HomeMy WebLinkAbout08 - Girl Scout Lease Agreement - 1700 West BalboaCITY OF NEWPORT BEACH
CITY COUNCIL STAFF REPORT
Agenda Item No. 8
February 25, 2003
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Recreation and Senior Services Department
Marie Knight, Director 949 - 644 -3157
mknight@ city.newport- beach.ca.us
SUBJECT: Amendment to Girl Scout Lease Agreement
RECOMMENDATION
Authorize the Mayor to enter into the 3rd Amendment to a 1987 Lease Agreement with
the Girl Scout Council of Orange County (GSCOC) that will extend the Girl Scouts'
tenancy at the Girl Scout House (1700 West Balboa) to December 31, 2003.
DISCUSSION
The Girl Scout Council of Orange County has used a City building at 1700 West Balboa
(known as the Girl Scout House) since December 1, 1947. The current lease — entered
into on November 6, 1987 — expired on March 15, 2001.
Further, City Council entered into an Agreement with Sutherland -Talla Hospitality to
conduct and complete new planning activities associated with a re -use of the
MarinaPark property.
Background
According to the City's files on the property known as the Girl Scout House, the City and
the Girl Scout Council of Orange County first entered into a lease agreement for the
House in December of 1947. Here is a brief summary of the lease history of the site:
. 1947 Lease
– 10 years, expired in November 1957
. 1957 Renewal
– 10 years, expired in November 1967.
. 1967 Renewal
– 10 years, expired in November 1977.
• 1977 Renewal
– 10 years, expired in November 1987.
. 1987 Renewal
– 13 years, set to expire in March 2000.
. 1999 Amendment
– Extended the 1987 Lease to March 15, 2001.
During the course of this relationship, the City has either not charged for rent, or
charged a nominal fee of $1 per year to the Girl Scout Council for their use of the
House. The lease renewals listed above generally included only changes in the terms
and in the level of liability insurance required of the Girl Scout Council.
Amendment to Girl Scout Lease Agreement
February 25, 2003
Page 2
The current lease includes the following requirements and stipulations – the Girl Scout
Council must:
• Pay the City $1 per year for rent of the Scout House.
• Maintain the following insurance policies:
— Injury to Persons -- $1,000,000 per person or per accident
— Automobile -- $1,000,000 for any one accident
— Girl Scout Council will reimburse the City for costs to provide "adequate fire
insurance" on building and improvements
• Allow the City and the community to use the House with prior City approval.
.Obtain written approval of the City Manager prior to constructing any new
improvements to the House.
This Agenda Item asks the City Council to authorize the Mayor to enter into a third
one -year extension with the Girl Scouts by amending the 1987 Lease Agreement for a
second time. In addition, the term of this third Amendment may be automatically
extended for two additional one year periods, through December 31, 2005, unless City
provides 180 day advance written notice to the GSCOC of the City's intent to
terminate the lease.
Environmental Review: This action is categorically exempt from CEQA under Class 1,
which includes leasing of existing facilities.
Prepared and Submitted by:
Marie �night, Recr atio6A Senior Services Director
Attachment: Third Amendment to the 1987 renewal agreement for the lease of real property.
THIRD AMENDMENT TO THE 1987 RENEWAL AGREEMENT
FOR THE LEASE OF REAL PROPERTY
THIS THIRD AMENDMENT TO THE 1987 RENEWAL AGREEMENT FOR THE LEASE OF
REAL PROPERTY ( 113`d Amendment ") is made on February 25, 2003, by and between the
CITY OF NEWPORT BEACH, a charter city and municipal corporation ( "City "), and the Girl
Scout Council of Orange County ( "GSCOC ") a non - profit organization, is as follows:
RECITALS
WHEREAS, GSCOC have used the City's property at 1700 West Balboa (the "Premises ") as a
meeting facility since December 1947; and
WHEREAS, City owns or holds in trust the property associated with the Premises and has
leased the Premises to GSCOC under a Lease Renewal Agreement executed November 6,
1987 ( "1987 Agreement') and expired on March 12, 2000; and
WHEREAS, the City Council and the GSCOC extended the 1987 Agreement by one additional
year on November 22, 1999 (the "1st Amendment" to the 1987 Agreement); and an additional
112nd Amendment" extending the 1987 Agreement through March 15tt' 2002; and
WHEREAS, the 2nd Amendment expired by its terms on March 15, 2002, however, the
GSCOC have continued to pay rent and occupy premises under terms and conditions of 1987
Agreement; and
WHEREAS, the City and GSCOC desire to extend the 1987 Agreement under identical terms
from March 15, 2002 through December 31, 2003 as provided by this 3`d Amendment and
WHEREAS, the City is actively seeking alternative uses for City owned property adjacent to
the Premises. Alternative uses may include the Premises or otherwise impact future use of the
Premises for scouting purposes. The City desires to allow GSCOC to continue to lease the
Premises while alternative use plans are more fully explored.
WHEREAS, the City and GSCOC resolve to maintain their long term relationship, and to this
effect the City is committed and will continue to seek input and work with the GSCOC in future
planning to ensure GSCOC will continue to have use of a recreational facility in the City for
many years.
NOW, THEREFORE, in consideration of the mutual covenants contained herein and other good and
valuable consideration, the receipt of which is hereby acknowledged, the parties agree as follows:
Paragraph 1 of the 1987 Agreement shall be amended to read as follows: That the term of this
lease renewal shall be for a period commencing on December 1, 1987 and ending December
31, 2003. The term of this 3`d Amendment may be automatically extended for two additional
one year periods, through December 31, 2004 and December 31, 2005, unless City provides
180 day advance written notice to the GSCOC of the City's intent to terminate the Lease.
Except as expressly amended by this 3`d Amendment all other terms and conditions of the
1987 Agreement shall remain in full force and effect, as if fully incorporation herein by
reference.
IN WITNESS WHEREOF, the parties have executed this 3d Amendment as of the day and
year first above written.
CITY OF NEWPORT BEACH
Steven Bromberg, Mayor
ATTEST:
LaVonne Harkless, City Clerk
APPROVED AS TO FORM:
Robin L. Clauson, Assistant City Attorney
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