Resolution No. 6270
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RESOLUTION NO. 6270
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
VERNON APPROVING AND AUTHORIZING THE EXECUTION
OF A LEASE BY AND BETWEEN THE CITY OF VERNON AND
THOMASON MECHANICAL CORP. FOR 1,000 SQUARE FEET
OF SPACE AT THE VERNON POWER PLANT LOCATED AT
2715 E. 50TH STREET
WHEREAS, Thomason Mechanical Corp. ("TMC") desires to
lease 1,000 square feet of floor space at the Vernon Power Plant
located at 2715 E. 50th Street for a period of three (3) years,
July 1, 1993 through June 30, 1996, for the sum of Five Hundred
Dollars ($500.00) per month payable on the first day of each
month; and
WHEREAS, the City of Vernon has utilized the services of
TMC in the past for (i) the rehabilitation of Diesel Engine Nos. 1
through 5 at the Vernon Power Plant; and (ii) the installation of
two 571-K gas turbine/generators at the Vernon Power Plant; and
WHEREAS, TMC mechanical and other services at the Vernon
Power Plant currently cost the city of Vernon approximately
$37,000.000 per month using skilled employees who must travel to
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the site and which travel time is part of the cost of services;
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and
WHEREAS, the lease of said floor space will enable TMC to
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have employees at the Vernon Power Plant on a full time basis and
to reduce or eliminate the cost of such travel time; and
WHEREAS, the leased area will be used by TMC to provide
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similar services to other customers, such as overhauling engines,
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which will not interfere with TMC's services to the city of Vernon
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and therefore, during said time period, the premises leased is
surplus to the immediate needs of the City; and
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1 WHEREAS, TMC will use specified city-owned equipment and
2 machinery to perform services for clients other than the City of
3 Vernon on an as-need basis at such time periods that the equipment
4 and working is surplus to the immediate needs of the City; and
5 WHEREAS, the Finance Committee at its meeting of May 24,
6 1993, recommended that the City Council approve the leasing of
7 said space, with the right to use equipment and machinery, to TMC.
8 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
9 CITY OF VERNON AS FOLLOWS:
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SECTION 1: The City Council of the City of Vernon does
11 hereby find and determine that the recitals contained hereinabove
12 are true and correct.
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SECTION 2: The City Council of the City of Vernon hereby
14 approves the Lease of Vernon Power Plant Site, a copy of which has
15 been presented to the City Council concurrently with this
16 resolution, and the City Council hereby orders said Lease to be
17 received and filed by the City Clerk.
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SECTION 3: The City Council of the City of Vernon hereby
19 authorizes the Mayor and City Clerk to execute said Lease for, and
20 on behalf of, the city of Vernon.
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SECTION 4: The City Clerk of the City of Vernon shall
22 certify to the passage of this resolution and thereupon and
23 thereafter the same shall be in full force and effect.
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APPROVED AND ADOPTED this 15th day of June, 1993.
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ATTEST:
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BRUCE V. MALKENHORST,
Clerk
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STATE OF CALIFORNIA )
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COUNTY OF LOS ANGELES )
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I, BRUCE V. MALKENHORST, City Clerk of the City of
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Vernon, do hereby certify that the foregoing Resolution, being
Resolution No. 6270, was duly adopted by the City Council of the
City of Vernon at a regular meeting of the City Council duly held
on Tuesday, June 15, 1993, and thereafter was duly signed by the
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Mayor of the City of Vernon.
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(SEAL)
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LEASE OF VERNON POWER PLANT SITE
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THIS LEASE is made and entered into the 28 th day of June,
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1993,
BY AND BETWEEN
City of Vernon, a municipal
corporation, (hereinafter
referred to as "Landlord")
4305 Santa Fe Avenue
Vernon, CA 91745
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AND
Thomason Mechanical Corp.
(hereinafter referred to as
II Tenant ")
19002 S.Santa Fe Avenue
Rancho Dominquez, CA 90221-5909
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WITNESSETH:
12 1. PREMISES:
13 The Landlord hereby leases to Tenant and Tenant hereby
14 leases from Landlord, on the terms and conditions hereinafter set
15 forth, the following"Premises" as more fully shown on Exhibit A
16 attached hereto and made a part hereof by reference: that certain
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real property and other improvements located thereon within the
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building situated in the city of Vernon, State of california~
commonly known as 2715 E. 50th Street, which Premises are
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described as one thousand square feet of floor area, including six
hundred square feet as "prim~ry Space II in the machine shop area
and four hundred square feet within the machine shop and loading
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dock area as "Secondary Space II as shown on Exhibit A. The
24 Secondary Space will be utilized intermittently and as coordinated
25 with the Power Plant Superintendent.
26 2. TERM:
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The term of this lease shall be for three years
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commencing on July 1, 1993 and ending on June 30, 1996. The lease
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shall be automatically renewed one year at a time at term's end
unless contested by either party. This Lease may be terminated by ,
either party with thirty (30) days written notice.
3. RENT:
Tenant shall pay to Landlord as rent for the Premises,
the sum of FIVE HUNDRED DOLLARS ($500) per month, in advance on
the first day 9f each month during the term hereof. Rent shall be
payable without notice or demand and without any deduction, off-
set, or abatement in lawful money of the united States to the
Landlord at the address stated herein for notices or to such other
persons or such other places as the .Landlord may designate to
Tenant in writing.
4. TAXES AND FEES:
(a) Real Property Taxes.
Landlord shall pay prior to delinquency all real property
taxes, possessory interest taxes, and general assessments levied
and assessed against the Premises during the term of this Lease.
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(b) Personal Property Taxes.
Tenant shall pay prior to delinquency all taxes assessed
against and levied upon the trade fixtures, furnishings, equipment
and other personal property of Tenant contained in the Premises.
(c) Permits.
Tenant shall obtain and pay for all necessary federal,
state, and local permits, including but not limited to an
occupancy permit from the City of Vernon, and shall conduct its
operations in conformity to all applicable federal, state, and
local rules, regulations, and laws.
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(d) Business License.
Tenant shall obtain a City of Vernon business license an
pay the applicable fees therefor.
5. UTILITIES:
Tenant shall make all arrangements and pay for telephone
service supplied to the Premises together with any taxes thereon
and for all connection charges.
Landlord shall provide and pay for electricity, water,
and gas, except that Tenant shall pay for any necessary building
or line modifications to use such utility services. No such
modifications shall be made without prior written approval from
the Director of the Light and Power Department and without an
applicable building permit.
6. ALTERATIONS AND ADDITIONS:
Improvements made to Premises shall only be as authorize
in writing by the Landlord and shall become the property of the
Landlord at lease end, unless the Landlord gives notice in writin
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that the Premises must be returned to its original condition.
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7. INSURANCE AND INDEMNITY:
The Tenant shall provide insurance coverage as set forth
in Exhibit B attached hereto and made a part hereof by reference.
Tenant agrees to preserve and'save harmless the Landlord and each
officer and employee thereof from any liability or responsibility
for any accident, loss or damage to persons or property happening
or occurring as a proximate result of this Lease or any services
to be performed on the Premises or caused by any agent, employee,
visitor, or guest of Tenant.
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8. VISITORS:
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All Tenant non-registered employees, visitors, and guests
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must have Landlord's consent to be on the premises and shall
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register at the front desk and be in the company of an authorized
escort during their stay. The Tenant shall hold harmless the
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Landlord for any. tools, equipment, materials or machinery damaged,
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lost or stolen while such employees, visitors, and guests are on
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or about the Premises.
9 9. ASSIGNMENT AND SUBLETTING:
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Tenant shall not voluntarily or by operation of law
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assign, transfer, sublet, mortgage, or otherwise transfer or
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encumber all or any part of Tenant's interest in this Lease or in
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the Premises.
14 10. DEFAULT:
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It is agreed between the parties hereto that if any'rent
shall be due hereunder and unpaid, or if Tenant shall default and
breach any other covenant or provision of the Lease, then the
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Landlord, after the proper notice required by law, may re-
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enter the Premises and remove any property and any and all persons
therefrom in the manner allowed by law. The Landlord may, at his
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option, either maintain this Lease in force and effect and recover
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the rent and other charges as they become due or, in the
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In addition, the Landlord may
alternative, terminate this Lease.
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recover all rentals and any other damages and pursue any other
rights and remedies which the Landlord may have against Tenant by
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reason of such default as provided by law.
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11. SURRENDER:
On the last day of the term of this Lease, Tenant shall
surrender the Premises to Landlord in good condition, broom clean,
ordinary wear and tear and damages by fire and elements excepted.
12. HOLDING OVER:
If Tenant, with the .Landlord's consent, remains in
possession of the Premises after expiration or termination of the
terms of this Lease, such possession by Tenant shall be deemed to
be a tenancy from month-to-month at a rental in the amount of the
last monthly rental plus all other charges payable hereunder, and
upon all the provisions of this Lease applicable to such a month-
to-month tenancy.
13. HOURS OF OPERATION:
All normal on-site work performed by the Tenant will be
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16 may be temporarily authorized by mutual consent to meet the mutual
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18 14. MACHINERY USAGE:
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The Power Plant equipment and machinery listed in Exhibit
C which is attached hereto and made a part hereof by reference may
be utilized by Tenant as authorized by the Power Plant
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22 superintendent~ Such use shall not limit normal Power Plant
23 operations andlor maintenance. Damage or wear to such Power Plant
24 equipment and machinery resulting from Tenant's usage shall be
25 repaired and/or maintained by the Tenant at no cost to the
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15. FACILITIES:
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The Tenant shall be permitted use of Power Plant
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restrooms and lunchroom facilities, and shall participate in the
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maintenance of these facilities at no cost to the Landlord.
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16. BINDING ON SUCCESSORS AND ASSIGNS:
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Each provision of this Lease performable by Tenant shall
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be deemed both a covenant and condition.
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17. NOTICES:
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Whenever under this Lease a provision is made for any
demand, notice or declaration of any kind, it shall be in writing
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and served either personally or sent by registered or certified
United states mail, postage prepaid, addressed at the addresses as
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set forth below:
14 LANDLORD
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TENANT
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Executive Director of Power and Light
City of Vernon
4305 Santa Fe Avenue
Vernon, CA 90058-0805
Thomason Mechanical Corp.
19002 S. Santa Fe Avenue
RanchoDominquez,CA 90221-5909
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Such notice shall be deemed to be received within forty-
eight (48) hours from the time of mailing, if mailed as provided
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for in this paragraph.
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WAIVERS:
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No waiver by Landlord of any provision hereof shall be
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deemed a waiver of any other provision hereof or of any subsequent
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breach by Tenant of the same or any other provisions.
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INSURANCE SCHEDULE (TENANT)
The Tenant shall provide proof of insurance, including a standard
certificate of insurance, in at least the following amounts and coverage
(combined single limit permitted):
I.
Coveraqe and Limits
Bodilv Iniurv Property Damaqe
Each Person Each Accident Each Accident
Hazards
Automobile Liability
Owned Automobiles
Hired Automobiles
Non-Owned Automobiles
Workers' Compensation
EmPloyers' Liability
II. General Liability
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Premises operations
Elevators
(if applicable)
Independent
Contractors
Products - Completed
Operations
Contract Liabilitv
Umbrella Liabilitv
$ 500,000
$ 500,000
$ 500.000
$ Statutorv
$1.000.000 per
$1,000,000
$1,000,000
$1,000,000
$1,000,000
$1.000.000
$1.000.000
$1,000,000
$1,000,000
$1.000.000
employer
$2,000,000
$2,000,000
$2,000,000
$2,000,000
$2.000.000
$1.000.000
$
$
$
500,000
500,000
500.000
$1,000,000
$1,000,000
$1,000,000
$1,000,000
$1.000.000
$1.000.000
a. The general liability policy shall contain the following special
endorsements which shall be noted on or attached to the standard
certificate of insurance:
Vernon, its officers, and '
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1. An endorsement naming the city of
employees as insureds under the policy.
2. An endorsement providing the city of Vernon thirty (30)
notice of cancellation or material reduction of coverage.
3. An endorsement providing coverage for all operations under City
of Vernon Contract number 8201.
4. Such other endorsement as may be required by addendum hereto.
b. In addition to the 'standard certificate of insurance, proof of
general and umbrella liability coverageAshall be furnished in the form
checked below. certification of the followinq proofs by the insurance
aqent or broker will not be accepted:
X For each policy, a letter from the underwriter or carrier
certifying that the coverage and statements in the standard
certificate of insurance (attached thereto) are true and
correct and that the signature is an officer authorized to so
certify.
A copy of each policy certified by an officer of the
underwriter or carrier and notarized.
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EXHIBIT "B"
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LIST .. OF EQUIPMENT:
TMC LEASE
10/50 ,Whiting Ton Crane
2. Bench Grinder
4. Small Lathe
3. Workbench and Vise
5. Air Compressor
6. Band.Saw
7. ,Drill Press
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