HomeMy WebLinkAbout1993-051
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RESOLUTION 93-51
RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE
EXECUTION OF A SECOND AMENDMENT TO AN AGREEMENT BY AND BETWEEN THE
CITY OF SAN BERNARDINO AND METRO DISPLAY ADVERTISING, INC., DOING
BUSINESS AS BUSTOP SHELTERS OF CALIFORNIA, INC.
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BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF
5 SAN BERNARDINO AS FOLLOWS:
6 SECTION 1. The Mayor is hereby authorized and directed to
7 execute on behalf of said City a second amendment to the Agreement
8 by and between the City of San Bernardino and Metro Display
9 Advertising, Inc. doing business as Bustop Shelters of California,
10 Inc., a California corporation, 2692 Dow Avenue, Tustin, CA, 92680
11 relating to the reorganization through bankruptcy of Bustop
12 Shel ters .
13 SECTION 2. The authorization to execute the above-referenced
14 amendment is rescinded if the parties to the agreement fail to
15 execute it within sixty (60) days of the passage of this
16 resolution.
17 I HEREBY CERTIFY that the foregoing resolution was duly
18 adopted by the Mayor and Common Council of the City of San
19 Bernardino at a reqular meeting thereon, held on the 8th day
20 of March, 1993, by the following vote, to wit:
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RES 93-51
1 RESOLUTION OF THE CITY OF SAN BERNARDINO EXECUTING AN AMENDMENT TO
THE AGREEMENT WITH METRO DISPLAY ADVERTISING, INC. (BUSTOP SHELTERS
2 OF CALIFORNIA) RELATING TO THE PROVISION OF AN ADDITIONAL 13
SHELTERS.
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4 COUNCIL MEMBERS
5 ESTRADA
6 REILLY
7 HERNANDEZ
8 MAUDSLEY
NAYS
ABSTAIN
ABSENl'
AYES
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9 MINOR
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POPE-LUDLAM
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MILLER
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city Clerk
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The foregoing resolution is hereby approved this
Of~\~~\\, 1993.
day
Approved as to form c./~'f,P~~
20 and legal content.f2j.<d'> "i't'
21 JAMES F. PENMAN
city Attorney
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Res 93-51
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SECOND AMENDMENT TO AGREEMENT
THIS SECOND AMENDMENT TO AGREEMENT made and entered into this
'\ ~\\.. day of~"'''i , 1993, by and between the CITY OF SAN
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BERNARDINO, a municipal corporation, 300 North "D" Street, San
Bernardino, California 92418 and Metro Display Advertising, Inc.,
herein doing business as BUSTOP SHELTERS OF CALIFORNIA, INC., a
California corporation, 2692 Dow Avenue, Tustin, CA 92680 (herein
referred to as "Contractor").
WITNESSETH:
WHEREAS, the parties hereto entered into that certain
Agreement dated June 1, 1990, and a first amendment dated October
23, 1991, relating to bus shelters at certain bus stops locations
throughout the City, and
WHEREAS, the parties desire now to amend said Agreement in
response to the reorganization of Bustop Shelters through
bankruptcy,
WHEREAS, Contractor did not construct additional 13 shelters
nor l5 non-advertised bus benches, and under the direction of prior
management, committed to install more advertising bus shelters than
the market can bear and therefore has placed a financial burden on
the company to the extent it has filed for protection under Chapter
II of the Federal Bankruptcy Code,
NOW, THEREFORE, the parties hereto agree as follows:
1. section 1 of said Agreement is hereby amended to read as
follows:
"I. Right to Construct
city hereby grants to contractor, on the
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RES "93-51-
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terms hereinafter described, a license to
construct, erect, install, repair, maintain
and insure shelters at nineteen (19)
designated bus stop locations on City
property, attached as Exhibit "A".
All such shelters shall be completely
constructed within three (3) months of the
date of this Agreement is executed.
City further grants to Contractor, on the
terms hereinafter described, a license to
construct, erect, install, repair, maintain
and insure an additional thirteen (13)
designated bus stop shelters at locations on
City property, attached as Exhibit "B".
All such additional shelters shall be
completely constructed with three (3) months
of the date this Amendment to Agreement is
executed."
The city grants that the thirteen (13)
shelters and fifteen (15) benches approved
through the contract amendment date October
23, 1991 will not be required to the
constructed.
section 2 of said agreement is hereby amended to read as
"2 . Fees.
Contractor shall pay City seventy-five
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RES 93-51,
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dollars per shelter per month or sixteen
percent (l6%) of the gross advertising
received by Contractor for the rental of
advertising space for each shelter, whichever
is greater.
Contractor shall pay, under the terms of
bankruptcy reorganization the pre-petition
amount owed to City of $14,250, due for the
period of April, 1991 through January, 1992.
This amount is to be paid over a two-year
period as specified in Contractor's Plan of
Reorganization as confirmed by the Federal
Bankruptcy Court.
The post-petition amount owed to City as
of March 1, 1993 is $18,525, due for period of
February 1, 1992 through February 28, 1993.
The post-petition amount will continue to
accrue each month by $1,425 until the Plan of
Reorganization is confirmed by the Court. All
payments thereafter to be made timely.
city and Contractor agree that no new
advertising bus shelters will be installed
providing guaranteed fees from advertising
revenue but additional shelters may be
installed with a percentage of the advertising
revenue received after agency commission
remitted to City under the same conditions
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RES 93-51
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6 3.
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outlined in the First amendment to the
agreement. Additional non-advertising bus
shelters or bus benches will not be provided.
Roof design and shelter color will be
Contractor's standard bus shelter design.
section 3 of said agreement is hereby amended to read as
8 "3. Term.
9 The term of this Agreement is five (5)
10 years. At the conclusion of this Agreement,
11 the parties may renew or renegotiate the terms
12 and conditions. If the Agreement is not
13 renewed, Contractor shall remove all shelters
14 as provided in Paragraph 5(d).
15 4. Except as provided herein, all other terms and conditions
16 of the original agreement and first amendment remain unchanged and
17 in full force and effect.
18 IN WITNESS WHEREOF, the parties have executed this Amendment
19 the day and date first above shown.
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to Agreement on
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RES 93-51
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AGREEMENT BY AND BETWEEN THE CITY OF SAN BERNARDINO AND METRO
DISPLAY ADVERTISING, INC. (BUSTOP SHELTERS OF CALIFORNIA)
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ATTEST:
Approved as to form L , .....;.(-
6 and legal content.r~7 <-. c~ f ~'hJi-1 c..
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JAMES F. PENMAN,
City Attorney
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