HS - LEASE CITY OF TEMPE BRIDALWREATH.PDF

Lease No. L-7387
C-22-07068-4
LEASE AGREEMENT
C20006-142
This Lease Agreement is entered into this 15th day of , 2006, by
and between the City of Tempe, an Arizona municipal corporation ("Tempe"), and Marieopa
County, Arizona through its Human Services Department with regard to the Head Start Program
("Head Start").
A. Tempe is constructing the North Tempe Multigenerational Center, at 1555 North
Bridalwreath, Tempe, Arizona, on real property owned by the Tempe Elementary School District
(the "Center").
B. The Center will be owned and operated by the City of Tempe Community
Services Department and will be shared by Tempe Elementary School District, and non-profit
organizations, including Head Start,
NOW, THEREFORE, in consideration of the mutual promises and covenants herein
contained, and other valuable consideration, Tempe and Head Start agree as follows:
1. Leased Premises. Tempe hereby leases to Head Start the portions of the Center
identified on Exhibit A attached hereto, generally consisting of two classrooms with adjoining
children's restrooms and the shared use of the playground. Head Start shall have exclusive rights to
the playground Monday — Thursday for at least one hour in the morning and one hour in the
afternoon, with the specific times to be negotiated each year. Head Start also shall have the
nonexclusive right to use public areas within the Center (such as sidewalks, driveways, parking lots,
restrooms, hallways, and reception areas) for ingress, egress, deliveries and related purposes.
2. Term; Termination. The term of this Lease shall be ten years. Tempe and Head
Start may terminate this Lease by giving not less than ninety (90) days prior written notice of
termination to the other party. If neither Tempe or Head Start exercises its right to terminate this
Lease, then this Lease shall continue in effect for subsequent ten -year periods until terminated.
3. Consideration for Lease.
a. Head Start shall pay to Tempe as rent for the leased premises the sum of One
Dollar ($1.00) per year. The first payment shall be payable in advance on the first day of the term of
this lease, and subsequent payments shall be payable in advance on the same day of each subsequent
year during the term of this lease. The rent shall be paid without notice, demand, deduction or any
set-off whatsoever, to the City of Tempe, Community Services Department, Social Services
Division 3500 S. Rural Road, Tempe, Arizona 85282, or to any other place designated by the City
in writing.
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b. Head Start will assist Tempe in providing information and encouraging
eligible children and families to become involved with the Center's programs and resources.
c. Concurrently with the execution of this Lease, Head Start will pay to Tempe
the sum of $75,000.00, to be used solely for development of a playground at the Center, including
fencing, meeting the day care licensure and Head Start requirements.
4. Use Programming.
a. Head Start shall use the leased premises only for the purpose of providing a
comprehensive developmental preschool for children ages 0-5, to be open at least four (4) days per
week from 8:00 a.m. to 4:00 p.m. (the "Preschool"). The Preschool shall operate for at least ten (10)
months of each fiscal year. Head Start may (but is not required to) provide summer programming if
funding is available for such purpose.
b. The Preschool is expected to serve a minimum of 68 but not more than 80
eligible children, depending on community needs and available resources.
c. Head Start shall staff the Preschool with at least two (2) full time equivalent
teachers, each of whom shall have at least an Associate's Degree in Early Childhood Education, and
at least two (2) classroom aides. All educational staff and all programming must meet the combined
requirements, policies and procedures mandated by the Maricopa County Human Services
Department for Head Start, Head Start Revised Performance Standards, Arizona Department of
Education and the Arizona State Child Day Care Licensing authority.
d. Head Start shall provide all appropriate classroom materials and supplies
required for its use of the leased premises and operation of the Preschool.
e. Head Start shall provide classroom furniture and equipment required for its
use of the leased premises; all of such furniture and equipment shall be and remain the property of
Head Start, including all replacements and substitutions, and may be removed by Head Start upon
termination or expiration of this Lease.
f. Head Start shall provide food for classroom meal services, including
breakfast, lunch and snack, in accordance with the United States Department of Agriculture/Child
Adult Food Care Program guidelines and those of Head Start Performance Standards.
g. Head Start will conduct monthly parent meetings and other family activities
throughout the year, and may use other space at the Center in accordance with the rules for shared
use referenced elsewhere in this Lease.
h. Head Start shall obtain and maintain in effect all licenses and permits, and
shall pay all fees, required to lawfully operate the Preschool and occupy the leased premises, and
shall take all actions necessary to comply with applicable auditing, administration and compliance
requirements applicable to the Preschool.
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i. The leased premises shall not be used for any purposes in violation of any
zoning or other laws or of any regulation of any governmental body having jurisdiction over the
leases premises.
5. Scheduling of Shared Use Areas. Head Start shall have the nonexclusive right to
use the Shared Areas identified on Exhibit B hereto for meetings and other reasonable uses in
accordance with reasonable rules and regulations adopted by the City of Tempe Community
Services Manager or his designee.
6. Utilities. Tempe shall provide all utilities for the Center and the leased premises
(excluding long distance telephone service and other special charges), including electric, gas, water,
sewer, janitorial, and trash collection. Head Start shall reimburse Tempe within thirty (30) days after
receipt of an invoice from Tempe for long distance telephone charges or other special charges
incurred by Head Start.
7. Maintenance. Tempe shall maintain the Center in good condition and repair, and
will provide general maintenance of the Center. Tempe's maintenance responsibilities shall extend
to all interior and exterior portions of the Center and all building systems, including heating, air
conditioning, fire suppression, water, sewer, landscaping, replacements or improvements. In
appropriate circumstances, however, Head Start may be required to reimburse Tempe for certain
costs for repairs incurred because of abuse or extraordinary wear and tear caused by Head Start, its
guests, invitees, employees or volunteers. Head Start shall take substantial responsibility for general
upkeep of the leased premises required by the nature of its operations to include immediate
notification to the City of the need for repairs to the facility or replacement of equipment.
8. Alterations. The Center has been constructed in accordance with applicable
laws, including without limitation the Americans With Disabilities Act. Without Tempe's prior
written consent, Head Start shall not make any alterations, additions or improvements or
remodel, redecorate or paint the leased premises or any part thereof. Without Tempe's prior
written consent, Head Start shall not erect any signs on the exterior of the Center. Tempe shall
have the absolute right to grant or withhold its consent; provided that Tempe agrees not to
unreasonably withhold its consent to any alterations or other improvements to the leased premises
that are required to ensure that the leased premises comply with applicable guidelines for early
childhood quality practices. Any such alterations and improvements shall be made by and under the
direction of Tempe, and in accordance with Tempe's procurement policies, but at Head Start's sole
cost and expense. Head Start and Tempe acknowledge that Head Start's ability to pay for any
alterations or improvements is subject to the availability of funding, and that Tempe may condition
its approval on receipt of reasonably satisfactory evidence that funding is available. Any alterations
or improvements constructed at the leased premises shall become part of the Center and
constitute the property of Tempe. If, at any time during the term of this Agreement, any repairs
to or additions, changes or corrections in the Center are required by reason of any laws,
ordinances, rules or regulations now or hereafter in force, Tempe shall make such repairs,
additions, changes or corrections at its sole cost and expense. All such alterations and
improvements and any fixtures installed by Head Start on the leased premises shall become the sole
property of Tempe upon expiration or termination of this Lease.
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9. Damage; Destruction. If the Center, the leased premises, or any material part
thereof, are damaged or destroyed by fire or other casualty from any cause, so as to render the
leased premises or the Center unfit for use and occupancy, Tempe will proceed, as expeditiously
as may be practicable, to repair the damage, unless Tempe decides not to repair or restore the
Center, in which event and at Tempe's sole option, Tempe may terminate this Agreement by
giving Head Start ninety (90) days written notice. Head Start agrees that all proceeds from
insurance policies maintained with respect to the leased premises shall be paid to Tempe. Head
Start shall be responsible for insuring its property and for repairing and replacing any of its
property that may be damaged or destroyed.
10. Default; Remedies. It shall be a default if either party fails to perform any of the
terms, covenants, or conditions of this Lease required to be performed by it, for a period of thirty
(30) days after written notice from the other party specifying in reasonable detail the nature of
such failure. If the default is of a nature that it cannot reasonably be cured within thirty (30)
days, then the defaulting party shall have such longer period as may be necessary provided the
defaulting party has commenced the cure within such thirty (30) days and diligently pursues such
cure to completion. Upon the occurrence of a default, the non-defaulting party shall have the
right, at its option, to immediately terminate this Agreement, whereupon it shall have no further
obligation or liability under this Agreement.
11. Compliance with Laws. Each party agrees to conduct itself and its activities in
compliance with all applicable laws, rules and regulations of the United States, the State of
Arizona, the County of Maricopa and the City of Tempe.
12. Taxes. Tempe shall be responsible for payment of any real property taxes,
assessments and similar impositions levied against the Center, and all fixtures and equipment
13. Insurance. Tempe understands and acknowledges that Head Start is self-insured.
14. Indemnity. Tempe and Head Start (as "indemnitor") agrees to indemnify, defend
and hold harmless the other party (as "indemnitee") from and against any and all claims, losses,
liability, costs or expenses (including reasonable attorney's fees) (hereinafter collectively
referred to as "claims") arising out of bodily injury of any person (including death) or property
damage, but only to the extent that such claims which result in vicarious/derivative liability to
the indemnitee are caused only by the willful misconduct or gross negligence of the indemnitor,
its officers, officials, agents employees, or volunteers.
15. Notices. All notices which shall or may be given pursuant to this Agreement
shall be in writing and transmitted by registered or certified mail, return receipt requested,
addressed as follows and shall be effective when received:
Head Start: Maricopa County
Department of Human Services
234 N. Central Avenue, Suite 3201
Phoenix, AZ 85004
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With Copies to: Maricopa Department of Finance
Real Estate Services Manager
301 W. Jefferson, Suite 960
Phoenix, AZ 85003
Tempe: City of Tempe
Community Services, Social Services
3500 S Rural Road
Tempe, AZ 85282
With copies to: City Manager
P. 0. Box 5002
Tempe, AZ 85280
16. Force Majeure. Except for payment of sums due, no party shall be liable to the
other nor deemed in default under this Lease if and to the extent that such party's performance of
this Lease is prevented by reason of force majeure.
17. Cancellation. This Lease is subject to cancellation in accordance with the
provisions of A.R. S §38-511.
18. Liens. Head Start shall not permit any liens to be placed against the Center or the
leased premises; if the Center or the leased premises shall at any time during the term of this Lease
become subject to any vendor's, mechanic's, laborer's, or materialmen's lien based upon the
furnishing of material or labor to Head Start, then at its sole cost and expense, Head Start shall cause
the same to be discharged within forty-five (45) days after notice thereof, unless the lien and the
claim occasioning is the subject of pending litigation being pursued by Head Start in good faith.
19. Nuisance. Notwithstanding anything in this Lease to the contrary, including
without limitation the use by Head Start of the Leased Premises, Head Start shall not commit or
permit any nuisance or other act, whether noise, odor, smoke, sewage, chemical wastes, or
otherwise, which may disturb the quiet enjoyment of any other user of the Center. Head Start shall
not obstruct or cause to be obstructed any public or private roadways.
20. Assignment; Subletting; Sale. Head Start shall not assign this Lease or sublet all or
any portion of the leased premises without the prior written consent of Tempe, which consent may
be granted or withheld in Tempe's sole and absolute discretion. Prior to agreeing to any
assignment, the City is entitled to review all financial consideration received for the assignment.
Consent to the Assignment can be withheld by the City for any reason. Tempe shall notify Head
Start within thirty (30) days after any sale, transfer or conveyance of the Center.
21. Right of Entry, Tempe may, during the term of this Lease, at all reasonable times
and during usual business hours, enter upon the Leased Premises for the purpose of inspecting the
same, for reasonable access for maintenance, repair or alterations.
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22. Surrender. Upon the expiration of the term of this Lease, or upon the earlier
termination of this Lease, Head Start shall surrender peaceable possession of the leased premises in
the same condition as the leased premises were at the commencement of this Lease, reasonable wear
and tear and acts of God excepted.
23. Entire A2reement. This Lease contains the entire agreement between the parties
hereto, and supersedes any prior oral or written agreement or understanding with respect to the
subject matter hereof.
24. Applicable Law. The laws of Arizona shall govern the construction, performance,
and enforcement of this Lease.
25. Time of Essence. Time shall be of the essence in the performance of every term,
covenant, and condition of this Lease.
26. Termination. Tempe and Head Start each reserve the right to terminate this Lease
agreement without cause at any time during the Lease period upon giving ninety (90) days written
notice.
27. Amendment; Waivers. No amendment, modification, or alteration of this Lease
and no waiver of its terms, shall be binding unless in writing, dated subsequent to the date of this
Lease and duly executed by Tempe and Head Start. No waiver by either party of any breach of
any of the terms, covenants or conditions of this Lease shall be construed or held to be a waiver
of any succeeding or preceding breach of the same for any other term, covenant or condition
herein contained.
28. No Partnership or Joint Venture. While Tempe and Head Start shall cooperate
with one another to assure the proper operation of the Preschool, nothing in this Lease or
otherwise in the relationship of the parties shall render them partners or joint venturers.
29. Adoption by Mayor and Council; Authority to Execute Minor Amendments.
This Lease is subject to adoption by Tempe's Mayor and Council through an ordinance. Upon
execution of this Lease, the Mayor and Council authorize the Community Services Manager of
Tempe to sign other documents or minor amendments of this Lease as may be necessary to
effectuate this Lease.
IN WITNESS WHEREOF, the parties hereto have executed this Lease this 15th day of
June 2006.
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CITY OF TEMPE MARICOPA COUNTY BOARD OF
SUPERVISORS
By: By: UN 2 1_2008
Hugh H Don StapreYi
Mayor Chairman
City of Tempe Board of Supervisors
ATTEST:
JUN 2 1 2008
Kathy an McCarron
City Clerk Clerk, Board of Supervisors
APPROVED AS TO FORM: This Contract has been reviewed pursuant to
Section 11-251 and 11-951, et. seq., Arizona
Revised Statutes, by the undersigned Deputy
County Attorney who has determined that it is
City Attorney proper in form and is within the power and
authority granted under the laws of the State of
Arizona.
William Riske
Deputy C nty
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North Tempo Multi Generational Center
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