HomeMy WebLinkAboutItem 4.04 Emerald Glen Activity Ctr~~~~ OF DU~lI~
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STAFF REPORT C I T Y C L E R K
DUBLIN CITY COUNCIL File # ^[~]~']~-~~
DATE: October 19, 2010
TO: Honorable Mayor and City Councilmembers
FROM: Joni Pattillo, City Manager
SUBJECT: Emerald Glen Activity Center Purchase Agreement
Prepared By: Paul McCreary, Assistant Director of Parks and Community Services
EXECUTIVE SUMMARY:
The 2010-2015 Five-Year Capital Improvement Program (CIP) includes the Emerald Glen
Activity Center Acquisition Project. Funding was included in the budget to acquire the Activity
Center during Fiscal Year 2010-2011. The City currently leases the building from Mobile
Modular. The CIP also includes funding to make minor improvements to the building.
FINANCIAL IMPACT:
The adopted Capital Improvement Program (CIP) includes a General Fund appropriation of
$74,620 for Project #950011 (Emerald Glen Activity Center Acquisition). The appropriation is
adequate to complete the purchase from Mobile Modular in the amount of $67,477.49. A future
expenditure is planned with the remaining $7,142.51 for flooring replacement and the
installation of awnings. Purchasing the building will reduce operational costs by over $26,000
annually. This will result in a payback period of three years for the acquisition.
RECOMMENDATION:
It is recommended that the City Council take the following action:
Adopt the Resolution authorizing the City Manager to execute a purchase agreement for
the Emerald Glen Activity Center.
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Submitted by:
Parks and Community
Services Director
~
Reviewed by:
Administrative Services
Director
Assistant City Manager
Page 1 of 2 ITEM NO. T~' ~
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DESCRIPTION:
The City currently leases the Emerald Glen Activity Center, which is one of two modular
buildings that were installed as interim community facilities while the Shannon Community
Center was reconstructed. The City Council adopted Resolution No. 152-04 on July 20, 2004
that authorized the City Manager to enter into the lease agreement for the buildings.
On March 17, 2009, following the opening of the new Shannon Community Center, the City
Council directed Staff to discontinue the lease for one of the buildings, which was removed in
fall of 2009. The remaining modular building has two classrooms that are used for preschool
classes and Tenderfoot Day Camp.
With the preschool program at full capacity and lengthy waiting lists for classes it appears the
building will be needed for years to come. Based on the Parks and Recreation Master Plan and
the Emerald Glen Park Master Plan, the Activity Center will eventually be replaced when
funding is available to construct the Emerald Glen Recreation Center and Aquatic Complex, the
timing of which is a minimum of five years out based on the 2010-2015 CIP.
Staff estimates that purchasing the Activity Center will reduce operational costs by eliminating
over $26,000 per year in lease payments. That equates to a three-year payback period on the
purchase price of $67,477. With at least five years remaining until a permanent facility can be
constructed, the three-year payback period makes this a favorable purchase. Additionally, if
needed, the Activity Center could remain in place after the construction of the Recreation and
Aquatic Complex extending the useful life of the building. The CIP project includes $7,100 to
replace the vinyl tile flooring and install some awnings for shade. The flooring will be replaced
during the Thanksgiving holiday break for classes. The awnings will be installed by the end of
December.
Staff had the building inspected in August 2010 by a licensed commercial building inspection
firm. The building was constructed in 1990 and is in good condition. There were a few minor
items that were noted in the inspection which have been remedied by the seller Mobile Modular.
No dry-rot or termites were discovered.
Attachment 1 is a Resolution authorizing the City Manager to execute the purchase agreement,
which is attached to the Resolution as Exhibit A.
NOTICING REQUIREMENTS/PUBLIC OUTREACH:
None
ATTACHMENTS: 1. Resolution authorizing the City Manager to execute a purchase
agreement for the Emerald Glen Activity Center, with purchase
agreement attached as Exhibit A
Page 2 of 2
1 ~ ~~
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RESOLUTION NO. XX - 10
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF DUBLIN
***********
AUTHORIZING THE CITY MANAGER TO EXECUTE A PURCHASE AGREEMENT FOR THE
E.MERALD GLEN ACTIVITY CENTER
WHEREAS, the City Council of the City of Dublin (the "City") adopted Resolution No. 152-04
authorizing the City Manager to negotiate and execute a lease agreement for finro modular buildings
at Emerald Glen Park to serve as interim community facilities during the reconstruction of the
Shannon Community Center; and
WHEREAS, the construction of the new Shannon Community Center was completed ir~
February 2009; and
WHEREAS, on March 17, 2009 the City Council directed Staff to discontinue the lease of one
of the modular buildings and continue the lease of the remaining building for preschool programs;
and
WHEREAS, the preschool programs have been at capacity with lengthy waiting lists for over
a year and there is sufficient demand to continue the operation of the modular building on a
permanent basis.
NOW, THEREFORE, the City Council of the City of Dublin does RESOLVE to authorize
the City Manager to execute the purchase agreement attached as Exhibit A to this Resolution
for an amount not to exceed $67,477.49.
PASSED, APPROVED AND ADOPTED this 19th day of October, 2010, by the following
vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
City Clerk
Mayor
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ATTACHMENT 1
~,,;,~ Mohile Modu(ar Management Corporation Agreement
+ 5700 Las Positas Road
~~~~~~ Livermore, CA 94551 Contract: 210003500.1
~~~~~~~ Phone: (925) 606-90d0 Fax: (925) 453-3201 Date Printed: 10I05/2090
y~~~_~~~~~ www.MobileModularFients.com
. - . . . .. • .. .
Customer Information: Site Information:
City of Dublin City of Dublin Questions?
Civic Center 4209 Central Park Way
'100 Civic Plaza Dublin, CA 94568 Please Contact: Open - Livermore
publin, CA 94568 Direct Phone: (925) 606-9000
Customer PO/Reference: All other inquiries: (925} 606-~9000
Exp: //
By:
Office, 36x62 HCD (NonStd) 1 $59,847.00 $59,847.Q0 Y
Non-Sfandard Confrguration. Size excludes 3' towbar.
Purchase of Building JD 45425
Qty Charge Each Total One Time Taxable
. .. ~
Office, 36x62 HCD (NonStd)
Fee, License or Registration for Sale 1 $1,795.49 $1,795.49 N
,
Tax: $5,835.08
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.
Special Notes
pecial Terms & Important Cantractual Informat~o
• Prices will be adjusted for unknown circumstances, e.g. cfriver wai#ing time, pilot car requirements, special transport permits,
di~cult site, increase in fuel price, etc. Customer's site must be dry, compacted, levei and accessible by normal truck delivery.
Unless noted, prices do not inc(ude permits, ramps, stairs, seismic foundaiion systems, temporary power, skirting, engineering,
taxes or utilities or reiated installafion of same.
• This transaction is subject to credit approval. 5ecurity deposit or paymen# in advance may be required. Security deposit wiJl be
applied against account balance at the end of the contract.
• Contract subject to terms & conditions attached and made a part of this agreement by reference herein. Customer
acknowiedges that he/she has received and read and affirms thaf he/she is duly autharized to execufe and commit to this
agreement for the above named customer_
210403500, Printed: 10-05-2410 0339PM Thank you for conYacting Mobile Modular. „___ ,_~
~, Mobile Modular Management Corporation
~ 5700 Las Positas Road Agreement
~~~~~~ Livermore, CA 94551 Contract: 2100035~0_1
~~~~~~~, Phone: {925} 606-9000 Fax: (925) 453-3201 Date Printed: 10/05/2010
~~„~.. ~„~~,~ www.MobileModufarRents.com
The Suppiementa! Sale Terms and Conditions and Additional Advisory Inforrnation provisions are hereby incorporated by reference in fhe~ir
entirety, as updated from time to time by Seller, in its sole discretion, and can be reviewed in the e-Customer Services section of the SellE~r s
web site at [http://www.MobileModularRents.com/ContractTerms]. Fhe Buyer hereby con#irms that he/she has read in its entirety and
understands fhe Supplemental Sale Terms and Conditions and Additional Advisory Information.
Please sign below, and fax or email this documenf to the fax number
shown above or the email address you received the document from.
• The parties hereto, MOBILE MODULAR MANAGEMENT CORPORATION, a California c~rporation, as seller (the "Seller") and buyer
("Buyer", as described above in the section titfed "Customer Information") hereby agree to this Sale Agreement and the terms and
conditions set forth in the Safe Agreement Terms and Conditions, attached herefo as Attachment A, which are hereby incorporated by
reference. 'fhe individual signing this Sale Agreement affirms that he/she is duly authorized to execute and commit fo this Sale
Agreement for the above named Buyer.
SELLEFt: ~ BUYER:
Mobile Modu~ar Management Corporation City of Dublin
By: gy.
Name:
Title: Name:
TitEe:
Date: Date:
ATTACHMENT A
SALE AGREEMENT TERMS AND CONDlTIONS
1. SALE_ Seller sells to Buyer, and Buyer purchases from Seller, the equipment listed on each Sale Agreement hereto ("EquipmenY') on the
terms and conditions set forth herein. Each such Sale Agreement, and the sale provisions on the Seller's website at
jhttp://www.MobifeModularRents.comlContractTerms] (the "Incorporated Provisions"), to the extenf incorporated by reference into such
Sale Agreement, together with these Sale Agreement Terms and Conditions, to the extent incorporated by reference into such Saie
Agreemenf, shall constitute a separafe and independent safe agreemenf (a "Sale AgreemenY') of fhe Equipment listed in such Agreement
under "Product Information".
2. TIME PAYMENT; TITLE RETENTIQN.
(a~ PURCHASE PRICE. The aggregate amount of the purchase price (the "Purchase Price") is set forth on the Sale Agreement. Buyer
agrees to pay Se{ter twenty five percent (25%) of the Purchase Price on the date hereof; sixty five percent (65%} fwo days before the
Equipment is scheduied to be delivered to the Site; and the remaining ten percent {10%) within thirty (30) days ot substantial compfetion
(substantial completion does not incfude punch list items). In addition fo the Purchase Price, buyer shall pay such charges as are attributable
to circumstances related to #he delivery, drop-off and relocatian of Equipment. If any paymen# under the Sale Agreemenf is not made on the
date when due and payable (including without limitation pursuant to #his Section or as indicated on the Sale Agreement), Buyer shafl pay
Seller interest, at the rate of eighteen percent (18%) per annum (or at the maximum rate permitted by applicable law), on the amount of such
overdue payment, unfil received.
(b) T[TLE/i2ETENTfON. Titfe to #he Equipment shall not pass to Buyer before the entire Purchase Price has been paid to Selfer. Upon SeUer's
receipt of payment in full of the Purchase Price, title to the Equipment shaU transfer to Buyer, free and clear of all encumbrances arising by or
through Seller. All payments due ~rom Buyer pursuant to the terms of the Sale Agreement shall be made wiihout any aba#ement or sst off of
any kind, arising from any cause.
3. TIME AND PLACE OF DELIVERY. Seller agrees to deliver the Equipment to the sife (ocation listed on the Sals Agreement (the "Site").
Tires used to deliver the Equipmenf will be removed and returned ta SeAer. Buyer warranfs that the Site wil! have: safe access free from
encumbrances, a level pad wi#h n~ more than 3 inches of variance in 30 feet, and adequate soi! bearing pressure of not less than 1500 psf.
Following delivery, Seller will remove ail Seller-owned equipment such as pfywood, tools, etc. prior to or at the #irne of building acceptance.
Buyer is responsible for aU necessary permits, utilify hookups, pifot cars, and Site preparation.
4. INSPECTION AND AGCEPTANCE. Following dellvery and setup of the Equipment, Buyer shall inspect fhe Equipment within forty eight
(48) hours of substanfiaf completion and provide immediate written notice to Seller specifying defects, if any, which Buyer observes. if Buyer
fails to provide such notice within four (4) days following substantia~ completion of the project, it shalf be concfusivefy presumed between
210003500, Printed: 10-05-2010 0339PM Thank vou fer r.o~ta~w.,ti u,.ti:~.. .._~...__
~ Mobite Modular Management Corporation
• 57Q0 Las Positas Road Agreement
~~~~~~ Liverrriare, CA 94551 Contract: 2'10003500.3
~~,~~~~~ Phone: (925) 606-90Q0 Fax: (925} 453-3201 Dafe Printed: 10/05/2010
YourPmiect-C3urCammiLmcr~t ~ww.MobileModularRents.com
Buyer and Seller that Buyer has inspected the Equipment and tha# all Equipment is in conformance with the Sale Agreement and has been
accepted by Buyer.
5. BUYER AGREEMENTS. Buyer agrees that Seller may insert in the Sale Agreement the serial number and other identification data relatirtig
to the Equipment when ascertained by Seller.
6. INSURANCE. Buyer shall provide, rrzaintain, and pay all premiums for insurance covering the ioss, theft, destruction, or damage to the
Equipment in an amount not less than the full replacement value. This coverage will extend to all property of Seller located at the delivery si1:e
during the installation.. Further, until title to the Equipment has transferred to Buyer pursuant to Section 2fb1. Buyer will name Seller as foss
payee of the proceeds. Upon receipt of the proceeds of any insurance, Seller wilf refund to Buyer any amounts in excess of the balance due
Seller by the Buyer in fulfilling the obligations specified herein. Notwithstanding the above, Buyer shall also provide, maintain, and pay alf
premiums for public liability insurance in the amounf of $1,000,000.00 (one milEion dollars) and name Seller as an additional insured. A!I
insurance shalf be in a form and with a company satisfacfory to Seller and insurance carrier is Eicensed to do business in the state where the
Equipment is being sold, and shall not be subject to cancefla#ion without thirty (30) days prior written notice to Seller. Suyer shall deliver to
Seller insurance polices, or evidence of insurance proving the existence of policies meeting the abave requirements, upon execution of the
Sale Agreement. Buyer's obligation to provide said insurance will cease once title to the Equipment has transferred to Buyer pursuant to
Section 4
7. WAIVER AND INDEMNIFICATION.
(a) Buyer hereby waives and refeases aEl claims against Seller for (i) ioss of or damage to ail property, goods, wares and merchandise in, up~n
or about the Equipment and (ii) injuries to Buyer, Buyer's agents and third persans. Seller shall not be liable for any consequential, incidental,
or special damages of any kind {including, but not limited to damages for loss of use or of profi# by Buyer or any other party; or for any
cflllateral damages), whether or not caused or continued by 5eller's negligence or delay, which may result from or arise in connection with the
manufacture, delivery, installation, checkout or use of the Equipment or in connection with the services rendered by 5ellsr hereunder.
(b) Buyer shall indemnify and hold Seller (and its agents and employees) harmless from and against any and a!I claims, actions or
proceedings and any and alf damages, liabilities, iosses, costs ancf expenses (including attomey fees) arising out of or in connection with the
Sale Agreement, including all damages, liabilities, losses, costs and expenses arising from Seller's negligence. !f the ioregoing obligation is
not enforceable against Buyer under applicable law, Buyer agrees to indemnify and hold Seller harmless from damages, liabilities, iossss,
costs and expenses to the maximum extent permitted by applicab(e law.
8. 7ERMINATtON FOLLOWING BREACH. In the evenf (a) of bankruptcy or insolvency of Buyer, or in the event any proceeding is brought by
or against Buyer voluntarily or invokuntarily, under the provisions of the Bankruptcy Code of the United States, for the appointment of a
receiver or frustee or any assignment for the benefit o# creditors of Buyer, or (b) that 8uyer fails to make timely payments, or perforrn any of its
other obligations, under the Sale Agreemenf, and such failure or default is not cured within ten (10) days after written notice of such failure or
default is provided by Seller, the Sale Agreement automatically shaU be terminated in ihe case of any evenf described in clause (a) above anci
may be terminated by Seller in the case of any svent described in clause (b} above and, upon such termination, fuN payment pursuanf to the
terms of the Sale Agreement shal! become immediately due and payable from Buyer. {n the event of any such breach or termination, Seller
shall have all rights provided by law and under the terms and conditions of the Sale Agreement, including but not limited fo: repossession and
disposal of the Equipmenf (and, if any personal property shafl remain located in the Equipment at such time, Buyer consents to Seller's
possession and disposal or destruction of such personal property withou# notice or accounting to 8uyer} and recovery of attomey's fees and
other reasonab(e costs and expenses associated with any breach or termination (including any such disposaf or des#ruction), shall be
reimbursed by Buyer on demand of Seller.
9. GOVERNING LAW. Buyer and Sellsr agree that the Safe Agreement shall be govemed in atl respects by, and interpreted in accordance
with the laws of, #he State of California, without regard to its conflicts of laws provisions.
10. JURISDICTION.
(a) If the law of the State of Maryiand or Virginia shall apply to fhe Sale Agreement, it is agreed fhat the venue for a legal action relating to the
Sale Agreement shafl be proper if brought in Alameda County, State of Califomia. Subject to Sec 'on 7, the prevailing party shall be entitled to
recover reasonable attorneys' fees and court costs, whether or not the action proceeds to judgment.
(b) If the Eaw of any State other than Maryland shall apply to the Sale Agreement, the Federaf District Gourfs located within the State of
California shall have non-exclusive jurisdiction ~ver any lawsuit brought by Buyer or Se!!er as a result of any dispute regarding matters arising
in connection with the Sale Agraemenf. Further, if is agreed that the venue for a fegal action relating to the Sale Agreement shall be proper if
brought in Afameda County, S#ate of California. Subject to Section 7, the prevailing party shalE be entitled to recover reasonable attomeys'
fees and court cos#s, whether or not the action proceeds to judgment. .
i'{. SELLER'S EXPENSES Buyer shall pay Seller ai! costs and expenses, including attorney fees, incurred by Seller in exercising any of #he
lerms, conditions or provisions of #he Sale Agreement.
12. LICENSE ANb TRANSFER FEE(S). If so listed on the Sale Agreement, the Purchase Price includes license and/or transfer fees. Buyer
will be billed directly by the State for future annual license fees.
13. MISCELLANEOUS_
(a) BUYER SOLVENCY. Buyer hereby represents and warrants that the fair value af the assets of Buyer exceed its iiabilities; Buyer is able to
pay its de6ts and liabilities as they become due; and Buyer does not have an unreasonably small amount of capilal with which to conduct the
business in which it is engaged, as such business is now conducted and is proposed to be conducted.
210003500, Pri~ted: 10-OS-2010 03:39PM Thank you for contacting Mobile Modular.
~, ' Mobile Modular Managemen# Corporation
~ 5700 Las Positas Road
~~~[~~' Livermore, CA 94551
~~~~~~~ ~ Phone: (925) 606-9000 Fax: (925) 453-3201
~~.~_~,~~ri3~~ www.MobileModularRents.com
Agreement
Contract: 210003500.1
Dats Printed: 10/05/2010
(b} MODlFICATIONS AND AMENDMENTS_ Represenfations and warranties made by any persan, including agents and representatives of
Seller, which are inconsistent or conflic# with the terms of the warranty contained in Section 1 of the lncorporated Provisions on the website
(including but not limited to the liability of Sekler as set forth above) shaH not be binding upon Seller unless reduced to writing and approved by
an officer of Seller. No amendment, supplement or modification to the terms of the Sale Agreeme~# shall be vaiid unless made in a writing
signed by both parties hereto, and no waiver of any provisi~n of the Sa1e Agreement shall be valid unless made in a wriiing signed by the
waiving party. Notwithstanding the foregoing, from time to time, Buyer or Sefler may request modifications to the scope of work hereunder,
which at the sole option of the Seller may be accepted and thus alter the final price stipulated herein. These changes in scope will be deemed
approved by Buyer when evidence of work performance is presented by Sefler.
(c) NO WAIVER. Failure of Seller to enforce any term or condition of the Sale Agreement shal! not constitute waiver of any rights stipufated
herein, nar shalf it in any manner affect the rights of Seller to enforce any of the provisions stated herein. Waiver by Setlsr of any provision ot
the Sale Agreement shall be valid only as provided in subsection (b) above and onfy with respect to the specific matter to which such waiver
reiates.
(d) If the law of the State of North Carolina sha11 apply to the Sale Agreement, the Sale Agreement does not constitute a°construction
contract" or otherwise relate to the improvement of real estate or the design, planning, construction, a~teration, repair or maintenance of a
building, structure or appurtenance.
14. ENTIF2E AGREEMENT. The Sale Agreement constitutes the entire agreement between Seller and Buyer regarding the subject matter
hereof. If any part of the Sale Agreement is found to be invalid or illegal, Buyer and Seller agree that only the invalid or illegai portion of the
Sale Agreement wi11 be efiminated.
Sale Terms and Conditions, Rev. 10l1l08