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HomeMy WebLinkAbout194-09 RESOLUTIONRESOLUTION NO. 194-09 A RESOLUTION APPROVING THE LEASE AGREEMENT WITH ARTS LIVE THEATRE d/b/a ARTS LIVE FOR USE OF THE PROPERTY AT 818 NORTH SANG AVENUE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council of the City of Fayetteville, Arkansas hereby approves the Lease Agreement with Arts Live Theatre d/b/a Arts Live for use of the property at 818 North Sang Avenue. A copy of the Lease Agreement is attached hereto as Exhibit "A," and made a part hereof. PASSED and APPROVED this 15th day of September, 2009. APPROVED: ATTEST: By: Lul��. is: i By: ELD JO , Mayor E E c'\-• • •��Z Y pF SG k e,p •(n� 'c :FAYETTEVILLE: 4. C', Oi,,Ae" to SONDRA E. SMITH, City Clerk/Treasurer Yolanda Fields Submitted By City of Fayetteville Staff Review Form City Council Agenda Items and Contracts, Leases or Agreements 4412999- al/I5/zooc7 'kdci City Council Meeting Date Agenda Items Only Community Services Division Action Required: Development Services Department Approval of lease for 818 N Sang Cost of this request Account Number Project Number Category / Project Budget Program Category / Project Name Funds Used to Date Program / Project Category Name Remaining Balance Fund Name Budgeted Item x Budget Adjustment Attached Departrnent DirdJr ss:,t *ter •sv cue QQ I%nt- • 9f We— y Attorney Cit 06.61-tl Date 11149 Date Finance and Internal Services Director Date Chef of S -ff M.yor t Date ate Previous Ordinance or Resolution # Original Contract Date: Original Contract Number: Comments:Staff recommends approval of lease. Revised January 15, 2009 CITY COUNCIL AGENDA MEMO To: Mayor and Council Thru: From: Yolanda Fields, CS Direc Date: July 30, 2009 Subject: Public Facility Program — Approval of Lease for 818 N. Sang Jeremy Pate, Development Services Department Director 0I RECOMMENDATION Staff recommends approval of lease with Arts Live Theatre for the property located at 818 N. Sang. BACKGROUND The property located at 818 N. Sang was acquired with Community Development Block Grant (CDBG) funds. This property is a part of the CDBG Public Facility Program Properties acquired with CDBG are made available through an application process to non -profits that provide services to low/mod residents in the City of Fayetteville. The Arts Live Theatre submitted an application for the property located at 818 N. Sang. This organization met all the requirements for the program. Arts Live Theatre has been in operation for the past 25 years, they have served approximately 1,800 children and youth per year through theatre camps, classes, and main stage productions. Their audience members number over 4,000 annually. Arts Live Theatre beneficiaries are individuals from families with incomes that are extremely low to moderate. These children and youth come from all over Fayetteville and the greater Northwest Arkansas area. Through the comprehensive theatre education the participants have maximized their talents and bolsters their self-confidence, building self-esteem while teaching them responsibility, creativity and accountability. DISCUSSION The lease document with Arts Live Theatre for the property located at 818 N. Sang is being submitted for approval. BUDGET IMPACT None. RESOLUTION NO. A RESOLUTION APPROVING THE LEASE AGREEMENT WITH ARTS LIVE THEATRE d/b/a ARTS LIVE FOR USE OF THE PROPERTY AT 818 NORTH SANG AVENUE. . BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council of the City of Fayetteville, Arkansas hereby approves the Lease Agreement with Arts Live Theatre d/b/a Arts Live for use of the property at 818 North Sang Avenue. A copy of the Lease Agreement is attached hereto as Exhibit "A," and made a part hereof. PASSED and APPROVED this 15th day of September, 2009. APPROVED: ATTEST: By: By: LIONELD JORDAN, Mayor SONDRA E. SMITH, City Clerk/Treasurer tattaille Community Development Block Grant Public Facility Lease Program LEASE AGREEMENT 818 N Sang Avenue THIS LEASE AGREEMENT executed this 15th day of September 2009, by and between the City of Fayetteville, Arkansas and Arts Live Theatre, a non-profit Arkansas corporation, hereinafter referred to as "Arts Live. In consideration of the promises, covenants and commitments contained herein, the City of Fayetteville and Arts Live hereby agree as follows: 1. PREMISES. The City of Fayetteville hereby leases to Arts Live and Arts Live hereby leases from The City of Fayetteville, the building, parking lot and premises of 818 N Sang Avenue, Fayetteville, AR 72701. 2. TERM. The onginal term of this Lease shall commence on September 15, 2009 and shall terminate on September 15, 2010 at 5:00 p.m. This Lease shall be automatically extended each subsequent year on September 15th unless written notice of termination is given by City of Fayetteville or Arts Live to the other party at least thirty (30) days pnor to expiration of the original term of this lease. This notice shall be effective if mailed or delivered to: City of Fayetteville Mayor's Office 113 W Mountain Fayetteville, AR 72701 Arts Live Executive Director 818 N Sang Avenue Fayetteville, AR 72701 3. CONSIDERATION. In consideration for the use of leased premises Arts Live agrees to provide its services to the citizens of Fayetteville and Northwest Arkansas with emphasis on low and moderate income children and youth in Fayetteville. Arts Live agrees to provide comprehensive theatre education to children and youth that maximizes their talents and bolsters their self-confidence, building self-esteem while teaching responsibility, creativity and accountability. Arts Live shall maintain at all times a current and complete record of all activities conducted on the leased premises in a form specified by the City of Fayetteville. Arts Live shall submit a quarterly activity report to the City of Fayetteville Community Services Division on or before the 15th of the month following the end of the quarter. The City of Fayetteville and the United States Department of Housing and Urban Development shall have complete access to all of Arts Live's records during all reasonable hours and shall have the nght to inspect and copy said records. A!KAMS S Community Development Block Grant Public Facility Lease Program 4. UTILITIES. Arts Live shall be responsible for prompt and complete payment of all utilities including electnc bills, natural gas bills, water and sewer bills, sanitation service bills and telephone bills. 5. IMPROVEMENTS TO PREMISES. If previously approved in writing by the Community Services Division of the City of Fayetteville, Arts Live may make improvements that are necessary to carry out the services they provide. Arts Live agrees that it will keep and maintain the leased premises and all improvements thereon in good condition and repair at all times. Arts Live agrees to be responsible for yard maintenance and for the maintenance and replacement of all heating, electrical and air conditioning equipment and plumbing on the premises. Arts Live, at its own cost and expense, shall maintain and keep premises in as good repair as when the premises were received or in their highest state of repair during the lease term, ordinary wear and tear and casualties beyond Arts Live's control alone excepted and Arts Live shall return the leased premise at the expiration or termination of the Lease in good order and condition excepting only ordinary wear and tear and casualties beyond Arts Live control. Design for any such improvements shall be approved by the City of Fayetteville Community Services Division. Upon termination of this lease all improvements shall become the property of the City of Fayetteville. 6. MAINTENANCE AND REPAIR FUND. Arts Live will establish and maintain a Maintenance and Repair Fund. Arts Live shall immediately begin depositing the amount of $500.00 per month in a separate savings account in a savings institute acceptable to the City of Fayetteville for the period of time required to establish and maintain a fund total of $30,000.00. These funds may be used only for the maintenance and repair of the premises. At the end of this Lease Agreement, all funds in this account not needed for repair or maintenance to return the premises to good condition and repair shall become the sole property of Arts Live. 7. FACILITY DEPOSIT. Arts Live will provide a $5,000.00 Facility Deposit to the City of Fayetteville prior to move in unless a letter of understanding is attached to this lease agreement Entire amount will be held by the city for the duration of the lease. Upon notification of intent to vacate the Lease the City will inspect location to determine condition. If repairs are needed to return the premises to good condition the Facility Deposit amount will used to make the repairs. Any remaining balance will be refunded to Arts Live. 8. INSURANCE. Arts Live agrees to carry fire and extended coverage insurance on the improvements on the leased premises, which policy shall name City of Fayetteville as an insured and Arts Live agrees to maintain said policy in force throughout the term of the Lease and extension thereof. Said policy shall be in an amount of $300,000 00 Arts Live shall file a copy of said policy and all renewals with the City Clerk of City of Fayetteville. Arts Live agrees to notify the City of Fayetteville in writing of any amendments to or cancellation of said policy or renewals. ye.v e RMRNS S Community Development Block Grant Public Facility Lease Program 9. MONTHLY FINANCIAL STATEMENTS. Arts Live shall maintain complete and accurate monthly financial statements for all activities conducted on the leased premises. Arts Live shall file a copy of each month's financial statement with the City of Fayetteville's Community Services Division on or before the 15th day of the following month. 10. BENEFIT TO LOW INCOME FAMILIES. The Community Development Program has been developed so as to give maximum feasible priority to activities which will benefit low and moderate income families or aid in the prevention or elimination of slums or blight. Arts Live commits that the leased premises will be used to benefit low and moderate income families. 11. COMPLIANCE WITH FEDERAL RULES AND REGULATIONS. Arts Live agrees to comply with all rules and regulations as established by the Department of Housing and Urban Development for programs financed by the Housing and Community Development Act of 1974; and a. Lessee will comply with the regulations, policies, guidelines and requirements of OMB Circular No. A-102, Revised, acceptance and use of Federal funds under 24 CFR 570; and b. Lessee will comply with all requirements imposed by HUD concerning special requirements of law, program requirements, and other administrative requirements, approved in accordance with OMB Circular No. A-102, Revised. c. Lessee will comply with Title VI of the Civil Rights Act of 1964 (P.L. 88- 352), and regulations issued pursuant thereto (24 CFR Part 1), which provides that no person in the United States shall on the grounds of race, color or national origin be excluded from participation in, be denied the benefits of, or be other wise subjected to discrimination under any of Arts Live's programs or activities. d. Arts Live will comply with Section 109 of the Housing and Community Development Act of 1974, and the regulations issued pursuant thereto (24 CFR Part 570.601), which provides that no person in the United States shall, on the grounds of race, color, national origin, or sex be excluded from participation in, be denied the benefits of, or be subjected to discrimination under, any program or activity funded in whole or in part with funds proved under 24 CFR 570. e. Arts Live will comply with Section 3 of the Housing and Urban Development Act of 1968, as amended, requiring that to the greatest extent feasible opportunities for training and employment be given to lower-income residents of the project area and contracts for work in connection with the project be awarded to eligible business concerns which are located in, or owned in substantial part by, persons residing in the area of the project. ye ee ARKANSAS Community Development Block Grant Public Facility Lease Program 12. PERSONAL GAIN. Arts Live will establish safeguards to prohibit employees from using position for a purpose that is or gives the appearance of being motivated by a desire for private gain for themselves or others, particularly those with whom they have family, business, or other ties. 13. HATCH ACT. Arts Live will comply with applicable provisions of the Hatch Act. 14. RIGHT TO INSPECT RECORDS. Arts Live will give HUD and the Comptroller General through any authorized representatives access to and the right to examine all records, books, papers, or documents related to the program. 15. ENVIRONMENTAL PROTECTION. Arts Live will ensure that the facilities under its lease or supervision which shall be utilized in the accomplishment of the program are not listed on the Environmental Protection Agency's (EPA) list of Violating Facilities and that it will notify HUD of the receipt of any communication from the Director of the EPA Office of Federal Activities indicating that a facility to be used in the project is under consideration for listing by the EPA 16. FLOOD DISASTER PROTECTION ACT. Arts Live shall comply with the Flood Disaster Protection Act of 1973, P L. 93 234, 87stat. 975, approved December 31, 1973. Section 103(a) required, on and after march 2, 1974, the purchase of flood insurance in communities where such insurance is available as a condition for the receipt of any Federal financial assistance for construction or acquisition purposes for use in any area, that has been identified by the Secretary of the Department of Housing and Urban Development as an area having special flood hazards. The phase "Federal financial assistance" shall be included in any form of loan, grant, guaranty, insurance payment, rebate, subsidy, disaster assistance loan or grant, or any other form of direct or indirect Federal assistance. 17. CURE OR TERMINATION. If the City of Fayetteville determines that Arts Live has violated a duty, term or condition of this Lease Agreement, it shall so notify Arts Live in writing at the address listed above in paragraph 2. Arts Live shall have thirty (30) days after notification to cure the breach. If Arts Live fails to cure the breach to satisfaction of the City of Fayetteville within the allotted period of time, the City of Fayetteville, acting through its Mayor, may declare this Lease Agreement terminated and so notify Arts Live which shall immediately vacate the premises. ye elf' AS Community Development Block Grant Public Facility Lease Program IN WITNESS WHEREOF, the parties have executed this Lease Agreement on the date first above written. ARTS LIVE THEATRE DBA - Arts Live Mark Smith Executive Artistic Director CITY O FAYETTEVILLE, ARKANSAS Lioneld Jo Mayor ATTEST: Do Sondra E. Smith City Clerk/Treasurer live -9,9 • -,,s rANSP • #1 'y o "'''''"Nii',Gii��. u