternations, improvements, or other
modifications to the Premises by the Tenant will be at Tenant's sole expense, unless
otherwise agreed by Tenant and the F&M Director in writing. the Tenant shall notify
Landlord of the completion of alterations, improvements, or other modifications to the
Premises within (3) days of project completion. Proof of completion, including but not
limited to, photographs, invoices, and cancelled checks, for alterations or improvements
must be submitted to Landlord within (30) days of project completion. Tenant shall
provide Landlord with detailed drawings and/or descriptions illustrating and describing
the alternations, improvements or other modifications
7. Use and Occupancy; During the term of this Lease, the Premises shall be used as a
credit union and for general office space.
8. Condition Upon Surrender. Upon expiration or termination of this Lease, the Tenant
shall surrender the Premises in the same condition as it was on the Commencement Date
when taken (reasonable wear and tear and approved alterations, improvements or other
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modifications excepted) and shall remove its personal property. Upon expiration or
termination of the Lease, the Premises shall be left in a clean condition and free of all
garbage. If Tenant fails to compile with this Section, Tenant shall be responsible for all
Landlord's costs associated with complying with this Section. Landlord shall invoice
Tenant for such costs and Tenant shall pay such invoice within thirty (30) days of receipt.
The invoice shall contain a detailed description of the costs incurred by Landlord.
9. Equipment and Furnishings. The Tenant shall provide, at its own expense, furniture
and equipment it deems necessary. The Tenant, at its own expense, shall be solely
responsible for the maintenance and repair of all furniture and equipment used on the
Premises.
10. Maintenance and Repairs. The Landlord shall maintain and keep the Premises in good
repair, including, but not limited to, the roof, ceilings, walls, floors, foundations,
electrical and plumbing systems, sidewalks, parking areas, exterior glass, and heating,
ventilation, and cooling systems. If any repairs to the Premises are required (except for
normal wear and tear), as a result of' the Tenant's actions or the actions of its employees,
agents, customers, licensees or invitees, then the Landlord shall make such repairs or
cause such repairs to be made, provided, however, that the Tenant shall be responsible for
all costs associated such repairs. The Landlord shall submit an itemized invoice to the
Tenant detailing the repairs and the costs associated with such repairs. The Tenant shall
pay the invoice within thirty (30) calendar days of receipt.
11. Utilities and Services.
11.1. Utilities. Landlord shall pay all utilities for Premises, including electrical, gas,
water and sewer.
11.2. Services. Tenant shall pay for all costs associated with any services it may want
in or around the Premises, including, but not limited to, telephone service/system,
computer service/system, internet service, and custodial service for the Premises.
11.3. Grounds/Parking Lot Services. Landlord shall provide trash removal from the
exterior of the building and parking lot located on the Premises, snow and ice
removal from sidewalks, steps and parking lot, lawn care and grounds
maintenance and services, and parking lot maintenance. Tenant shall then
reimburse Landlord in full for same.
12. Compliance with Laws. The Landlord agrees, at its own expense, to promptly comply
with all applicable federal, state and municipal laws and regulations affecting the
Premises, including any barrier-free requirements. If the Landlord fails to comply with
such laws and regulations, the Tenant may give the Landlord written notice of its intent to
terminate the Lease one hundred fifty (150) days after the Landlord's receipt of the written
notice. lithe Landlord complies with the laws and regulations within the one hundred
fifty (150) day period, then Tenant's notice will be deemed withdrawn.
Destruction of Premises.
13.1. In the event, the Premises are partially or entirely damaged or destroyed as a result
of the Tenant's actions or the actions of its employees, agents, customers,
licensees, or invitees, the Tenant shall be responsible for repairing all damage or
destruction, unless such damage or destruction is covered and paid for by the
Landlord's insurance, in which case the Tenant shall reimburse the Landlord for
any deductible it must pay in connection with the damage or destruction.
13.2. In the event, the Premises are partially damaged or destroyed by fire or other
casualty, the damage to the Premises shall be promptly repaired or rebuilt by the
Landlord. In the event the Premises cannot be repaired or rebuilt within one
hundred eighty (180) days after such destruction, the Tenant shall have the right to
terminate this Lease and vacate the Premises within ninety (90) days after the
occurrence of such damage or destruction. During the time between when the
Premises are damaged and the Tenant remains on the Premises during repair or
vacates the Premises altogether, the Rent owed by the Tenant shall be reduced in
proportion to the fraction of the Premises rendered unusable (in the discretion of
the Tenant). If more than thirty-five percent (35%) of the Premises are damaged or
destroyed by a casualty, the Tenant may elect to remain on the Premises or to
vacate the Premises.
13.3. In the event that more than thirty-five (35%) percent of the Premises are damaged
or destroyed by fire or other casualty, the Landlord may elect to either repair or
rebuild the Premises, or to terminate this Lease by giving written notice to the
Tenant within ninety (90) days after the occurrence of such damage or destruction.
Tenant will have ninety (90) days from the date of the notice to vacate the
Premises. If the Landlord elects to rebuild or repair the Premises, then the Rent
owed by the Tenant shall be reduced in proportion to the fraction of the Premises
rendered unusable (in the discretion of the Tenant) until the Premises are repaired
or rebuilt. In no event shall the Landlord be required to repair or replace any
property of the Tenant.
13.4. In the event that less than Thirty-five (35%) percent of the Premises are damaged
or destroyed by fire or other casualty the Rent owed by the Tenant shall be
reduced in proportion to the fraction of the Premises rendered unusable (in the
discretion of the Tenant) until the Premises are repaired or rebuilt.
14. Insurance. At all times during this lease, Tenant must obtain and maintain insurance
according to the specifications set forth in Exhibit B.
15. Indemnification.
15.1 Tenant shall indemnify and hold the Landlord harmless from any and all claims,
including attorney fees, which are incurred by or asserted against the Landlord by
any person or entity, alleged to have been caused or found to arise, from the acts,
performances, errors, or omissions of Tenant or Tenant's employees, agents, or
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volunteers without limitation, all claims relating to injury or death of any person or
damage to any property.
15.2 Tenant shall have no rights against the Landlord for any indemnification (e.g.,
contractual, equitable, or by implication), contribution, subrogation, and/or any
other right to be reimbursed by the Landlord except as expressly provided herein.
16. Care of Premises.
16.1 Tenant shall keep the Premises in good repair, wear and tear from reasonable use
and damage from the elements excepted.
16.2 Tenant shall keep the Premises and the area immediately surrounding the Premises
clean and free of garbage.
17. Security. The Landlord agrees to provide lighting for the exterior of the Premises
including parking areas directly adjacent to the Premises, in an adequate manner. The
Landlord will provide keys for the Tenant's employees, agents, or independent contractors
to enter the Premises.
18. Access. The Landlord shall have twenty-four (24) hour access to the Premises for the
purpose of inspecting, repairing, and maintaining the Premises.
19. Signs. The Tenant may attach, install or erect signs on the interior and exterior walls of
the Premises as necessary for the Tenant's business at the Premises. However, the Tenant
may not attach, install or erect any signs on the exterior walls of or the area surrounding,
the Premises without the prior written approval of the F&M Director and the applicable
governmental entity as to the form, content, material, lighting and structure.
20. Assignment. The Tenant shall not assign, sublet or in any manner transfer this Lease or
any estate Or interest therein without the prior written consent of the F&M Director.
21.Pai:L4 . The Landlord agrees to provide Tenant with 45, assigned parking spaces for
Tenant's exclusive use,
22. Eminent Domain. If the whole Premises are taken by any public authority under the
power of eminent domain, then this Lease shall be terminated on the day the public
authority takes possession of the whole Premises. If less than the whole, but more than
thirty-five percent (35%) of the Premises are taken by any public authority under the
power of eminent domain, then either Party may terminate this Lease upon thirty (30)
days written notice to the other Party. In the event neither Party elects to terminate this
Lease, the Lease shall terminate on the date the public authority takes possession of the
Premises. Neither Party shall have any future liability or obligation under the Lease if it
is terminated under this Paragraph.
23. Quiet Enjoyment. Upon performance of its obligations under this Lease, the Tenant
shall peacefully and quietly hold and enjoy the Premises for the Term of this Lease
without hindrance or interruption by the Landlord, its agents or employees, subject to the
terms of this Lease.
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24. Modifications. This Lease may be modified or amended only by written agreement of
the Landlord and the Tenant or as otherwise provided herein.
25. Remedies Not Exclusive. It is agreed that each and every right and benefit provided by
this Lease shall be cumulative and shall not be exclusive of any other right, remedy or
benefit allowed by law or in equity to either Party.
26. Use of Words. The pronouns and relative words used in this Lease shall be read
interchangeably in masculine, feminine or neuter, singular or plural, as the context
requires.
27. Security Deposit. No security deposit is being required of Tenant.
28. .g.oyerplialaa. This Lease shall be interpreted under and governed by the laws of the
State of Michigan.
29. Severability. If a term, condition, or provision of this Lease is found, by a court of
competent jurisdiction, to be invalid, unenforceable, or to violate or contravene federal or
state law, then the term, condition, or provision shall be deemed severed from this Lease;
all other terms, conditions and provisions shall remain in full force and effect.
30. Waiver. No waiver of any term, provision or condition of this Lease, whether by conduct
or otherwise, in one or more instances, shall be deemed or construed as a further
continuing waiver of a term, provision or condition of this Lease. No remedy available to
a Party for the other Party's breach of this Lease is intended to be an exclusive remedy. A
Party's exercise of any remedy for breach of this Lease shall not be deemed or construed
to be a waiver of its right to pursue another remedy.
31. Erit.re.Agreement. This Lease constitutes the entire agreement of the Parties with
respect to the Premises and all prior negotiations, agreements and understandings, either
oral or written, are merged herein.
32. Binding Effect. The terms and conditions of this Lease shall be binding and shall inure
to the benefit of the Parties and their respective heirs, representatives, successors and
assigns.
33. Notice.
33.1. All notices, requests, demands, and other communications required by this Lease shall
be in writing and shall be deemed given if personally delivered or mailed, certified
mail, return receipt requested, to the following addresses:
To Landlord: County of Oakland
Attention: Oakland County Board of Commissioners
1200 North Telegraph Road
Pontiac, MI 48341
With a copy to: Property Management Specialist
Oakland County Department of Facilities Management
6
1 Public Work Drive
Waterford, M-148328
To Tenant:
Oakland County Credit Union
1220 County Center Drive
Waterford, Michigan 48328
34. Reservation of Rights. This Lease does not and is not intended to impair, divest,
delegate, or contravene any constitutional, statutory, and/or other legal right, privilege,
power, obligation, duty, capacity, or immunity of the Parties.
35. Default. If the Tenant defaults in any of its obligations under this Lease, the Landlord
shall have all remedies available to it under the law.
36. Execution in Counterts. This Lease may be executed in several counterparts, each
of which shall be an original and all of which shall constitute but one and the same
instrument.
Tenant: Oakland County Credit Union
By:
Signed and sworn to before me in Oakland County, Michigan, on day of ,2013.
Notary Public, State of Michigan, Oakland County
My Commission expires:
Acting in the County of Oakland
Landlord: County of Oakland
By:
Michael J. Gingell, Chairperson
Oakland County Board of Commissioners
Signed and sworn to before me in Oakland County, Michigan, on day of , 2013
7
Notary Public, State of Michigan, Oakland County
My Commission expires:
Acting in the County of Oakland
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EXHIBIT B
INSURANCE REQUIREMENTS
1. Tenant shall procure and maintain insurance coverage according to the following
specifications:
a. Commercial General Liability Occurrence Form, including a) Premises and Operations
b) Products and Completed Operations, c) Personal and Advertising Injury, d) Broad Form
Property Damage, e) Independent Contractors, and 0 Blanket Broad FOIM Contractual with
the following minimum limits:
• $3,000,000- General Aggregate Limit other than Products/Completed Operations
• $500,000- Each Occurrence
• Included - Products/Completed Operations Aggregate limit
• Included - Personal & Advertising Injury Limit
• $10,000- Medical Payments - Any One Person
b. Workers' Compensation with limits statutorily required by any applicable Federal or
State law and Employers Liability Insurance with minimum limits of $100,000 each
accident, $100,000 disease each employee, and $500,000 disease policy limit.
c. Automobile Liability with minimum limit of $1,000,000 Combined Single Limit per
occurrence for owned, hired and non-owned vehicles (including Michigan No-Fault as
required by law).
2. General Insurance Policy Provisions:
a. All certificates of insurance and/or insurance policies shall contain the following
provisions and clauses:
1) All policies of insurance shall be on a primary, non-contributory basis with any
other insurance and/or self-insurance carried by the Landlord.
2) Tenant and their insurance carriers agree to waive all rights of subrogation against
the Landlord, employees, agents, and elected and appointed officials of the Landlord,
and the County of Oakland.
3) Commercial General Liability and Automobile policies shall be endorsed to include
as Additional Insured: the Landlord, employees, agents, and elected and appointed
officials of the Landlord, and the County of Oakland as Additional Insured.
4) All certificates are to provide thirty (30) days written notice of material change,
non-renewal, or cancellation. Certificates of insurance must be provided no less than
ten (10) working days before commencement of the Lease.
5) The insurance required of the Tenant is not intended to cover any tools, equipment
or other such personal property of the Tenant. This risk of loss to all such personal
property shall be assumed by the Tenant. The Tenant and insurance carriers agree to
waive all rights against the County of Oakland for any damage or loss to such personal
property.
6) All insurance carriers shall be licensed and approved to do business in the State of
Michigan and are subject to the approval of the landlord.
b. If Tenant makes alternations, improvements or other modifications to the Premises which
are estimated to cost more than $50,000.00, then the Oakland County Department of Risk
Management, in its sole discretion, may increase or require changes to any coverages
contained in this Exhibit.
9
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FISCAL NOTE (MISC. #13023) February 7,2013
BY: FINANCE COMMITTEE, TOM MIDDLETON, CHAIRPERSON
IN RE: FACILITIES MANAGEMENT — TEMPORARY USE OF BOY SCOUTS OF AMERICA
BUILDING BY OAKLAND COUNTY CREDIT UNION
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Chairperson, Ladies and Gentlemen:
Pursuant to Rule XII-C of this Board, the Finance Committee has reviewed the above
referenced resolution and finds:
1. The Board of Commissioners per M.R. #12331 authorized execution of a Bill of
Sale to Oakland County from Clinton Valley Boy Scouts of America, Inc. (BS of
A) for the County's acceptance of the Building located at 1100 County Center
Drive W, Waterford, MI.
2. The Oakland County Credit Union (OCCU) requires a temporary location while
their building on the County's campus is being renovated starting in March 2013.
3. The BS of A Building is in serviceable condition and is available for lease to the
OCCU on a temporary basis as requested beginning in March 2013.
4. The OCCU will make basic renovations/ improvements to the interior of the
building at no cost to the County.
5. Terms of the lease require full reimbursement of all expenses incurred by the
County to maintain the grounds and operate the building.
6. The term of the lease will end December 31. 2013 with an option for renewal for
an additional six months.
7. The FY 2013 Facilities Maintenance and Operations Fund (#63100) Budget
includes sufficient funding to maintain the grounds and operate the BS of A
Building for the term of the lease. Reimbursement of the County's costs from
OCCU for this purpose will be receipted in the External Agencies Revenue
account.
8. No budget amendment is required at this time. Any additional revenue will be
included as an amendment in the quarterly forecast.
E CO(MIVIIITTEE
FINANCE COMMITTEE VOTE:
Motion carried unanimously on a roll call vote with Long and Quarles absent.
Resolution #13023 February 7, 2013
Moved by Long supported by McGillivray the resolutions (with fiscal notes attached) on the Consent
Agenda be adopted.
AYES: Dwyer, Gershenson, Gosselin, Hatchett, Hoffman, Long, Matis, McGillivray, Middleton,
Quarles, Runestad, Scott, Spisz, Taub, Weipert, Woodward, Zack, Bosnic, Crawford. (19)
NAYS: None. (0)
A sufficient majority having voted in favor, the resolutions (with fiscal notes attached) on the Consent
Agenda were adopted.
I HEREBY APPROVE JHE FO:! RESOLUTION
-3
STATE OF MICHIGAN)
COUNTY OF OAKLAND)
I, Lisa Brown, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and
accurate copy of a resolution adopted by the Oakland County Board of Commissioners on February 7,
2013, with the original record thereof now remaining in my office.
In Testimony Whereof, I have hereunto set my hand and affixed the seal of the County of Oakland at
Pontiac, Michigan this 7th day of February, 2013,
Lisa Brown, Oakland County