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HomeMy WebLinkAbout1986-238 1 RESOLUTION NO. 86-238 2 RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AGREEMENT WITH MARGARET LOPEZ RELATING TO THE 3 OPERATION OF A CONCESSION FACILITY AT NUNEZ PARK. 4 BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF 5 SAN BERNARDINO AS FOLLOWS: 6 SECTION 1. The Mayor of the City of San Bernardino is hereby 7 authorized and directed to execute on behalf of said City an 8 agreement with Margaret Lopez relating to the operation of a 9 concession facility at Nunez Park, a copy of which is attached 10 hereto, marked Exhibit "A" and incorporated herein by reference as 11 fully as though set forth at length. 12 I HEREBY CERTIFY that the foregoing resolution was duly 13 adopted by the Mayor and Common Council of the City of San 14 Bernardino at a regular 15 the 16th day of ,111 n A 16 to wit: meeting thereof, held on , 1986, by the following vote, 17 18 19 20 21 22 23 Council Members AYES: E~rrnnn, Rpilly. Hprnnnnp7.. Mnrk~, Qllipl . Frn7.ipr . ~t-rirklpr NAYS: Nonp. ABSENT: Non~ /#nh~~t 1ii~ The foregoing resolution is h~reby approved this / 7~'L day /~ ,I / ~;-'~) /))' (fA v(~ '-' ,/ 'J:_-<';/ Mayor of Ithe Ci ty of San B'~rnardino 24 of 25 June , 1986. 26 Approved as to form: 27 / . . . i....') <" 28 7'; ,;"it-:f~~i /('~r/~<) /,/V~ City'Att.orney 1 2 A G R E E MEN T (Operation of Concession Fac.ility - Nunez Park) 3 T~IS AGREEMENT is made and entered into this =<?z(~ day of 4 I \ """'''~''''1''''''7-l' ..-' , 1986, between the CITY OF SAN BERNARDINO, a . I 5 municipal corporation, referred to as "City", and MARGARET LOPEZ, 6 an individual, 1690 West Walnut Street, San Bernardino, California 7 92410, referred to as "Licensee". 8 City and Licensee agree as follows: 9 1. Licensee shall operate the concession facility located at 10 Nunez Park, 1700 West Fifth Street, San Bernardino, California, 11 commencing upon the effective date of this agreement, and 12 continuing for a period of three years thereafter, and shall pay 13 to City fifteen percent of the gross sales receipts from the 14 refreshment concession stand and refreshment services, monthly, on 15 or before the tenth day of the month following the calendar month 16 for which concession fees are payable. 17 2. The specifications and provisions of Specification No. F- 18 86-18 relating to the concession facility at Nunez Park are 19 attached hereto, marked Exhibit "A" and incorporated herein by 20 reference as fully as though set forth at length. The parties 21 hereto agree that each shall be bound by each and all of the 22 specifications set forth herein. 23 3. This agreement shall be effective as of the date set 24 forth above, that date being the date on which the last of the 25 required signatures has been affixed hereto. 26 IN WITNESS WHEREOF, the parties have executed this agreement 27 on the day and year first above written. 28 . . . . . . . . . . ] 2 3 4/V&1ty/a-~ __ City Clerk ATTEST: CITY OF~SAN BERNARDINO ! L 7( ~-)~::' >1 ., /T;j / /;/ (, .i " By \, C (.1 L G " -".,/ ~/ 1/ A (.)~.,/L,tL .~;/ _ , / 1 Mayo ./ 4 5 6 MARGARET LOPEZ 7 :~) (, BY/P I,d J---1 ~ ~ T; rk .-.i"\-i ,~/~ ." p ')1. 1..- o-f ,,,'---"" \... .~ J '- . L, .~ \/ ,~/,/' Approved as to form: 8 9 /<'-,' '~".t".(:'4! /t;;:/"/.-:;~>f~ City AttOrney 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 -2- AS A CONDITION PRECEDENT TO SUBMITTING AND THE SUBMISSION OF A BID PURSUANT TO THIS SPECIFICATION SHALL BE EVIDENCED THAT THE BIDDER 0101 IN FACT, FULFILL THIS OBLIGATION. 1. LICENSEE: THE SUCCESSFUL PROPOSER SHALL BE LICENSEE; LICENSEE SHALL BE GRANTED THE RIGHT AND PRIVILEGE TO OPERATE AND MAINTAIN A CONCESSION STAND fOR THE SALE OF REFRESHMENTS AT NUNEZ PARK THIS RIGHT IS EXCLUSIVE UNLESS OTHERWISE STATED HERqIN. SPECIFICALLY, LICENSEE SHALL: PAY FOR AND OBTAIN ALL LICENSES AND PERMITS NECESSARY FOR THE OPERATIONS GRANTEDj COMPLY WITH ALL STATE, COUNTY OR CITY LAviS OR ORDINANCES PERTAINING TO THE OPERATION OF A FOOD CONCESSION; AND GENERALLY PROVIDE REFRESHMENT SERVICES AS NEEDED. 2. PREMISES: THE PREMISES TO BE LICENSED INCLUDE THE CONCESSION STA~D AND SPECTATOR AREAS OF NUNEZ PARK LICENSEE SHALL BE PERMITTED TO USE VENDORS IN THE SPECTATOR SEATING AREAS. 3. OPERATING RESPONSIBILITIES: IN THE EVENT LICENSEE fAILS TO PERFORM THE ACTIONS NECESSARY TO COMPLY WITH THESE PROVISIONS, THE CITY MAY IMMEDIATELY EXERCISE OPTION UNDER DEFAULT PROVISIONS (ITEM 9) OF THIS DOCUMENT. A. CLEANLINESS: LICENSEE SHALL KEEP THE LICENSED PREMISES AND ALL THE SPECTATOR AREAS CLEAN AT ALL TIMES. NO OFFENSIVE REFUSE MATTER, ANY SUBSTANCE CONSTITUTING AN UNNECESSARY, UNREASONABLE FIRE HAZARD (OR MATERIAL DETRIMENTAL TO THE PUBLIC HEALTH AND SAFETY) SHALL BE PERMITTED OR REMAIN THEREON, AND LICENSEE SHALL PREVENT ANY SUCH r~ATTER OR MATERIAL FROM BEING OR ACCUMULATING UPON .SAID PREMISES, AND SHALL IMMEDIATELY CLEAN THE SPECTATOR AREAS:OF ALL:. DEBRIS CAUSED BY EXER- CISING CONCESSION RIGHTS. B. CONDUCT: LICENSEE SHALL AT ALL TIMES CONDUCT HIS BUSINESS IN A QUIET AND ORDERLY MANNER TO THE'SATISFACTION OF THE CITY. C. DISORDERLY PERSONS: LICENSEE SHALL USE HIS BEST EFFORTS TO PER- MIT NO INTOXICATED PERSON OR PERSONS, PROFANE OR INDECENT LANGUAGE, OR BOISTEROUS OR LOUD CONDUCT IN OR ABOUT THE PREMISES AND WILL CALL UPON THE AID OF PEACE OFFICERS TO ASSIST IN MAINTAINING PEACE- FUL CONDITIONS. LICENSEE SHALL NOT KNOWINGLY PERMIT THE USE OR POSSESSION OF NARCOTICS ON THE PREMISES. D. Er"\PLOYEES: LICENSEE SHALL PROVIDE SUCH E""PLOYEES AS MAY BE RE- QUIRED TO RENDER COURTEOUS SERVICE TO THE PUBLIC. EXHIBiT A E. MERCHANDISE: SOFT DRINKS SHALL BE DISPENSED IN PAPER CUPS ONLY, RATHER THAN ANY TYPE OF BOTTLE OR CAN. ALL MERCHANDISE IN- CLUDING BUT NOT LIMITED TO FOOD, DRINKS, BEVERAGES, CONFECTIONS, REFRESHMENTS, ETC., SOLD OR KEPT FOR SALE BY. LICENSEE SHALL CONFORM TO ALL FEDERAL, STATE ANd MUNICIPAL LAWS" ORDINANCES AND REGULATIONS IN EVERY RESPECT. THE HANDLING OF ALL EDIBLE MERCHANDISE IS SUB- JECT TO COUNTY, STATE AND LOCAL SANITATION REQUIREMENTS. THE SALE OF BEER, WINE OR OTHER INTOXICATING LIQUORS WILL NOT BE PERMITTED UNLESS AUTHORIZED UNDER THE TERMS AND CONDITIONS OF ORDINANCE U1554 OF THE CITY OF SAN BERNARDINO. F. HOURS/DAYS OF OPERATION: LICENSEE SHALL KEEP THE CONCESSIO~J OPEN DURING SUCH HOURS AS REQUIRED BY THE CITY TO ADEQUATELY SERVE PUBLIC DEMAND. GENERALLY, THIS WILL MEAN DURING ALL SCHEDULED USES OF NUNEZ PARK ------------- ANY DEVIATION OF SUCH OPERATION SHALL BE SUBJECT TO THE PRIOR APPROVAL OF THE CITY IN WRITING. G. EQUIPME~!T, FURNISHINGS AND EXPENDABLES: ANY ADDITIONAL EQUIPMENT AND FURNISHINGS REQUIRED FOR SAID CONCESSION SHALL BE PURCHASED AND INSTALLED BY THE LICENSEE AT HIS OWN EXPENSE. LICENSEE SHALL PURCHASE ALL EXPENDABLES AT HIS OWN EXPENSE, SAID EXPENDABLES TO REMAIN HIS PERSONAL PROPERTY. UPON TERMINATION OF THIS AGREEMENT, LICENSEE SHALL HAVE THE RIGHT TO REMOVE HIS EQUIPMENT AND FURNISHINGS, EXCLUDING IMPROVEMENTS, FROM THE PREMISES AND SHALL BE ALLOWED A PERIOD Of THIRTY (30). DAYS TO MAKE SUCH REMOVALj AND IF NOT REMOVED WITHIN THAT PERIOD, SAID EQUIPMENT, FURNISHINGS AND EXPENDABLES SHALL BE AND BECOME THE PROPERTY OF THE CITY. H. . MAl NTENANCE OF E.Q!lIPMENT: LICENSEE SHALL PROV IDE ALL fv1A INTENANCE, REPAIR AND SERVICE REQUIRED ON ALL EQUIPMENT USED IN THE CONCESSION, WHETHER LICENSEE OR CITY OWNED. INSOFAR AS SANITATION AND APPEARANCE OF THE CONCESSION ARE INVOLVED, THE CITY MAY DIRECT LICENSEE TO PERFORM NECESSARY REPAIRS AND MAINTENANCE TO LICENSEE-OWNED EQUIP- MENT. NO EQUIPMENT PROVIDED BY CITY SHALL BE REMOVED OR REPLACED BY LICENSEE WITHOUT THE PRIOR WRITTEN CONSENT OF THE CITYi AND IF CONSENT IS SECURED, SUCH REMOVAL AND/OR REPLACEMENT MAY BE AT THE EXPENSE OF T~E LICENSEE. THE CITY MAY DIRECT THAT CERTAIN MAINTE- NANCE OR REPAIRS TO ClTY-OWNED AND INSTALLED EQUIPMENT BE PERFORt-\ED WHERE SUCH WORK IS NECESSARY TO PROTECT THE PREMISES OR TO PROVIDE A CLEAN, ATTRACTIVE AND WELL-MAINTAINED PREMISES. THE CITY WILL BEAR THE EXPENSE, WHEN THE WORK PERFORMED I S ON PREMISES OWNED At~D OPERATED BY THE CITY. J. PERSONAL ATTENTION: THE CONCESSION NANAGER IS THE PERSON \;11TH WHOM THE CITY NAY DEAL ON A DAILY BASIS REGARDING THE SUBJECT CON- CESS ION. C I TV PREFERS THAT TH E CONCES S ION MANAGER BETH ELI C Et~s EE ~IIMSELF (IF LICENSEE IS AN INDIVIDUAL), ONE OF THE PARTNERS (IF LICENSEE IS A PARTNERSHIP) OR AN OFFICER OF THE CORPORATION (IF LICENSEE IS A CORPORATION). ANY OTHER PERSON SELECTED BY LICENSEE AS CONCESS ION NANAGER SHALL BE SKI LLED IN J.1ANAGENENT OF BUS I r~ESSES SIfw1ILAR TO THE LICENSED CONCESSION. THE CONCESSION ~iANAGER SllALL DEVOTE SUFFICIENT TIME AND ATTENTION TO THE OPERATION OF THE CON- CESS ION AND SHALL PROMOTE, I NCRC^S E AND DEVELOP THE nus I r.1ES S f,~~D RENDER EVERY POSSIBLE SERVICE AND CONVENIENCE TO THE PUBLIC. 2 IF HE IS NOT HIMSELF T~IE LICENSEE, THE CONCESSIO~ MANAGER SHALL BE FULLY ACQUAINTED WITH LICENSEE'S OPERATIONS AND CONTRACT OBLIGATIONS~ AND AUTHORIZED BY LICENSEE TO ACT IN HIS BEHALF AND FULFILL HIS OBLIGATIONS IN THE DAY-TO-DAY OPERATION OF THE SUBJECT CONCESSION. K. SIGNS AND ADVERTISEMENTS: NO SIGNS OF ANY KIND SHALL BE DISPLAYED UNLESS SO APPROVED BY THE CITY} WHO MAY REQUIRE REMOVAL OR OR REFUR- BISHMENT OF ANY SIGN PREVIOUSLY APPROVED. LICENSEE SHALL NOT PERHIT VENDORS TO DISPLAY WARES INSID'~ OR OUTSIDE THE BUILDING OR ON SAID PROPERTY UNLESS WRITTEN PERMISSION IS SECURED FROM THE CITY, AND SUCH PERMISSION SHALL BE SUBJECT TO REVOCATION AT ANY TIME. IN EACH FACIL- ITY LICENSED HEREUNDER, A SIGN SHALL BE POSTED IN A PROMINENT PLACE STATING THAT THE CONCESSION IS OPERATED UNDER AN AGREEMENT ISSUED BY THE CITY. L. TAXES: LICENSEE SHALL PAY ALL TAXES AS REQUIRED BY ANY LAW, STATUTE OR ORDINANCE. M. USE OF AREA: LICENSEE SHALL NOT INTERFERE WITH THE PUBLIC'S ENJOY- MENT AND USE OF THE LICENSED PREMISES OR SURROUNDING PUBLIC PROPERTY FOR THE PURPOSES FOR WHICH THEY WERE INTENDED. HE SHALL NOT USE THE LICENSED PREMISES FOR ANY PURPOSE WHICH IS NOT ESSENTIAL TO THE LICENSED OPERATIONS. HE SHALL NOT RENT} .SELL, LEASE OR OFFER ANY SPACE FOR STORING OF ANY ARTICLE OR ARTICLES WHATSOEVER WITHIN OR ON THE LICENSED PREMISES OTHER THAN HIS OWN EQUIPMENT WITHOUT THE WRITTEN CONSENT OF THE CITY. N. UTILITIES: LICENSEE SHALL PAY ALL CHARGES FOR TELEPHONE, ELECTRI- CAL AND GAS UTILITY SERVICES NECESSARY TO CARRY ON THE LICENSED CON- CESSION BUILDING OPERATIONS. THE TELEPHONE NUMBER SHALL BE PLACED IN THE NAME OF THE FACILITY AND SHALL NOT BE TRANSFERABLE TO ANY OTHER LOCATION. CITY SHALL SUPPLY WATER AND WILL BILL THE LICENSEE FOR THE ELECTRICAL AND GAS UTILITY SERVICES ON A MONTHLY BASIS. O. VENDING MACHINES: LICNESEE SHALL FIRST RECEIVE WRITTEN APPROVAL FROM THE CITY BEFORE INSTALLING OR PERMITTING VENDING ~ACHINES TO BE INSTALLED. P. ACCIDENTS: LICENSEE SHALL COOPERATE FULLY WITH CITY IN THE INVESTI- GATION OF ACCIDENTS OCCURRING ON THE LICENSED PREMISES. IN THE EVEr~T OF INJURY TO A PATRON OR CUSTOMER, LICENSEE SHA(L ENSURE THAT THE IN- ~JURED PERSON RECEIVES PROMPT AND QUALIFIED MEDICAL ATTENTION, AND AS SOON AS POSSIBLE THEREAFTER, HE SHALL SUBMIT A CIT~ "NON-EMPLOYEE ACCIDENT OR ILLNESS REPORT". LICENSEE SHALL NOTIFY THE CITY OF ANY HAZARDOUS CONDITION WHICH COULD LEAD TO INJURY. Q. WORK MUST BE SAFE: IT SHALL BE THE LICENSEE'S RESPONSIBILITY TO INSURE TliAT ALL MATERIALS, EQUIPMENT AND WORK OPERATIONS ARE IN CON- FORMITY WITH CAL-OSHA STANDARDS AND THAT ALL NECESSARY PRECAUTIONS ARE UNDERTAKEN AT ALL WORK AREAS WHICH MAY CONSTITUTE A HAZARD TO PROPERTY ANDIOR LIFE. 1. THE LICENSEE AGREES TO SAVE FROM HARM AND TO PROTECT THE CITY, ITS ELECTIVE AND APPOINTIVE DOARDS, COMMISSIONS, OFFICERS, AGENTS AND EMPLOYEES FROM EVERY CLAIM OR DEMAND WHIC~i MAY BE MADE BY REASON OF: 3 2. ANY INJURY TO PERSONS OR PROPERTY SUSTAINED BY THE LIC- ENSEE OR BY ANY PERSON, FIRM OR CORPORATION EMPLOYED DIRECTLY OR INDIRECTLY BY HIM UPON OR IN CONNECTION WITH HIS WORK, HOW- EVER CAUSED. 3. ANY INJURY TO PERSON OR PROPERTY SUSTAINED BY ANY PERSON, FIRM OR CORPORATION, CAUSED BY ANY ACT, NEGLECT, DEFAULT, OR OMISSION OF THE LICENSEE . OR OF ANY PERSON, FIRM OR CORPOR- ATION, DIRECTLY OR INDIRECTLY EMPLOYED BY HIM UPON OR IN CON- NECTION WITH HIS WORK WHETHER THE SAID INJURY OR DAMAGE OCCURS UPON OR ADJACENT TO THE WORK. THE LICENSEE AT HIS OWN COST, EXPENSE AND RISK SHALL DEFEND ANY AND ALL ACTIONS, SUITS, OR OTHER LEGAL PROCEEDINGS THAi MAY BE BROUGHT OR INSTITUTED AGf-\IH5T THE CITY ON ANY SUCH CLAIM OR DE~~ND, AND PAY OR SATISFY THE JUDGMENT THAT MAY BE RENDERED AGAINST THE CITY IN ANY SUCH ACTION, SUIT OR LEGAL PROCEEDINGS OR RESULT:THEREOF. 4. TERM: THE TERM OF THE LICENSE AGREEMENT SHALL BEGIN UPON THE EXECUTION OF THE AGREEMENT BY' THE PARTIES AND SHALL EXP IRE THREE (3) YEARS THERE- AFTER (UNLESS PREVIOUSLY TERMINATED IN ACCORDANCE WITH OTHER PROVISIONS OF THE LICENSE AGREEMENT). 5 . RENTAL: MONTHLY RENTAL SHALL BE A PERCENTAGE OF THE GROSS SALES RECEIPTS OR A GUARANTEED AMOUNT OFFERED BY LICENSEE, WHICHEVER IS GREATER. THE CATEGORIES, AS INDICATED ON THE PROPOSAL FORM, ARE: EITHER RECEIPTS FROM ALL CONCESSION SALES OR A t~ONTHLY RENTAL RATE. SPECIAL ATTENTION SHOULD BE PAID TO THE DEFINITION OF GROSS SALES RECEIPTS SET OUT THERE- IN. THE LICENSEE SHALL PAY TO THE CITY ON A QUARTERLY BASIS A CON- SIDERATION PURSUANT TO THIS AGREEMENT FOR THE OPERATION DURING THE PRECEDING QUARTER. IF SAID CONSIDERATION IS BASED ON THE GROSS SALES RECEIPTS, THE TERM GROSS SALES RECEIPTS IS DEFINED TO MEAN THE TOTAL AMOUNT OF THE SALE PRICE OF ALL SALES, OR THE TOTAL CHARGED OR RECEIVED FOR THE PERFORMANCE OF ANY ACT OR SERVICE (WHETHER SUCH ACT OR SERVICE IS DONE AS A PART OF OR IN CONNECTION WITH THE SALE Of GOODS, WARES,' MERCHANDISE OR NOT), FOR WHICH A CHARGE. IS MADE OR CREDIT IS ALLOWED, INCLUDING ALL RECEIPTS, CASH, CREDITS"AND PROPERTY OF ANY KIND OR NATURE. . IN THE CASE OF VENDING MACHINES, GROSS SALES RECEIPTS SHALL BE A TOTAL AMOUNT TAKEN BY THE VENDING MACHINES AFTER SALES AND EXCISE TAXES. LICENSEE SHALL TRANSMIT WITH HIS RENTAL PAYMENT A MONTHLY GROSS SALES RECEIPTS AND RENT REPORT. THE CITY SHALL PROVIDE A FORM FOR THIS PUR- POSE. THE COMPLETED FORM SHALL INCLUDE A STATEMENT OF THE G~OSS SALES RECEIPTS BY SOURCE OF SALES, AND SUCH OTHER INFORMATION AS THE CITY MAY PROPERLY REQUIRE. THE RENTAL PAYMENT SHALL BE ADDRESSED TO: DIRECTOR Of FINANCE CITY HALL 300 NORTH "0" STREET SAN BERNARDINO, CA. 92418 IN Tile EVENT LICCNS[~ fAILS TO SUI3r~IT 1115 RENTAL PAYNENT BY Tilt: DATe IT 4 IS DUE, AN ADDITIONAL PAYMENT OF TWO PERCENT (2%) OF tHE AMOUNT DUE WILL BE CHARGED FOR EACH MONTH OR FRACTION THEREOF SAID RENT REMAINS UNPAID. THIS CHARGE IS INTENDED TO COMPENSATE CITY FOR ADDITIONAL ACCOUNTING AND ADMINISTRATIVE COSTS. 6. IMP ROVEMENTS : AS SET OUT IN THE SPEC IFICATIONS FOR THE SUBJECT CONCESS ION. NO If'1PROVE- MENTS MAY BE MADE BY LICENSEE UNLESS SPECIFICALLY AUTHORIZED BY THIS AGREEMENT OR PERMIT. HOWEVER, CITY SHALL HAVE THE RIGHT TO AUTHORIZE LICENSEE TO MAKE ADDITIONAL IMPROVEMENTS, AND THE CITY MAY AUTHORIZE LICENSEE TO MAKE MINOR IMPROVEMENTS, INCLUDING UTILITY CHANGES ~1t-lEN THEY DEEM SUCH IMPROVEMENTS TO BE IN CITY'S BEST INTEREST.. IN ADDITION, CITY MAY, FROM TIME TO TIME, MAKE CERTAIN IMPROVEMENTS WHICH IT DEEMS TO BE ADVANTAGEOUS OR NECESSARY FOR THE PROTECTION OF PUBLIC PROPERTY. UNLESS SPECIFIED IN THIS AGREEMENT OR IN SUBSEQUENT AUTHORIZATION~ IMPROVEMENTS MADE AT THE SOLE COST AND EXPENSE OF LICENSEE ARE WITHOUT REDUCTION IN RENTALS OR ANY OTHER FINANCIAL COMPENSATJON BY THE CITY. 7. LIABILITY: LICENSEE SHALL FILE WITH THE CITY, UPON EXECUTION OF THIS LICENSE AGREE- MENT BY LICEN5S, TWO COPIES OF A POLICY OF PUBLIC LIABILITY AND PROPERTY DAMAGE INSURANCE IN THE FOLLOWING AMOUNTS: A. ONE HUNDRED THOUSAND DOLLARS (100,000) BODILY INJURY EACH PERSON. B. THREE HUNDRED THOUSAND DOLLARS ($300,000) BODILY INJURY EACH OCCURRENCE. C. T~'ENTY-F IVE THOUSAND DOLLARS ($ 25,000) PROPERTY DAt4AGE; AND WHICH MEETS THE FOLLOWING REQUIREMENTS: 1. NO DEDUCTIBLE CLAUSE IS PERMITTED. '2. THERE IS TO BE NO AGGREGATE AMOUNT.. 3. PROVIDES COVERAGE FOR "ALL OPERATIONS Of THE INSURED CONDUCTED ON CITY PROPERTY," AND CONTAINS A DESCRIPTION OF THE WORK PERFORMED BY THE INSUREDj (THIS MAY REQUIRE POLICY (IES) COVERING PREMISES OCCUPIED, PRODUCTS SOLD, AMUSEMENT LIABILITY OR AUTOMOBILES USED). 4. ALL SIGNATURES MUST BE HANDWRITTEN ON ANY POLICY CERTI- FICATE, OR ENDORSEMENT: RUBBER STAMP SIGNATURES ARE NOT ACCEPTABLE. 5. THE CITY OF SA~~ OERNARDINO SHALL BE NAf-1E9 AS AN ADDITIONAL INSURED AS RESPECTS ALL OPERATIONS OF THE INSURED. G. SAID POLICY SHALL CONTAIN A CANCELLATION CLAUSE READING II.: SUBSTANCE AS THE FOLLOWING APPROVED NOTICE; I'IT IS AGRE[D 5 -" THAT THIS POLICY SHALL NOT BE CANCELLED OR THE AMOUNTS OF COVERAGE PROVIDED HEREIN REDUCED UNTIL THIRTY (30) DAYS AFTER THE CITY SHALL HAVE EVIDENCED BY RETURN RECEIPT OF REGISTERED MAIL." 7. NO POLICY SHALL BE ACCEPTABLE UNLESS FIRST APPROVED BY THE CITY. ~ c. FAITHFUL PERFORMANCE BOND: THE LICENSEE SHALL FURNISH A FAITHFUL PERFORMANCE BOND OR CERTIFIED CHECK TO THE CITY OF SAN BERNARDINO IN THE AMOUNT OF $500 WHICN SHALL BE SUB- JECT TO THE APPROVAL OF THE CITY OF SAN BERNARDINO AND SAID BOND SliALL BE IN ACCORDANCE WITH ORDINANCE f.821, SE~TION 2400, AND THE CORPORATION ISSUING SAID BOND SHALL HAVE A RATING IN BEST'S INSURANCE GUIDE OF "A" OR HIGHER. 9. DEFAULT AND CANCELLATION: IN THE EVENT THAT LICENSEE SHALL DEFAULT II~ THE PERFORMANCE OR FULFILL- MENT OF ANY COVENANT OR CONDITION tiEREIN CONTAINED, NEGLECTS OR REFUSES TO PAY THE CONSIDERATION OR ANY PART THEREOF WITHIN THIRTY (30) DAYS AFTER THE SAME IS DUE, THEN CITY MAY, AT ITS OPTION WITHOUT NOTICE OR DEMAND UPON LICENSEE OR UPON ANY PERSON CLAIMING BY, THROUGH OR UNDER LICENSEE, IMMEDIATELY CANCEL AND TERMINATE THIS AGREEMENT AND TERMlt~ATE EACH AND EVERY RIGHT OF LICENSEE AND SUCH PERSON, IN WHICH EVENT THE PREt-11 SES SHALL REVERT. TO CITY, TOGETHER WI TH ANY AND ALL I NPROVEMENTS PLACED THEREON AND TH Eel TY HAY THEREUPON ENTER I NTO AND UPON THE LEt,S ED PREMISES AND REPOSSESS THE SAME AND EXPEL LICENSEE AND ANY EMPLOYEE, AGENT OR OTHER REPRESENTATIVE OF THE LICENSEE. THE RIGHTS AND REr~EDIES OF THE CITY, AS HEREINABOVE SET FORTH, ARE CUMULATIVE AND SHALL IN t~O WAY DE 'DEEMED TO LIMIT ANY OF THE OTHER PROVISIONS OF THIS LEASE OR OTHERWISE TO DENY TO THE CITY ANY RIGHT OR REMEDY AT LAW OR IN EQUITY WHICH THE CITY MAY HAVE OR ASSERT AGAINST LICENSEE UNDER ANY LAW IN EfFECT AT THE DATE HEREOF OR WHICH 'v1AY HEREf\FTER BE ENACTED OR BECONE EffECTIVE; IT BEING THE INTENT HEREOF THAT THE RIGHTS AND REMEDIES OF THE CITY, AS HEREINABOVE SET FORTH, SHALL SUPPLEMENT AND BE IN ADDITION TO AND IN AID OF THE OTHER PROVISIONS,OF THIS LEASE AND OF ANY RIGHT IN ADDITION TO THE ABOVE CONSIDERATIONS.- THIS LEASE MAY BE TERM- INATED BY MUTUAL CONSENT BY GIVING A THIRTY (30) DAY WRITTEN NOTICE. 10'. ASSIGNMENT, SUBLEASE: LICENSEE SHALL NOT ASSIGN THIS LEASE OR ANY INTEREST THEREIN OR SUBLET THE LEASED PREMISES, OR ANY PART THEREOF, OR ANY RIGHT OR PRIVILEGE APPURTENANT TO IT, OR ALLOW ANY PERSON OTHER THAN LICENSEE AND HIS AGENTS AND EMPLOYEES TO OCCUpy OR USE T~IE PREMISES WITHOUT THE PRIOR WRITTEN CONSENT OF THE CITY. ANY UNAUTHORIZED ASSIGNHENT OR SUBLEASE SHALL BE VOID, AND SHALL TERMINATE THIS LEASE AT T~IE CITY'S OPTION. 11. BUS I tJES 5 RECORDS: LICENSEE SHALL BE REQUIRED TO f'\AINTAIN ^ ME1HOD OF ACCOUNTING Or- THE RECEIPJS AND DlSBURSENENTS IN CONNECTION \-IITI1 THE SUOJCCT CONCeSSION \~HICIi SHALL CORRECTLY AtJD ^CCURATELY ReFLeCT TIlE CJ;.OSS SALES RECEl PTS c AND DISBURSEMENTS RECEIVED OR MADE BY LICENSEE FROM THE OPERATION AND CONCESSION. THE METHOD OF ACCOUNTING, INCLUDING BANK ACCOUNTS, ESTABLISHED FOR THE SUBJECT CONCESSION SHALL BE SEPARATE FROM THE ACCOUNTING SYSTEM USED FOI~ ANY OTHER BUSINESS OPERATED BY LICENSEE OR FOR RECORDING LICENSEE'S PERSONAL FINANCIAL AFFAIRS. SUCH METHOD SHALL INCLUDE THE KEEPING OF , THE FOLLOWING DOCUMENTS: 1. REGULAR BOOKS OF ACCOUNTING, SUCH AS GENERAL LEDGERS. 2. JOURNALS INCLUDING ANY SUPPORTING AND UNDERLYING STATEf.1EIJTS" ETC. 3. STATE AND FEDERAL INCOME TAX RETURNS AND SALES TAX RETURNS AND CHECKS AND OTHER DOCUMENTS PROVIDING:PAY~lENT OF SUMS SHOWN. 't. CASH REGISTER TAPES OR RECEIPTS (DAILY TAPES OF RECEIPTS SHALL NOT BE SEPARATED AND SHALL BE RETAINED ON CONTINUOUS ROLLS, SO THAT FROM DAY TO DAY THE SALES CAN BE IDENTIFIED). 5. ANY OTHER ACCOUNTING. RECORDS THAT THE CITY, AT ITS DISCRETION DEEMS NECESSARY FOR PROPER REPORTING OF RECEIPTS. ALL DOCUMENTS, BOOKS AND ACCOUNTING RECORDS SHALL BE OPEN FOR INSPEC- TION Ar~D REINSPECTION AT ANY REASONABLE TIME DURING THE TERM OF THE LICENSE AGREEMENT OR PERMIT AND FOR A REASONABLE PERIOD, NOT TO EXCEED ONE YEAR, THEREAFTER. IN ADDITION, CITY MAY FROM TIME TO TIME CONDUCt AN AUDIT AND REAUDIT OF THE BOOKS AND BUSINESS CONDUCTED BY LICENSEE AND OBSERVE THE OPERATION SO THAT ACCURACY OF THE ABOVE RECORDS CAN BE CONFIRMED. IF THE REPORT OF GROSS SALES fvlADE BY LICENSEE TO THE CITY SHALL BE FOUND TO BE LESS .THAN THE AMOUNT OF GROSS SALES, DISCLOSED BY SUCH AUDIT AND OBSERVATION, LICENSEE SHALL PAY THE CITY WITHIN THIRTY (30) DAYS AFTER BILLING ANY ADDITIONAL RENTALS DISCLOSED BY SUCH AUDIT. IF DISCREPANCY EXCEEDS TWO PERCENT (2%) AND NO REASONABLE EXPLANATION IS GIVEN FOR SUCH DISCREPENCY, LICENSEE SHALL ALSO PAY THE COST OF THE AUDIT. LICENSEE SHALL TRANSMIT A PROFIT AND LOSS STATENENT AND A BALANCE SHEET FOR THE. LICENSED OPERATIONS, PREPARED IN A FORM ACCEPTABLE TO THE CITY WITHIN SIXTY (60) DAYS OF THE CLOSE OF EACH OF:LICENSEE'S FISCAL OR CALENDAR YEARS DURING THE TERM OF THE LICENSE AGREEMENT. THE PROFIT AND LOSS STATEMENT SHALL SET FORTH AN EXPENSE ACCOUI~T ENTITLED "COM- PENSATION TO OFFICERS" OR AbI ACCOUNT HAVING SOME 'SIMILAR TITLE. THE AMOUNT SHOWN OPPOSITE THIS ITEM SHALL INCLUDE ALL SALARIES OR OTHER COM- PENSATION FOR SERVICES DERIVED FROM THE LICENSED OPERATION BY LICENSEE, MEMBERS OF HIS FAMILY, OFFICERS OF THE LICENSEE'S CORPORATION, DIRECTORS, SHAREHOLDERS, ANY INDIVIDUAL OWNING STOCK INDIRECTLY AND OTHER PERSONS EMPLOYED BY LICENSEE TO MANAGE THE OPERATIONS OR SUPERVISE'LICENSEE'S EMPLOYEES. THESE SALARIES OR OTHER COMPENSATION SHALL NOT BE INDICATED IN ANY OTHER EXPENSE CATEGORY. ALL INFORHATION OBTAINED IN c()r~N[CTION HITII CITY'S ItJSPECTIOr-.JS OF P.ECOP-DS OR AUDITS SHALL BE RECEIVED AND f1AINTAINED IN CONFIDENCE AND SHALL t.JOT BE DISCLOSED TO ANYONE NOT DIRECTLY CONNECTED \~ITH THE OFFICIAL BUSII'~ESS OF THE CITY. Dr:FORE BEGINNING OPERATIONS, LICENSEE SHALL CONTACT THE FIN^NCE DEPARTHENT TO ARRANGE FOR OTItER ZPECIFIC ^CCOUt,!TING RECORDS 7 AND PROCEDURES. J2. REGULATIONS1 INSPECTION AND DIRECTIVES: A. LAW AND ORDINANCES: LICENSEE SHALL CONDUCT HIS BUSINESS IN ACCORDANCE WITH ALL LAWS, ORDINANCES, RULES AND REGULATIONS APPLICABLE TO SUCH BUSINESS AS SET FORTH BY THE CITY, COUNTY, STATE AND FEDERAL GOVERNMENT. B. RIGHT OF INSPECTION: AUTHORIZED "CITY REPRESENTATIVES, AGENTS AND EMPLOYEES SHALL HAVE THE RIGHT TO ENTER UPON THE LICENSED PREMISES AT ANY AND ALL R~ASONABLE TIME FOR THE PURPOSE OF INSPECTION AND OBSERVATION OF LICENSEE'S OPERATIONS. SAID INSPECTIONS MAY BE MADE BY PERSONS IDENTIFIED.TO LICENSEE AS CITY ENPLOYEES, SUPERVI SORS, ETC. I NSPECTI ONS Iw1AY BE MADE FOR THE PURPOSE SET FORTH BELOW; HOWEVER, THE ENUMERATIONS BELOW SHALL NOT BE CONSTRUED TO LIMIT THE CITY'S RIGHT OF INSPECTION FOR ANY PURPOSE INCIDENTAL TO THE RIGHTS OF THE CITY: 1. TO DETERMINE IF THE TERMS AND CONDITIONS OF THE AGREEMENT ARE BEING COMPLIED' WITH'. 2. TO OGSERVE TRANSACTIONS BETWEEN LICENSEE AND PATRONS II~ ORDER TO EVALUATE THE COURTESY EXTENDED TO AND METHOD OF DEALING WITH T~IE PUBLIC, THE PERFORMANCE AND CALIBER OF LICENSEE'S EMPLOYEES, AND THE METHODS FOR RECORDING RECEIPTS. THE INFORMATION OBTAINED ON THESE INSPECTIONS WILL BE USED TO EVALUATE LICENSEE IN ORDER TO PROVIDE A BASIS FOR AN ACTION BY THE CITY FOR THE RENEWA~ OR DENIAL OF RENEWAL OF THE CONCESSIONS. .13:. LICENSEE SHALL QU I T AND SURRENDER pass ESS ION OF SAI D PREMI SES TO THE CITY IN AS GOOD AND USEABLE A CONDITION, SUBJECT TO NORMAL WEAR AND TEAR, ACCEPTABLE TO THE CITY, AS THE SAME WERE IN AT THE TIME Of THE FIRST OCCUPATION THEREOF BY LICENSEE. 14. BID FORMS AND INSTRUCTIONS: A. PROPOSAL INSTRUCTIONS: PROPOSAL5 SHALL BE MADE ON THE PROPOSAL FORM PRUVIDED AND SHALL CONFORM TO THE REQUIREMENTS SET fORTH IN THE SPECIFICATIONS. FAIL- URE Tu COMPLETE ANY PORTION OF THE PROPOSAL FORM SHALL BE A OASIS FOR REJECTION OF THE PROPOSAL. -NO TELEGRAPHIC PROPOSALS OR TELE- GRAPHIC MODIFICATION OF A PROPOSAL WILL BE CONSIDERED. IF THE PROPOSAL IS MADE BY AN INDIVIDUAL, IT SHALL BE SIGNED WITH FULL NAME OF PROPOSER AND HIS ADDRESS SHALL DE GIVEN. IF IT IS MADE BY A PAR TNERSH I P, I T SHALL BE SIGNED \~ I TH THE PAR TNERSH I p' NAt-1E BY ONE OF THE PARTNERS AND THE fULL NAME AND ADDRESS OF EACH PARTNER SHALL BE GIVEN. IF IT IS MADE BY A JOINT VENTURE, IT SHALL OE SIGNED WITH THE FULL NAME AND ADDRESS OF EACH r~EHBER THEREOF. IF IT IS t<\t\DE BY A CORPORATION, IT SHALL BE SIGNCD OY THE PRESIDENT AND SECRCTARY IN THE CORPORt,TE NAME AND TilE CORPORATE SEAL SIIALL BE AffIxeD In THE 8 .. . PLACE INDICATED. NO PROPOSAL WILL BE CONSIDERED, UNLESS IT COMPLIES WITH THESE SIGNATURE REQUrREMENTS. AS PART OF THE PROPOSAL FORM, THE PROPOSER MUST INCLUDE A SCHEDULE OF EXPERIENCE, A STATEMENT OF PERSONAL HISTORY, A SCHEDULE OF EQUIP- MENT AND A SCHEDULE OF PROPOSED INVENTORY. ADDITIONAL SHEETS MAY BE ATTACHED AS REQUIRED. IF THE PROPOSAL IS SUBNITTED BY A PARTNERSHIP OR JOINT VENTURE, THE STATEMENT OF PERSONAL HISTORY WILL BE COMPLETED BY EACH MEMBER THERE- OF. IF THE PROPOSAL IS SUBMITTED BY A CORPORATION, THE STATEMENT WILL BE COMPLETED BY ALL OFFICERS OF THE CORPORATION. THE STATEMENT REGARDING PERSONAL HISTORY MUST INCLUDE CREDIT REFERENCES. IF THE PROPOSER IS A PARTNERSHIP OR JOINT VENTURE, INDIVIDUAL STATE- NENTS MUST BE SUBMITTED FOR EACH MEMBER THEREOF. AS,PART OF THE PRO- POSAL FORM, THE PROPOSER MUST ALSO INCLUDE A STATEMENT OF CONCESSION EXPERIENCE B. PROPOS^L CHECK: EACH PROPOSER SHALL SUBMIT WITH THE PROPOSAL FORM A CHECK, CERTIFIED BY A BANK IN THE CITY OF SAN BERNARDINO AND PAYABLE TO THE ORDER OF SAID CITY AS A GUARANTEE THAT THE PROPOSER \~ILL ENTER INTO A LICENSE AGREEMENT, IF IT IS A\-/ARDED TO HIM. THE AI~.iOUNT OF SAID CHECK SHALL BE $25 AND NO PROPOSAL WILL BE CONSIDERED,'UNLESS IT IS ACCOMPANIED BY SUCH CHECK. ALL CHECKS ACCOMPANYING REJECTED PROPOSALS WILL BE RETURNED. THE CHECK ACCOMPANYING THE SELECTED PROPOSAL WILL fiE RETUR~ED IF THE SUCCESSFUL PROPOSER: 1. ~NTERS INTO AN AGREEMENT WITHIN TEN (10) DAYS AFTER IT IS FORWARDED TO HIM FOR EXECUTION; AND, 2. PROVIDES A FAITHFUL PERFORMANCE BOND,. A CERTIFIED CHECK, OR A CASH DEPOSIT IN THE AMOUNT OF $500 WITHIN TEN (10) DAYS AFTER THE AGREEMENT IS EXECUTED BY THE CITY. (THE fAITHFUL PERFORMANCE BOND SHOULD NOT BE OBTAINED UNTIL THE PROPOSER IS NOTIFIED THAT HIS PROPOSAL HAS BEEN SELECTED). IF THE SUCCESSFUL PROPOSER DOES NOT MEET THE ABOVE.REQUIREMENTS, THE SUM GUARANTEED BY HIS CHECK SHALL BE AVAILABLE TO REIMBURSE THE CITY FOR ANY COSTS OCCASIONED BY REASON OF NON-COMPLIANCE. IF HE DOES MEET THE REQUIRENENTS, HIS CHECK WILL BE RETURNED WITHIN FIFTEEN (15) DAYS OF COMPLIANCE. 3. NOTICE OF COLLUSION OR SHAH: EACH PROPOSAL HUST NOT BE A SHAM OR COLLUSIVE, OR MADE IN THE IN- TEREST OR ON BEHALF OF ANY PERrON NOT THEREIN NAMED. 9