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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 2 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 4 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. 5 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 8 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 SCREENWAAL ME , 1 20 —2-- 2 SCREENWALL 17 16 Oakland l::Junty Department Elf Facilities Management Facilities Maintenance & Operations Division Facilities Engineering Division Facilities Planning Group 19 1 13 21 023 Public Worka 0123 262033204, 202,12432 38328 1243105E33143 ISSUED -CIA .2_22,2DAL PRELIMINAiiy XXXX,222 BIDDING CNS-2122,CTION , \2222_ 22 23 11 -- 21 15 24 L. LANDSCAPED AREA - C 30 , Fr ii 37 29 1: 31 13 32 77- L 1 2 36 Lfl 12 023 PROJECT NUMBER XX-XXX 37 --1 UI 8 4 10 . Z Of LL < (/) CO 7- LL aLO (ITEMS DRAWN DATE CHECKED DATE APPROVED DATE DRAWING FILE 023-1 dwg SHEET NUMBER I OF 1 co - PLANTER H 222-4 57 WEST OFFICE BUILDING SCALE: 10 = 1' 0 7'f E Z 7 9.1 IA 0 111 3 NORTH 2,EVISION 3000(XXXX XXIX,2X 25 27 14 WORK ORDER :3,2 COST CENTER) OPERATION NUMBER 11 2 L L L, naKlond C '3e.p.or m er --ccdifies onag em Mainler or Operati Divisicn RacijUes. Ungina;1' In DP:isicn • Hcilcs Group C.,PbIiWor. t,ford, ihig z83.28 (248) 85F, 0" 43 IN:MA.12Y REVISION 'WORK ONFEIR 2021 CENTER/ Cel-RA1102 NIlE PROJEF I NA Ill I r.); • I ' g="7777-- / r-F HcnccanpecJ or: j 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