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HomeMy Public PortalAboutRES-CC-2015-24Resolution #24-2015 A RESOLUTION APPROVING LEASE AMENDMENT NO. 2 TO CONTRACT NO. 060285;A LEASE AGREEMENT WITH THE STATE OF UTAH, DIVISION OF FACILITIES CONSTRUCTION AND MANAGEMENT FOR TENANT SPACE AT THE MOAB CITY CENTER FOR THE DEPARTMENT OF HUMAN SERVICES Whereas, the governing body of the City of Moab desires to enter into an agreement with the state of Utah, Division of Facilities Construction and Management for Tenant Space at the Moab City Center for the Department of Human Services; and Whereas, the Contract Amendment has been presented to this meeting of the City Council. NOW THEREFORE, WE, THE GOVERNING BODY OF THE CITY OF MOAB DO HEREBY ADOPT THE CONTRACT IN SUBSTANTIALLY THE FORM PRESENTED TO THIS MEETING OF THE CITY COUNCIL, AND AUTHORIZE THE APPROPRIATE INDIVIDUALS TO EXECUTE AND DELIVER SAID AGREEMENT. This resolution shall take effect immediately upon passage. Passed and adopted by action of the Governing Body of Moab City in open session this 9th day of June, 2015. CITY OF MOAB By: Attest: Rachel E. Stent_ a City Recorder David L. Sakrison Mayor Resolution #24-2015 Page 1 of 1 STATE OF UTAH DEPARTMENT OF ADMINISTRATIVE SERVICES DIVISION OF FACILITIES CONSTRUCTION AND MANAGEMENT CONTRACT NO.060285 AMENDMENT NO.2 TO BE ATTACHED TO AND MADE A PART OF the above numbered contract by and between City of Moab, hereinafter called "LANDLORD," and the STATE OF UTAH, DIVISION OF FACILITIES CONSTRUCTION AND MANAGEMENT, for and in behalf of the Department of Human Services, hereinafter called "TENANT." WITNESSETH THAT WHEREAS, LANDLORD and TENANT have hereto entered into that certain Lease Agreement (Contract No. 060285) for 500 square feet of office space in the facility located at 217 East Center Street, Moab, Utah, which Lease Agreement commenced July 1, 2005, and was amended by Amendment No. 1 which currently expires June 30, 2015; and WHEREAS, TENANT and LANDLORD are mutually desirous to renew the subject Lease Agreement for an additional five (5) years renewal or extended term; and NOW THEREFORE, for and in consideration of the mutual covenants, conditions, and agreements herein contained, and other good and valuable considerations, it is covenanted and agreed between the parties that the aforesaid Lease Agreement be modified and amended as follows: PARAGRAPH 1. RENEWAL OR EXTENDED TERM 1.1 This Lease Agreement is hereby renewed and extended for an additional term of five (5) years which term shall commence July 1, 2015, and shall expire June 30, 2020, and shall continue thereafter on a month -to -month rental basis, if option to renew is not exercised by TENANT as provided for in Paragraph 2 of this Lease Amendment No. 2, until terminated by either party by giving thirty (30) days advance written notice to the other party. PARAGRAPH 2. OPTION TO RENEW 2.1 Tenant is hereby granted one (1) five-year option to renew and extend the term of the original Lease. 2.2 All options to renew may be made in the sole discretion of the Tenant and there is no representation that Tenant will exercise any option. 2.3 A renewal option may be exercised by Tenant by sending written notice to the Landlord, by U.S. Mail, or by email with a confirming response, indicating the Amendment#2 Printed 6/18/2015 exercising of the renewal option, at least one hundred twenty (120) calendar days prior to the date on which the subject renewal option period would commence. 2.4The first renewal option, if exercised by Tenant, will commence July 1,.202.0, and end on June 30, 2025. The monthly rent will start at $405/monthand increase on an annual basis at the rate of 2.4%. PARAGRAPH 3. CONSIDERATION 3.1 For the renewal or extended period beginning July 1, 2015, and ending June 30, 2020, the sum of the annual base rentals shall be payable by TENANT to LANDLORD for the 500 square feet of office space according to the following table. TENANT shall pay such annual base rentals in twelve equal monthly installments, each on the first day of every month each year during the term hereof. If the day upon which the term of the Lease shall commence is other than the Commencement Date above, then the rentals shall be apportioned accordingly. Period Begins Period Ends Monthly Rent Annual Rent 1-Jul-2015 30-Jun-2016 $350.00 $4,200.00 1-Jul-2016 30-Jun-2017 $358.00 $4,296.00 1-Jul-2017 30-Jun-2018 $366.00 $4,392.00 1-Jul-2018 30-Jun-2019 $374.00 $4,488.00 1-Jul-2019 30-Jun-2020 $383.00 $4,596.00 All other covenants, terms and conditions of the subject Lease Agreement not modified by this Lease Amendment No. 2 shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto sign and cause this Lease Amendment No. 2 to be executed. TENANT State of Utah Lee Fairbourn Date Real Estate and Debt Manager Division of Facilities Construction and Management Jennifer Evans, Director Date Director Office of Fiscal Operations LANDLORD Moa,ity David L. Sakrison Mayor li-rit-i-r--10-10 � 5 Date A}1�/ J1Cu.LWY `L- �%L✓��JDIB"15 Rachel E. Stenta City Recorder Date Availability of Agency Funds APPROVED: Utah Division of Finance