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HomeMy WebLinkAboutAgenda Statement 1977/11/08 Item 10I,tIY Ur l,t1ULH V1~IF COUNCIL AGENDA STATEMENT Item No. l0 For meeting of 11/8/77 ITEM TITLE Resolution ~'~~ ~ : Approving lease agreement between the City of Chula Vista and Chula Vista Boys Club SUBMITTED BYActing City Manager ~1// ITEM EXPLANATION (4/5TH'S VOTE REQUIRED YES_ NO X ) The City Council, by Resolution No. 8618 on May 3, 1977, declared its intention to lease a portion of Greg Rogers Park to the Chula Vista Boys Club. Subject agreement would lease approximately 3.93 acres as delineated on Exhibit A, and would run for a term of 40 years, commencing the first day of December 1977. The lease is the result of many meetings with Boys Club representatives. City staff is satisfied that in its present form the lease adequately covers the issues previously addressed by the City Council and reasonably protects the public interest, The Boys Club, on the other hand, is provided firm contractual security; an important matter when viewed from their standpoint and the substantial financial investment involved. Some of the more substantive provisions of the lease are as follows: 1, Construction must be underway no later than two years from the effective date of the lease (December 1, 1979), and the City retains the right of approval of architectural design and site plans. 2. City has the right to schedule use of the facilities so long as it does not conflict with the normal and customary use by the Boys Club; and we reserve the right to control, restrict, or prohibit any activities other than normal activities outside the building. 3, Maintenance, repairs and utilities are the full responsibility of the Boys Club. 4. The lease provides that the Boys Club understands and agrees that they will use their best efforts to enter into an agreement with the Girls Club to nrnvide for .ioint use of the property; with the Girls Club, of course, required EXHIBITS rnntinued on supoiementai rase Agreement X Resolution X Ordinance_ Plat_ Notification List_ Other X Exhibit A ENVIRONMENTAL DOCUMENT: Attached Submitted on FINANCIAL IMPACT None STAFF RECOMMENDATION Adopt Resolution BOARD/COMMISSION RECOMMENDATION g P P R O V E D by th•~ COUNCIL ACTION City Counc_1 a£ Chula 'Jista, C~='_ii'ornia r_~_, ~/~ .~~ 7r/ Meeting of 110/8/77 Item No.. Supplemental Page 2 to construct some part of the facility, under the same terms and conditions as the Boys Club. 5. The City has termination rights in case of default, but those rights are fairly well limited to "cause". If, for example, the Boys Club violated some provision of the agreement or failed to comply with a federal or state statute or court order within a prescribed time, the City would have the right to terminate the lease. 6. If termination did occur, the lease provides a method whereby the Boys Club would be compensated for the value of the improvements they have made on the property, i.e., the fair market value of the improvement at the time of termination. 7. The City retains the right to review on an annual basis the programs conducted by the Boys Club in order to determine what changes, if any, should be made to make the Boys and Girls Clubs' activities consistent with the other activities of Greg Rogers Park. The Boys Club Board of Directors has given tentative approval to the lease. They are aware that City staff is recommending approval with some reservation over the questionable ability of some future City Council to terminate the lease solely on the basis that the activities of the Clubs interfere with the needs and desires of the City in the overall use of park facilities. The City Attorney's Office advises the City's power of eminent domain might be used to condemn the lease rights if a much higher public need or use could be shown. It is somewhat doubtful, however, that changes in philosophy of a future City Council regarding such joint use could be the sole basis for exercising the City's right of eminent domain.