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HomeMy WebLinkAboutCDC Proposed AgreementPROPERTY MANAGEMENT AGREEMENT BY AND BETWEEN THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY AND THE CITY OF NATIONAL CITY FOR PROPERTY MANAGEMENT SERVICES THIS Agreement is made and entered into by and between the Community Development Commission of the City of National City [CDC], and the City of National City[City] for the City to provide Property Management Services for CDC owned properties. ARTICLE I PROPERTY MANAGEMENT SERVICES 1.1 Scope of Services. The City shall perform the Property Management Services as set forth in the written Scope of Services [Exhibit A] at the direction of the CDC for the properties listed in the List of CDC Properties [Exhibit B]. ARTICLE II DURATION OF AGREEMENT 2.1 Term of Agreement. This Agreement shall be effective on the date it is executed by the last party to sign the Agreement, and shall have a term of eight (8) years ("Term"), with continuing options to extend the Term in five (5) year increments, as desired by either party, until May 16, 2036. ARTICLE III COMPENSATION -Page 1 of 6 — Property Management Agreement 3.1 Amount of Compensation. The CDC shall pay the City for performance of all Property Management Services rendered in accordance with this Agreement, including reasonablyrelatedexpenses, at the annual -rate of $556,468 per fiscal year [Annual Fee], which may be adjusted, from time to time, by mutual agreement of the parties as expenses increase or decrease. 3.2 Manner of Payment. The CDC shall pay City the Annual Fee within thirty (30) calendar days after the end of the fiscal year for which Property Management Services were performed. 3.3 Additional. Services. The CDC may require that the City perform additional Property Management Services beyond those described in the Scope of Services [Additional Services]. Prior to the City's performance of Additional Services, the CDC and the City must agree in writing upon a fee for the Additional Services, including reasonably related expenses. The CDC will pay the City for the performance of Additional Services in accordance with Section 3.2. ARTICLE IV CITY'S OBLIGATIONS 4.1 Property Management Standards. The City agrees that the Property Management Services rendered under this Agreement shall be performed in accordance with the standards customarily adhered to by an experienced and competent property management firm using the degree of care and skill ordinarily exercised by reputable professionals practicing in the same field of service in the State of California. 4.2 Maintenance of Records. The City shall maintain books, records, logs, documents and other evidence sufficient to record all actions taken with respect to the rendering of the Property Management Services. The City further agrees to allow the CDC to inspect, copy, and audit such books, records, documents and other evidence at all reasonable times. ARTICLE V INDEMNIFICATION 5.1 Indemnification. In contemplation of the provisions of California Government Code section 895.2 imposing certain tort liability jointly upon public entities solely by reason of such entities being parties to an agreement as defined by -Page 2 of 6 — Property Management Agreement Government Code section 895, the parties hereto, as between themselves, pursuant to the authorization contained in Government Code sections 895.4 and 895.6, shall each —assume-the-futl-liability-imposed-upon-it—orany-of-its-officers, agents or employees, by law for injury caused by negligent or wrongful acts or omissions occurring in the performance of this Agreement to the same extent that such liability would be imposed in the absence of Government Code section 895.2. To achieve the above -stated purpose, each party indemnifies, defends and holds harmless the other party for any liability, losses, cost or expenses that may be incurred by such other party solely by reason of Government Code section 895.2. ARTICLE VI MISCELLANEOUS 6.1 Jurisdiction and Venue. The venue for any suit or proceeding concerning this Agreement, the interpretation or application of any of its terms, or any related disputes shall be in the County of San Diego, State of California. 6.2 Conflicts Between Terms. If an apparent conflict or inconsistency exists between the main body of this Agreement and the Exhibits, the main body of this Agreement shall control. If a conflict exists between an applicable federal, state, or local law, rule, regulation, order, or code and this Agreement, the law, rule, regulation, order, or code shall control. Varying degrees of stringency among the main body of this Agreement, the Exhibits, and laws, rules, regulations, orders, or codes are not deemed conflicts, and the most stringent requirement shall control. Each Party shall notify the other immediately upon the identification of any apparent conflict or inconsistency concerning this Agreement. 6.3 Notices. In all cases where written notice is required under this Agreement, service shall be deemed sufficient if the notice is deposited in the United States mail, postage paid. Proper notice shall be effective on the date it is mailed, unless provided otherwise in this Agreement. For the purpose of this Agreement, unless otherwise agreed in writing, notice to the City shall be addressed to: 1243 National City Boulevard, National City, CA, 91950, Attn: City Manager and notice to the CDC shall be addressed to: 1243 National City Boulevard, National City, CA 91950, Attn: Executive Director. 6.4 Exhibits Incorporated. All Exhibits referenced in this Agreement are incorporated into the Agreement by this reference. -Page 3 of 6 — Property Management Agreement 6.5 Binding on Successors. This Agreement shall be binding on and shall inure to the benefit of all successors and assigns of the parties, whether by agreement -or operation of law. IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first set forth above. Attest: CITY OF NATIONAL CITY By: By: Attest: Mike Dalla, City Clerk Chris Zapata, City Manager COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY By: By: Brad Raulston, Secretary APPROVED AS TO FORM: By: Claudia Gacitua Silva City Attorney APPROVED AS TO FORM: Kane Ballmer & Berkman -Page 4of6— Property Management Agreement Ron Morrison, Chairman By: Commission Special Counsel -Page 5 of 6 — Property Management Agreement EXHIBIT A SCOPE OF SERVICES Essential Duties 1.Implements property management and marketing plans to include marketing and maintenance of CDC owned property. 2. Negotiates leases for CDC owned property; monitors and manages lease agreements, maintenance, and other contracts for CDC property; oversees the ongoing maintenance, security and repair activities for leased property. 3. Prepares, coordinates, and monitors the program budget for property management functions. 4. Represents the CDC in relocation processes. 5. Prepares written and oral reports on property management activities; provides report information to the CDC Board or citizen advisory committees, as required; responds to public inquiries regarding CDC owned property and property management activities. -Page 6 of 6 — Property Management Agreement EXHIBIT B LIST -OF -CDC PROPERTIES -Page 7 of 6 — Property Management Agreement