The URL can be used to link to this page

Home My WebLink About07753ORDINANCE NO. 7753 AN ORDINANCE APPROVING AMENDMENT NO. 1 TO THE LEASE AGREEMENT BETWEEN PUEBLO, A MUNICIPAL CORPORATION AND THE BISHOP OF PUEBLO, A CORPORATION SOLE AND AUTHORIZING THE PRESIDENT OF THE CITY COUNCIL TO EXECUTE SAME BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1. The Amendment No. 1 to the Lease Agreement dated as of February 25, 2008 between Pueblo, a Municipal Corporation and the Bishop of Pueblo, a Corporation Sole, a copy of which is attached hereto, having been approved as to form by the City Attorney, is hereby approved, and the Lease Agreement dated as of January 1, 2004 is hereby confirmed, approved, and ratified. SECTION 2. The President of the City Council is hereby authorized to execute and deliver Amendment No. 1 to the Lease Agreement in the name of the City, and the City Clerk is authorized and directed to affix the seal of the City thereto and attest same. SECTION 3. This Ordinance shall become effective thirty (30) days after its final approval and passage. INTRODUCED February 11, 2008 PASSED AND APPROVED: February 25, 2008 Ord. ?153 0 a c) 62� _�.. CD Background Paper for Proposed ORDINANCE AGENDA ITEM # � a,+ DATE: February 11, 2008 DEPARTMENT: OFFICE OF THE CITY MANAGER THOMAS MARTINEZ, ASSISTANT CITY MANAGER FOR CONTRACT SERVICES OFFICE OF HOUSING AND CITIZEN SERVICES ADA CLARK, DIRECTOR OFFICE OF PARKS AND RECREATION RICH ZAJAC, DIRECTOR TITLE AN ORDINANCE APPROVING AMENDMENT NO. 1 TO THE LEASE AGREEMENT BETWEEN PUEBLO, A MUNICIPAL CORPORATION AND THE BISHOP OF PUEBLO, A CORPORATION SOLE AND AUTHORIZING THE PRESIDENT OF THE CITY COUNCIL TO EXECUTE SAME ISSUE The City of Pueblo and the Diocese of Pueblo entered into a lease agreement in January 2004 for a five -year period ending December 31, 2008 for use of the area adjacent to St. Anne's Church (2701 East 12" Street) as a recreational area and park. The proposed lease amendment contains two changes to the lease originally done in 2004. The first change would authorize the City of Pueblo to construct a water service line, a sanitary sewer service line, and the removal and replacement of sidewalks and possible reconstruction of the restrooms (the "Project°). A second change would extend the period of the lease to a ten -year period after completion of the Project to ensure compliance with federal regulations, which require public improvements funded with Community Development funds to be dedicated for a period of at least ten years. At the end of the ten -year lease term, the Project would remain with the property. The Diocese of Pueblo has agreed to these changes RECOMMENDATION Approval of the Ordinance. FINANCIAL IMPACT The project would obligate $41,021 of Community Development funds AMENDMENT NO. 1 TO LEASE AGREEMENT THIS AMENDMENT NO. 1 TO LEASE AGREEMENT is made and entered into this 25 day of February , 2008 by and between The Bishop of Pueblo, a Corporation Sole ( "Diocese ") and Pueblo, a Municipal Corporation ( "City "). WHEREAS, Diocese and City have heretofore entered into a Lease Agreement (hereinafter "the Lease ") dated January 1, 2004, wherein the Diocese agreed to lease certain real property (referred to herein as the "Eastwood Heights Recreation Center" or "St. Anne's Park ") to the City for use as public park, playground and recreational facilities; and ; .,.e... -r_ WHEREAS, the City has been requested by a neighborhood organization to improve and renovate the public restrooms at the Eastwood Heights Recreation Area, and is willing to do so in an improvement project with federal funds received under the Housing and Community Development Act of 1974, as amended; and WHEREAS, federal regulations governing the use of said funds require that such improvements be dedicated through enforceable instruments to their approved and authorized public purposes for a period of not less than ten (10) years from the date of completion of said improvements; and WHEREAS, the Lease will currently end, according to its terms, on December 31, 2008, in conflict with the federal funding requirements for dedication of the improvements to the authorized use, and WHEREAS, Section 5 of the Lease states that "no improvements shall be installed or removed without the prior written consent of the Diocese. Consent shall not be unreasonably withheld "; and WHEREAS, the Diocese is willing to extend the lease in order to satisfy the aforesaid funding requirements and to consent to construction of the improvements in order that the public using the Eastwood Heights Recreation Area will be better served. NOW, THEREFORE, in consideration of the foregoing and the terms and conditions set forth herein, the parties agree as follows: Section 1 of the Lease is amended to read as follows: 1. The City is authorized to construct and/or reconstruct public restrooms located at the Eastwood Heights Recreation Area, including construction of a water service line, sanitary sewer service line, and removal and replacement of sidewalks, in accordance with the plans therefore on file in the Office of the Director of Public Works of City for the project referenced to as "CD0708 St. Anne's Restroom Rehabilitation Project," hereinafter referred to as the " Restroom Project." The term of this Lease shall commence on January 1, 2004 and shall end on the date exactly ten (10) years after the date of substantial completion of the Restroom Project. The date of substantial completion shall be considered the date of City's final settlement with the contractor performing the Restroom Project work. During the term of this Lease, the Diocese may terminate the Lease only for default by City, in accordance with the provisions of section 10 of this Lease. 2. Except as expressly modified by this Amendment No. 1 to Lease Agreement, the Lease shall remain in full force and effect. Any obligations remaining to be performed under the original Lease by either party are not waived or excused in any manner, but shall be fully performed in accordance with the terms and conditions of the Lease. IN WITNESS WHEREOF, Diocese and City have executed this Amendment No. 1 to Lease ,.,_, — _Agreement as.ofthe date first above-written. DIOCESE THE BISHOP OF PUEBLO, a Corporation Sole By Arthur N. Tafoya, Bisho Pueblo ATTEST: City C&rk PUEBLO, a Municipal Corporation By President of the City Council APPROVED AS TO FORM: City Attorne )r -2- .ANIENI)NIEN'I NO. 2 TO THE I EASE :AGREE;\IFNT I \\II \F)\1t N I N( \mcr.dntent No , 1 to the I case \arcentent i, mid,: and enrol ad into this (ri1 dpi; tai i o . �, �, . 2023 LI ITect,v e Data t I,v and between I he lii;hop of I'uchlo. a ('urp01.a1ion pole. t' )l,'ecse''t and the ( ifv of Ihiahio. a Municipal ( �uptrution aaCit\ I(I.Ki .A*. Diocese and ( ,jntcred into a Lease .-\gree :ea: .,tt e I�.nu�;;, I 0o4t (-Lease I. ilha:'c311 time l)}oicesc agreed t,' lease certain real pia ip erty referred to a� the 1'ant'aoad Eleights Recreation Center- or -Si. Anne's Nark. to the Litv Fur use as a pial;: nark. plaveround. and recreatinna' taei;ities: and AAII LAS_ D:oLcsc and City entered into Amendment No. I to Lease .Agreement dated February 2008 (-Amendment Na I"). extending the term of the Lease to '2I}1<8 and piaaidine for the construction of public restrm ms at St. Anne's Park t'vidi federal funds. raca!rice that the public impro entents he dedicated to a public purpose for at least ten years, and WI1F1 F \S, City constructed additional improvements-at SI Anne's Park in 2.016 and 2017 with Community Development Block Grant funds from the U.S. Department of}lousing and F'rban Development. further requiring the public impro'.ements he dedicated to a public purpose through 2028i and 'A FILRLAS_ the Diocese mioo desires to sell St. Anne's Park to City on.. Citi desires to purchase same. and the parties now wish to extend the term of the t ease until such time els ate real property may he sold to the ('itv, but no later than December 31. 2023. NOW, 1111tRLFORE, in consideration of the foreeoinf; and the terms and conditions set forth herein, the parties agree as follows: The Lease \A.ill he extended for an additional term beginning on .ianuary I. 2018 and automatically renewing on a month-to-month ha is until such time as the sale of St. Anne's Park to City is complete ("Extended Ferns"), but no later titan December 31, 2023. Upon final sale of St. Anne's Park to City, the I ease shat: automatically terminate. 2, The annual rental payment specified in Section 3 of one dollar (SI,I per year shall he waived., and no rental shall he charged to the City during the term of this Amendment.. 3. Except as expressly modified by this Amendment No 2. the amended Lease shall remain in full three and effect. Except as modified by this Amendment No. 2, any obligations to he performed under the amended Lease by either party,, are not waited nor excused in any manner but shall he pertonlled in accordance tit idi the terms and conditions of the amened Lease as it existed prior to this Amendment No. 2. [N WITNESS WHEREOF, Diocese and City have executed this Amendment No. 2 as of the date first written above. Cl ! 1" (ii-- Pt. FBLO. ATTEST: 4D—'— a Municipal L orp,�rahutt Iii., 2faciepai' City Cl:10 Nicholas A. Gradisar, Mayor APPROVED AS TO FORM: >01140a -< • 7 p&I4d11. City Attorney THE BISHOP OF PUEBLO, A Corporation Sole / 1 I' `tephea, I. i34liBishop of Pueblo 1 f • n 2