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HomeMy WebLinkAboutCC RESO 15,056RESOLUTION NO. 15,056 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO ENTER INTO AN AMENDMENT TO THE PARKING FACILITY LEASE BETWEEN THE PARKING AUTHORITY OF THE CITY OF NATIONAL CITY AND 'ii-m CITY OF NATIONAL CITY WHEREAS, in 1982 pursuant to and in accordance with applicable laws of the State of California, the Parking Authority of the City of National City acquired certain real property and caused to be constructed thereon, for lease back to the City for the use of the City, a public parking facility, together with landscaping, utilities and appurtenant and related facilities therefor, commonly known as the Plaza Bonita Parking Facilities Project; and WHEREAS, the Authority agreed to construct and complete the Project on such real property and leased such real property and the Project constructed thereon to the City by a Parking Facility Lease originally executed and entered into as of January 15, 1982; and WHEREAS, the Authority pursuant to Resolution No. 82-2(PA) adopted on January 19, 1982, duly issued its bonds, designated the "Parking Authority of the City of National City 1982 Lease Revenue Bonds", in the aggregate principal amount of eight million four hundred ten thousand dollars ($8,410,000), and used the proceeds of the Bonds to pay for the construction of the Project; and WHEREAS, under and pursuant to the Project Lease, the City is obligated to make base rental payments to the Authority for the lease of the Project to it; and WHEREAS, the Authority and the City have determined that it would be in the best interests of the Authority and the City and the residents of the City to defease the Bonds through the sale and delivery of refunding certificates of participation evidencing and representing proportionate interests of the registered owners thereof in the base rental payments to be paid by the City to the Authority under and pursuant to the Project Lease; and WHEREAS, the Authority and the City desire to amend the Parking Facility Lease as of August 1, 1986, in order to facilitate and provide for such defeasance; • NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of National City that the Mayor is authorized to enter into an Amendment to the Parking Facility Lease entered into by and between the Parking Authority of the City of National City and the City of National City, on January 15, 1982. A copy of said Amendment is attached hereto as Exhibit "A" and incorporated herein by reference. PASSED and ADOPTED this 19th day of August, 1986. ATTEST: 1 Campbell, City lerk APPROVED AS TO FORM: George H.Eiser, III -City Attorney Rile MorMayor 3 729 RECORD;NG REaQUES1 tD BY CLL'fltNFJrTM. LAND TITLE COWANY AND MAIL TO: cf 11�A�,o� w/ Ca/fcf tIfr1,o7,/,7-I c,4, 04,—V ?7 AMENDMENT TO PARKING FACILITY LEASE Dated as of August 1, 1986 86 372369 y.:eFficIAT fGaf 1 CF S."'e Lt QO CC h 1 1986 AUG 27 PM 1: C6 LAYYA E OR E� L�CQUNTY P,ECORQE� by and between the PARKING AUTHORITY OF THE CITY OF NATIONAL CITY and the CITY OF NATIONAL CITY A1131VNO1.IVN dO A110 m -117 NO FEE i I 730 AMENDMENT TO PARKING FACILITY LEASE This Amendment to Parking Facility Lease, dated as of August 1, 1986, by and between the Parking Authority of the City of National City (the "Authority") as lessor, and the City of National City (the "City") as lessee; W I T N E S S E T H: WHEREAS, in 1982 pursuant to and in accordance with applicable laws of the State of California, the Authority determined to acquire, for lease to the City for the use of the City, a public parking facility, together with landscaping, utilities and appurtenant and related facilities therefor, commonly known as the Plaza Bonita Parking Facilities Project (the "Parking Facility"); and WHEREAS, the Authority leased the Parking Facility to the City by a Parking Facility Lease originally executed and entered into as of January 15, 1982 (the "Parking Facility Lease"); and WHEREAS, the Authority pursuant to Resolution No. 82-2(PA) adopted on January 19, 1982, duly issued its bonds, designated the "Parking Authority of the City of National City 1982 Lease Revenue Bonds" (the "Bonds"), in the aggregate principal amount of eight million four hundred ten thousand dollars ($8,410,000), and used the proceeds of the Bonds to pay for the acquisition of the Parking Facility; and WHEREAS, under and pursuant to the Parking Facility Lease, the City is obligated to make base rental payments to the Authority for the lease of the Parking Facility to it; and WHEREAS, the Authority and the City have determined that it would be in the best interests of the Authority and the City and the residents of the City to defease the Bonds through the sale and delivery of refunding certificates of participation evidencing and representing proportionate interests of the registered owners thereof in the base rental payments to be paid by the City to the Authority under and pursuant to the Parking Facility Lease; and WHEREAS, the Authority and the City have agreed to amend the Parking Facility Lease as of August 1, 1986, as herein provided, in order to facilitate and provide for such defeasance; and WHEREAS, the Authority has assigned without recourse all its rights to receive the base rental payments scheduled 731 to be paid by the City under and pursuant to the Parking Facility Lease, as amended, to First Interstate Bank of California, as trustee (the "Trustee") pursuant to an Assignment Agreement executed and entered into as of August 1, 1986; and WHEREAS, in consideration of such assignment and the execution and entering into of a Trust Agreement by and among the Trustee, the Authority and the City, the Trustee has agreed to execute and deliver refunding certificates of participation in an aggregate principal amount equal to the aggregate principal components of such base rental payments, each evidencing and representing a proportionate interest in the principal components of such base rental payments; and WHEREAS, the Authority and the City have agreed that the proceeds of such refunding certificates of participation shall be used (together with other available funds) to defease the outstanding Bonds; and WHEREAS, all acts, conditions and things required by law to exist, to have happened and to have been performed precedent to and in connection with the execution and entering into of this Amendment to Parking Facility Lease do exist, have happened and have been performed in regular and due time, form and manner as required by law, and the parties hereto are now duly authorized to execute and enter into this Amendment to Parking Facility Lease; NOW, THEREFORE, in consideration of the mutual covenants herein contained, the parties hereto agree as follows: SECTION 1. Amendment to Section 1 of Parking Facility Lease. Section 1 of the Parking Facility Lease is hereby amended to add the following definitions: The term "Assignment Agreement" means that certain Assignment Agreement executed and entered into as of August 1, 1986, by and between the Authority and the Trustee. The term "Certificates" means the $8,080,000 refunding certificates of participation authorized by and at any time outstanding under the Trust Agreement that are executed and delivered by the Trustee thereunder. The term "Interest Payment Date" means a date on which interest evidenced and represented by the Certificates becomes due and payable, being March 1 and September 1 of each year to which reference is made (commencing on March 1, 1987). 2 732 The term "Principal Payment Date" means a date on which principal evidenced and represented by the Certificates becomes due and payable, being March 1 of each year to which reference is made (commencing on March 1, 1987). The term "Trust Agreement" means that certain Trust Agreement executed and entered into as of August 1, 1986, by and among the Trustee, the Authority and the City. The term "Trustee" means First Interstate Bank of California, a banking corporation duly organized and existing under and by virtue of the laws of the State of California, at its principal corporate trust office in Los Angeles, California, or any other bank or trust company at its principal corporate trust office which may at any time be substituted in its place as provided in the Trust Agreement. SECTION 2. Amendment to Section 2 of Parking Facility Lease. The second paragraph of Section 2 of the Parking Facility Lease is hereby amended to be read as follows: The term of this lease shall commence on March 1, 1982 and shall end on March 1, 1997 unless such term is extended or sooner terminated as hereinafter provided. If on March 1, 1997 the Bonds or the Certificates shall not have been fully paid and retired, or if the rental payable hereunder shall have been abated at any time and for any reason, then the term of this lease shall be extended until the date upon which all the Bonds and the Certificates shall have been fully paid and retired, except that the term of this lease shall in no event be extended beyond March 1, 2002. If prior to March 1, 1997 the Bonds and the Certificates shall have been fully paid and retired, or if title to the Parking Facility shall have reverted to the grantors under the deeds by which the Authority acquired such title, then the term of this lease shall end simultaneously therewith. SECTION 3. Amendment to Section 3 of Parking Facility Lease. Section 3 of the Parking Facility Lease is hereby amended to read as follows: SECTION 3. Rental. The City agrees to pay to the Authority, its successors or assigns, without deduction or offset of any kind, as rental for the use and occupancy of the Parking Facility, the following amounts at the following times: 3 733 (a) Base Rental. The City shall pay to the Authority as base rental hereunder rental payments with interest and principal components. Each base rental payment shall be due in each year on March 1 and September 1, beginning on March 1, 1987, and continuing until the end of the term hereof, and shall be payable on the fifteenth (15th) day of the month immediately preceding its due date (except that after March 1, 1987, one-half (1/2) of each principal component due on each March 1 shall be payable on the preceding August 15), in accordance with the base rental payment schedule set forth in Exhibit B attached hereto and made a part hereof, and any interest or other income with respect thereto accruing prior to each such due date shall belong to the City and shall be returned by the Authority to the City. The interest components of the base rental payments payable by the City hereunder shall be paid by the City as and shall constitute interest paid on the principal components of the base rental payments payable by the City hereunder. Each payment of base rental shall be for the use and occupancy of the Parking Facility for the six-month period ending on the last day of the month immediately preceding the day on which such base rental payment is due, except that the first such payment shall be for the use and occupancy of the Parking Facility for the period from the date of delivery of this Amendment to Parking Facility Lease to February 28, 1987. (b) Additional Rental. The City shall pay to the Authority as additional rental hereunder such amounts in each year as shall be required by the Authority for the payment in full of all costs and expenses incurred by the Authority in connection with the execution, performance or enforcement hereof or any assignment hereof, of the Trust Agreement and of the ownership of the Parking Facility and the lease of the Parking Facility to the City, including but not limited to payment of all fees, costs and expenses and all administrative costs of the Authority in connection with the Parking Facility, the Parking Facility Lease, the Assignment Agreement and the Trust Agreement and all taxes, assessments and governmental charges of any nature whatsoever hereafter levied or imposed by any governmental authority against the Authority, the Parking Facility, or the rentals and the other payments required to be made by the City hereunder. Such additional rental shall be billed to the City by the Authority from time to time, together with a statement certifying that the amount so billed has been paid by the Authority for one or more of the items above described, or that such amount is then payable by the Authority for one or more of such items, and all amounts so billed shall be due and payable by the City within thirty (30) days after receipt of the bill by the City. 4 734 Each payment of base rental and additional rental for each rental payment period during the term hereof shall constitute the total rental for such rental payment period, and shall be paid by the City in each rental payment period for and in consideration of the right to the use and occupancy, and the continued quiet enjoyment, of the Parking Facility during the rental payment period for which such rental is paid. The parties hereto have agreed and determined that such rental represents the fair rental value of the Parking Facility. In making such determination, consideration has been given to the costs of the construction of the Parking Facility, other obligations of the parties hereunder, the uses and purposes which may be served by the Parking Facility and the benefits therefrom which will accrue to the City, its residents and the general public. Each installment of base rental payable hereunder shall be paid in lawful money of the United States of America to or upon the order of the Authority or its assignee at the office of the Trustee, and each installment of additional rental payable hereunder shall be paid in lawful money of the United States of America to or upon the order of the Authority at its principal office. Any such installment of base rental or additional rental accruing hereunder which shall not be paid when due shall bear interest at the rate of twelve per cent (12%) per annum from the date when the same is due hereunder until the same shall be paid, and all such delinquent installments of base rental and the interest thereon shall be deposited in the Rental Payment Fund established under the Trust Agreement and all such delinquent installments of additional rental and interest thereon shall be paid to the order of the Authority. Notwithstanding any dispute between the Authority and the City, the City shall make all rental payments when due hereunder without deduction or offset of any kind and shall not withhold any rental payments pending the final resolution of such dispute. The City covenants to take such action as may be necessary to include all such rental payments due hereunder in its annual budgets and to make the necessary annual appropriations for all such rental payments. The City will furnish to the Authority and the Trustee copies of each annual budget of the City within ten (10) days after the adoption thereof. All rental payments received shall be applied first - to the interest components of the base rental due hereunder, then to the principal components of the base rental due hereunder and thereafter to all additional rental due hereunder, but no such application of any payments which are 5 ) 735 less than the total rental due and owing shall be deemed a waiver of any default hereunder. During any period in which, by reason of material damage or destruction (other than by condemnation, which is provided for in Section 9) there is substantial interference with the use and possession by the City of any portion of the Parking Facility, rental payments due hereunder shall be abated proportionately, and the City waives the benefits of Civil Code Sections 1932(2) and 1933(4) and any and all other rights to terminate the Parking Facility Lease by virtue of any such interference and the Parking Facility Lease shall continue in full force and effect. The amount of abatement shall be such that the resulting base rental represents fair consideration for the use and possession of the portions of the Parking Facility not damaged or destroyed. Such abatement shall continue for the period commencing with the date of such damage or destruction and ending with the substantial completion of the work of repair or replacement of the portions of the Parking Facility so damaged or destroyed. The City may prepay, from eminent domain proceeds received pursuant to Section 9 hereof, all or any portion of the principal components of base rental payments then unpaid, in whole on any date, or in part on any Interest Payment Date in integral multiples of five thousand dollars ($5,000) so that the aggregate annual amounts of principal components of base rental payments which shall be payable after such prepayment date shall each be in an integral multiple of five thousand dollars ($5,000) and shall be as nearly proportional as practicable to the aggregate annual amounts of principal components of base rental payments then unpaid, at a prepayment price equal to the sum of the principal components prepaid plus accrued interest thereon to the date of prepayment. The City may prepay, from net insurance proceeds received pursuant to Section 7 hereof, all or any portion of the principal components of base rental payments then unpaid, in whole on any date, or in part on any Interest Payment Date in integral multiples of five thousand dollars ($5,000) so that the aggregate annual amounts of principal components of base rental payments which shall be payable after such prepayment date shall each be in an integral multiple of five thousand dollars ($5,000) and shall be as nearly proportional as practicable to the aggregate annual amounts of principal components of base rental payments then unpaid, at a prepayment price equal to the sum of the principal components prepaid plus accrued interest thereon to the date of prepayment. 6 736 The City may prepay, from any source of available funds, all or any portion of the principal components of base rental payments then unpaid, in whole on any date on or after March 1, 1992, or in part in a minimum principal amount of twenty thousand dollars ($20,000) in inverse order of their Principal Payment Dates on any Interest Payment Date on or after March 1, 1992, from any source of available funds, at a prepayment price equal to the sum of the principal components prepaid plus accrued interest thereon to the date of prepayment plus a prepayment premium equal to a percentage of the principal amount thereof in accordance with the following schedule: Prepayment Prepayment Dates Premium On or after March 1, 1992, and prior 2 to March 1, 1993 On or after March 1, 1993, and prior 1-1/2 to March 1, 1994 On or after March 1, 1994, and prior 1 to March 1, 1995 On or after March 1, 1995, and prior 1/2 to March 1, 1996 On or after March 1, 1996 0 Before making any prepayment pursuant to this section, the City shall, within five (5) days following the event creating such right or obligation to prepay, give written notice to the Authority describing such event and specifying the date on which the prepayment will be made, which date shall be not less than thirty (30) nor more than sixty (60) days from the date such notice is given. The agreements and covenants on the part of the City contained herein shall be deemed to be and shall be construed to be duties imposed by law and it shall be the duty of each and every public official of the City to take such action and do such things as are required by law in the performance of the official duty of such officials to enable the City to carry out and perform the agreements and covenants in the Parking Facility Lease agreed to be carried out and performed by the City. SECTION-4. Amendment to Section 5 of Parking Facility Lease. The second paragraph of Section 5 of the Parking Facility Lease is hereby rescinded. SECTION 5. Amendment to Section 6 of Parking Facility Lease. The phrase "with the consent of the Fiscal Agent and" on line 8 of Section 6 of the Parking Facility Lease is hereby rescinded. 7 737 SECTION 6. Amendment to Section 7 of Parking Facility Lease. Section 7 of the Parking Facility Lease is hereby amended to read as follows: SECTION 7. Insurance. (a) The City will maintain or cause to be maintained fire, lightning and extended coverage insurance, including flood insurance, on the Parking Facility in an amount equal to one hundred per cent (100%) of the then current replacement cost of the Parking Facility, excluding the then value of the land as unimproved (except that such insurance may be subject to deductible clauses of not to exceed one hundred thousand dollars ($100,000) for any one loss), or in such other amount as the Authority may reasonably determine to be necessary, in the event of a total or partial loss, to restore the Parking Facility to the condition existing prior to such loss. The extended coverage endorsement shall, as nearly as practicable, cover loss or damage by explosion, windstorm, riot, aircraft, vehicle damage, smoke, vandalism and malicious mischief and such other hazards as are normally covered by such endorsement. Each such policy of insurance shall be in form reasonably satisfactory to the Authority and shall contain a clause making all losses payable to the Authority, the City and the party providing such insurance as their interests may appear, and all proceeds thereof shall be paid over to the party contractually responsible for making repairs of casualty damage. At the request of the party contractually responsible for making repairs of casualty damage, the Authority shall obtain from the Reserve Fund established under the Trust Agreement and pay over to such responsible party an amount equal to such party's cost of such repairs, but not exceeding one hundred thousand dollars ($100,000) in the aggregate. In the event of any damage to or destruction of the Parking Facility caused by the perils covered by such insurance, the proceeds of such insurance shall be utilized for the repair, reconstruction or replacement of the Parking Facility to the end that the Parking Facility shall be restored to at least the same condition that it was in prior to such damage or destruction, insofar as the same may be accomplished by the use of such proceeds. Any balance of such proceeds not required for such repair, reconstruction or replacement shall be transferred to the Trustee and applied in the manner provided in the Trust Agreement. (b) The City will maintain or cause to be maintained public liability insurance with limits of not less than five hundred thousand dollars ($500,000) for one person and one million dollars ($1,000,000) for more than one person 8 738 involved in one accident to protect the Authority and its members, officers and employees and the City and the Trustee from all direct or contingent loss or liability for damages for bodily injury or death occasioned by reason of the operation of the Parking Facility. The City will also maintain or cause to be maintained insurance against liability for property damage resulting from any casualty attributable to the operation of the Parking Facility in an amount not less than one hundred thousand dollars ($100,000) for each accident, except that such property damage insurance may be subject to a deductible clause for any one accident of not to exceed five thousand dollars ($5,000). Such public liability insurance and such property damage insurance may be in the form of a single limit policy in the amount of one million dollars ($1,000,000) covering all such risks. The insurance coverage required by this subsection may be effected by blanket policies covering the Parking Facility issued to the party contractually responsible for the maintenance and operation of the Parking Facility, or by self-insurance so long as a party with a net worth of at least fifty million dollars ($50,000,000) certifies to the City that it covers all such public liability and property damage risks of the party contractually responsible for the maintenance and operation of the Parking Facility. (c) The City will maintain or cause to be maintained rental interruption or use and occupancy insurance to cover loss, total or partial, of the use of the Parking Facility as a result of any of the hazards covered by the insurance required by subsection (a) of this section, in an amount not less than the total rent payable by the City under this lease for a period of at least twelve (12) months, except that such insurance may provide for a deductible amount equal to one month's rent payable hereunder. Any such insurance policy shall contain a loss payable clause making any loss thereunder payable to the Trustee as its interests may appear. Any proceeds of such insurance shall be used by the Trustee to reimburse the City for any rental theretofore paid by the City under this lease for a period of time during which the payment of rental under this lease is abated, and any proceeds of such insurance not so used shall be applied as provided in the Trust Agreement. (d) The City will deliver to the Trustee in the month of July in each year a schedule setting forth the insurance policies then in force pursuant to this section, the names of the insurers which have issued the policies, the amounts thereof and the property and risks covered thereby. Each such insurance policy shall require that the Trustee be given thirty (30) days' notice of any intended cancellation thereof or reduction of the coverage provided thereby. 9 739 Delivery to the Trustee of the schedule of insurance policies under the provisions of this section shall not confer responsibility upon the Trustee as to the sufficiency of coverage or amounts of such policies. SECTION 7. Amendment to Section 9 of Parking Facility Lease. Section 9 of the Parking Facility Lease is hereby amended to read as follows: SECTION 9. Eminent Domain. If the whole or any portion of the Parking Facility shall be taken by eminent domain proceedings (or sold to a government threatening to exercise the power of eminent domain), the proceeds therefrom shall be deposited with the Trustee in a special fund in trust and shall be applied and disbursed by the Trustee as follows: (a) If less than the entire Parking Facility shall have been so taken and the remainder is usable as a public parking facility, then this lease shall continue in full force and effect as to such remainder and there shall not be any abatement of rental under this lease; and if the portion taken is replaced by equal or greater vehicle parking capacity within or adjacent to such remainder, the Trustee shall disburse such proceeds to the party that incurred the expense of making such replacement, but failing the making of such replacement the Trustee shall apply such proceeds as specified in subsection (b). (b) If less than the entire Parking Facility shall have been so taken and the remainder is not usable as a public parking facility, or if the entire Parking Facility shall have been so taken, then the term of this lease shall cease as of the day that possession shall be so taken; and the Trustee shall apply such proceeds, together with any other money then available to it for such purpose, for the payment of the entire amount of principal then due or to become due upon all outstanding Certificates, together with the interest thereon and the redemption premiums, if any, thereon, so as to enable the Authority to retire all of the Certificates then outstanding by redemption or by payment at maturity; except that if such proceeds, together with any other money then available to it for such purpose, are insufficient to provide for the foregoing purpose, the Trustee shall apply such proceeds in accordance with the provisions of the Trust Agreement so far as the same may be applicable. 10 C 740 SECTION 8. Amendment to Section 16 of Parking Facility Lease. The words "Fiscal Agent" on line 10 of Section 16 of the Parking Facility Lease are hereby amended to read "Trustee". SECTION 9. Addition of Section 22 to Parking Facility Lease. A new Section 22 is added to the Parking Facility Lease to read as follows: SECTION 22. Tax Covenants. The City will not make or direct any use of the proceeds of the obligation provided herein or any other funds of the City which will cause such obligation to be an "arbitrage bond" subject to federal income taxation by reason of Section 103(c) of the Internal Revenue Code of 1954, as amended (herein the "Code"), to be "federally guaranteed" and subject to federal income taxation by reason of Section 103(h) of the Code, or to be a "consumer loan bond" subject to federal income taxation by reason of Section 103(0) of the Code. To that end, so long as any rental payments are unpaid, the City, with respect to such proceeds and such other funds, will comply with all requirements of such Sections 103(c) (h) and (o), and all regulations of the United States Department of the Treasury issued thereunder to the extent that such requirements are, at the time, applicable and in effect. The City will not use or permit the use of the Parking Facility by any person not an "exempt person" within the meaning of Section 103(b)(3) of the Code, or by an "exempt person" (including the City) in an "unrelated trade or business" within the meaning of Section 513(a) of the Code, in such manner or to such extent as would result in the loss of exemption from federal income tax of the interest component of any base rental payment under Section 103 of the Code. SECTION 10. Continuation of Parking Facility Lease. Except as hereby amended, the Parking Facility Lease is hereby continued in full force and effect. 11 741 IN WITNESS WHEREOF, the Authority and the City have caused this Amendment to Parking Facility Lease be executed by their respective officers thereunto duly authorized, all as of the day and year first above written. [Seal] Attest: [Seal] Attest: J% City Clk Approved as to form: City Attorney PARKING AUTHORITY OF THE CITY OF NATIONAL CITY, / essor By Chairman CITY OF NATIO By 12 L CITY, Lessee Mayor 742 The undersigned, the Fiscal Agent as defined in the within described Parking Facility Lease, hereby consents to the execution of the within attached Amendment to Parking Facility Lease, and the assignment thereof to the Trustee under the Assignment Agreement as defined herein. Dated: August 25 1986 CROCKER NATIONAL BANK By 13 441AuthorizOfficer rr 743 STATE OF CALIFORNIA ) COUNTY -OF SAN DIEGO ) ss. On this ztaday of August in the year 1986, before me 2.,,,/a/ L. sl,�/de4. , a Notary Public, State of California, personally appeared k,/r yJo, q„ , personally known to me (or proved to me on the basis of satisfactory evidence) to be the person who executed the within instrument as Chairman of the Parking Authority of the City of National City, and Aree// , personally known to me (or proved to me on the basis of satisfactory evidence) to be the person who executed the within instrument as Secretary of the Parking Authority of the City of National City, and acknowledged to me that the Parking Authority of the City of National City executed it. e.iiiii 1•rt114+444,4 -+t OFFICIAL SEAL DAVID L. SHELDON Notary Pudic California • Principal Office In i Notary Public, San Diego County State of California I My Comm. Exp. Aug. 22, 1988 Nr+N • N ♦N N��N i-•�-� [Notarial Seal] 744 STATE OF CALIFORNIA COUNTY OF SAN DIEGO ss. On this ZC day of August in the year 1986, before me JP,4,,,V e. S4e/,46, a Notary Public, State of California, personally appeared /C/ A. AV020,i4, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person who executed the within instrument as Mayor of the City of National City, and -Tv-re G.44y iP// , personally known to me (or proved to me on the bagis of satisfactory evidence) to be the person who executed the within instrument as City Clerk of the City of National City, and acknowledged to.jne that the City of National City executed it. .,+ *1 �l.L C P� _%. s •`°+ DA fro sE,4• �D•• ••••••♦VCp ganD�ptrcPnia `, n •••• :rti, fxp ° u°anty R [Notarial Se3ia••� s22 1 •••ti Notary Public, State of California 745 Base Rental Payment Date February 15, 1987 August 15, 1987 February 15, 1988 August 15, 1988 February 15, 1989 August 15, 1989 February 15, 1990 August 15, 1990 February 15, 1991 August 15, 1991 February 15, 1992 August 15, 1992 February 15, 1993 August 15, 1993 February 15, 1994 August 15, 1994 February 15, 1995 August 15, 1995 February 15, 1996 August 15, 1996 February 15, 1997 * This payment of $36,399.82. EXHIBIT B Base Rental Payment Schedule Interest Component $293,998.55* 243,923.75 243,923.75 228,567.50 228,567.50 211,655.00 211,655.00 192,967.50 192,967.50 172,267.50 172,267.50 149,482.50 149,482.50 124,522.50 124,522.50 97,132.50 97,132.50 67,317.50 67,317.50 35,017.50 35,017.50 Principal Component $340,000.00 292,500.00** 292,500.00 307,500.00** 307,500.00 325,000.00** 325,000.00 345,000.00** 345,000.00 367,500.00** 367,500.00 390,000.00** 390,000.00 415,000.00** 415,000.00 445,000.00** 445,000.00 475,000.00** 475,000.00 507,500.00** 507,500.00 Total Base Rental Payment $633,998.55* 536,423.75 536,423.75 536,067.50 536,067.50 536,655.00 536,655.00 537,967.50 537,967.50 539,767.50 539,767.50 539,482.50 539,482.50 539,522.50 539,522.50 542,132.50 542,132.50 542,317.50 542,317.50 542,517.50 542,517.50 to be net of capitalized interest in the amount ** These payments are payable on the dates indicated, and are due on the next succeeding March 1.