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Home My WebLink About9/16/2009 - STAFF REPORTS - 2.I. F?ALM S,pq iy Rt V n F 'c${lFORN�P. CITY COUNCIL STAFF REPORT DATE: September 16, 2009 CONSENT AGENDA SUBJECT: Real Property License Agreement with U.S. Enterprises for Office Space in Airport Terminal FROM: David H. Ready, City Manager BY: AVIATION DEPARTMENT SUMMARY The City Council approved a new airport advertising concession agreement with U.S. Enterprises Inc (d.b.a. Corey Airport Services) on June 3, 2009. This action would approve the rental of an onsite advertising office by this new firm. RECOMMENDATION: 1. Approve Real Property License Agreement with U.S. Enterprises, Inc., doing business as Corey Airport Services effective September 16, 2009 through October 31, 2014 for an onsite advertising office at the rate of $440.00 per month. 2. Authorize the City Manager to execute all necessary documents. STAFF ANALYSIS Corey Airport Services is the new airport advertising concessionaire and will be providing a full-time local manager that requires office space. There is a small 171 square foot vacant office located on the second floor of the main terminal building that is a perfect location for this manager both for the logistics of maintaining the advertising equipment and interacting with airport staff. This office rental arrangement will begin immediately and terminate at the same time as the advertising concession agreement. The agreement provides the concessionaire a 60-day cancellation should they decide they need a new location that provides more space. This agreement was recommended by the Airport Commission on September 9, 2009. r ITEM NO, 'I' City Council Staff Report September 16, 2009 -- Page 2 US Enterprises License Agreement FISCAL IMPACT: Rental revenue of $5,280 per annum will be generated from this License Agreement. "A !% 2- , Thomas Nolan, Executive Director, Airport David H. Ready, 'r Eger Attachment: Real Property License Agreement 2 REAL PROPERTY LICENSE AGREEMENT This License Agreement is made this day of 2009, by and between the City of Palm Springs ("City"), CA (hereinafter referred to as "Licensor), and U.S. Enterprises, Inc , dba Corey Airport Services, a Georgia corporation, (hereinafter referred to as "Licensee")_ Licensor and Licensee mutually agree as follows: Section 1. Grant of License. The City of Palm Springs has entered into a concession agreement with Licensee providing for Licensee's development and management of airport display advertisement. This license agreement assists in the implementation agreement by providing floor space for administrative office purposes. Licensor hereby grants to Licensee a license to enter upon, install, and maintain office premises on Licenser's real property, in a triangular floor area consisting of approximately 171 square feet, as more particularly set forth in the site plan, attached as Exhibit "A", and incorporated herein by reference, for the limited purpose of administrative office suppon to the concession agreement. Licensor shall allow Licensee and its employees and agents reasonable access to Licensee's property for purposes of establishing the administrative office support use. Section 2. Term of License. The term of this agreement shall be September 16, 2009 and terminate October 31, 2014 unless terminated in accordance with Section 7 of this agreement. Licensor reserves the right to designate another location for office purposes in the event that Licensor determines conditions affecting airport resources require redesignation. Section 3. Licensee Fee. Licensee shall pay a license fee in the amount of $440.00 per month, payable to Licensor in advance on the first day of each month, in consideration of use of the subject property. Licensor agrees to provide all utilities. G50G2".; Section 4, Licensee's Obligations/Permitted Uses. In consideration of Licensor's agreement to allow Licensee's use of the property, Licensee and its authorized employees shall: (a) Maintain the premises in good and sanitary order, condition, and repair. (b) Refrain from causing undue annoyances, disturbances to others at the airport. (c) Not make or suffer to be made any permanent alterations or improvements to the premises without prior written consent of Licensor. (d) Comply with requests and directives from the City regarding emergency evacuations and training, wearing of identity badges and appropriate clothing Section 5. Indemnity And Insurance. (a) Licensee shall indemnify, defend, and hold harmless the City of Palm Springs, its elected and appointed officials and employees, from and against all claims, demands, loss cr liability of any kind which Licensor may sustain or incur arising out of Licensee's office activities and Licensee's performance of any act in connection with this Agreement. (b) Licensee shall insure that the insurance it is required to obtain for Licensee's "Non-Exclusive Operating & Lease Agreement-Palm Springs International Airport" also covers its use of the premises described in this agreement. Licensee shall present verification of proof of insurance coverage for these licensed premises to the City Attorney at the time of approval of this agreement by Licensor. Section 6. Notices. Any notices required to be given may be served personally or by United States mail, first class, as follows: To: Licensor- City of Palm Springs Office of City Manger 3200 E. Tahquitz Canyon Way Palm Springs, CA 92252 To: Licensee- U.S_ Enterprises, Inc., dba Corey Airport Services, attn: President 225 Corey Center Atlanta, Georgia, 30312 650617 1 Section 7, Termination Provisions of License Agreement. (a) This agreement shall remain in full force and effect until its termination date, or by mutual rescission, or by Licensee's default of its obligations under the agreement, and a failure by Licensee to cure the default within a written noticed 30 day cure period. (b) Licensor reserves the right to terminate this agreement without cause by providing 30 days written notice of termination to Licensee. (c) In addition, the parties further agree that Licensee has the right to terminate this license agreement at any time by providing to Licensor 60 days advance written notice of termination. Section 8. No Assignments/Subletting. Licensee may not transfer any rights under this agreement to any third party without prior written approval of Licensor. Section 9 Right of Inspection. Licensor shall have the right to inspect the office premises at any time by providing advance twenty four hours oral or written notice to Licensee of Licensee's intent to conduct an inspection of the property. Section 10, Compliance With Laws And California_Law_ Licensee shall at its own cost comply with all applicable requirements of municipal, state, and federal authorities now in force or which may thereafter be in force pertaining to use of the premises. This agreement shall be governed by the laws of the State of California. Section 11 Entire Agreement. This Agreement contains the entire Agreement of the parties hereto with respect to the matters covered hereby, and no other previous agreement, statement or promise made by any party hereto which is not contained herein shall be binding or valid. csuc:•� N WITNESS WHEREOF the parties have executed and entered into this Agreement as of the date first written above ATTEST: CITY OF PALM SPRING a municipal corporation By: By: City Clerk City Manager APPROVED AS TO FORM: ' By: J /— ( City 91crne.y CON ACTOR: Check one. ^Individual —Partnership_Corporation Corporations require two notarized signatures: One from each of the following. A. Chairman of Board, President, or any Vice President AND B Secretary,Assistant Secretary,Treasurer,Assistant Treasurer, or Chief Financial Officer By By. _ Signature(notarized) Signature(notarized) Name: Name Title Title: State of State of , County of County of On before me, On before me, personally appeared personally appeared who proved to me on the basis of satisfactory who proved to me on bases of satisfactory evidence to be the person(s)whose name(s) evidence to be the person(s)whose riame(s) islare subscribed to the within Instn:ment is'lare subscribed to the within instrument and acknowledged to me that he/she/they and acknowledged to me that he/she/they executed the same In his/her/their authorized executed the same in his/heritheir authorized capacily(ies),and that by his/her/their capaelty(ies),and that by his/heritheir signature(s) on the instrument the person(s), signatures(s)on the instrument the person(s) or the entity upon behalf of which the person(s) or the entity upon behalf of which the person(s) acted,executed the instrument. acted executed the Instrument. I certify under PENALTY OF PERJURY I certify under PENALTY OF PERJURY under the laws of the State of California that under the laws of the State of California that the foregoing paragraph is true and correct the foregoing paragraph is true and correct WITNESS my hand and official seal WITNESS my hand and official seal, Notary Signature Notary Signature: Notary Seal Notary Seal: (,50C:7 1 6 EXHIBIT A Please see attached esora-, k PALM SPRINGS INTERNATIONAL AIRPORT 2ND FLOOR MAIN TERMINAL EXHIBIT "A" ADVERTISING OFFICE SPACE 171.67 SF 0 MECHANICAL WOMEN ROOM �O MEN 0 MECH. �- SUITE B224 SUITE B226 19` 1 " 20' <.... . 1.. TT SUITE B228 19'b" Q