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HomeMy WebLinkAbout07- Redevelopment Agency REbEVELOPMENT AGENCY-RkOUEST FOR toJMMISSION/COUNCIL AC v ION ""-om: Glenda Saul, Executive Director Subject: PUBLIC ENTERPRISE CENTER LIBRARY LEASE "ept: Redevelopment Agency � z Date: January 25, 1988 Synopsis of Previous Commission/Council action: 6/05/75 Resolution 3069 authorized lease of land to Operation Second Chance (OSC) for the development of a Public Enterprise Center. 10/06/80 Resolution 4106 — Disposition and Joint Development Agreement with Operation Second Chance for adjacent property. 01/09/84 Resolution 4567 authorized amendment to lease agreement (unexecuted). A 06/17/85 Motion to declare OSC in default (continued). (continued on page 2) Recommended motion: (MAYOR AND COMMON COUNCIL) A) MOVE TO ADOPT A RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF A LEASE WITH THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO RELATING TO `. THE PUBLIC ENTERPRISE CENTER — LIBRARY. (COMMUNITY DEVELOPMENT COMMISSION) _ B) MOVE TO ADOPT A RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO AUTHORIZING AND DIRECTING THE EXECUTION OF A LEASE FOR THE PUBLIC ENTERPRISE CENTER — LIBRARY. Signature Contact person: Glenda Saul Phone: 383-5081 Supporting data attached: YES Ward: 6 FUNDING REQUIREMENTS: Amount: $ 1st yr $2,130 project: NW No adverse Impact on City: 3rd yr $2,310 Date: February 1, 1988 ncil Notes: 3476r/.Sr/my 02/01/88 Gnanrin Itam Nn a Synopsis of previous Commission/Council action: (continued from page 1) 07/15/85 Motion to continue to 08/05/85 in order to receive report from Ways and Means Committee (sub committee). 08/05/85 Continued to 08/19/84 to hear Ways and Means report. 08/19/85 Continued until Ways and Means recommends action. 09/09/85 Commission Resolution 4793 authorized execution of - First Amendment to Land Lease. 09/23/85 Resolution 85-380 authorizing amendment to First Amendment for Dorothy Inghram Library facilities. 06/86 Bankruptcy filed. F 11/86 Court order - Agency regains possession of Public Enterprise facility. 12/08/86 Motion ratifying short term tenancy agreement that exists between Operation Second Chance and others, Public Enterprise Building. 04/30/87 Commission continued repair of air conditioner until the next meeting in order to obtain additional bids. t z 3476G/SG/mv 02/01/88 S T A F F R E P O R T On October 22, 1987 the Redevelopment Committee directed the Agency and City staff to meet jointly to resolve issues on Public Enterprise Center Leases. Library representatives attended the meeting on November 19, 1987, and agreed with the following terms and conditions: Term: 3 years (Two 3 year extensions provided on "Best Efforts" basis.) Area: 3,000 SF i Rent: 1st year — .71f/SF 2nd year — .741/SF 3rd year — .771/SF 4th year — rate will be negotiated at the end of first 3 year period if leaseholders wish to extend with a target rate of .80i/SF. Inspection: A mutual inspection shall occur before signing lease. Termination: A termination option on part of either party is provided for 1st and 2nd anniversary dates. On January 14, 1988 the Library Board reviewed the proposed lease and requested that the lease provide a clause giving the Library an opportunity to purchase Library furniture held by Mechanics Bank in the Operation Second ti Chance Bankruptcy, if provided to the RDA. Staff and Redevelopment Committee recommend approval of the Library Lease. 3476G/SG/mv 02/01/88 I RESOLUTION NO. 2 RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF A LEASE WITH THE REDEVELOPMENT AGENCY OF THE CITY OF 3 SAN BERNARDINO RELATING TO THE PUBLIC ENTERPRISE CENTER - LIBRARY. 4 BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY 5 OF SAN BERNARDINO AS FOLLOWS: 6 SECTION 1. The Mayor is hereby authorized and directed to 7 execute on behalf of said City a Lease with the Redevelopment 8 Agency of the City of San Bernardino, which lease is attached 9 hereto, marked Exhibit 'A' , and incorporated herein by reference 10 as fully as though set forth at length. 11 I HEREBY CERTIFY that the foregoing resolution was duly 12 adopted by the Mayor and Common Council of the City of San 13 14 Bernardino at a meeting thereof, held on 15 the day of , 1988, by the following vote, to wit: 16 AYES: Council Members 17 18 NAYS: 19 20 ABSENT: 21 22 City Clerk 23 24 25 26 27 28 1-21-88 1 Reso for Agreement w/RDA-PEC-Library 1 The foregoing resolution is hereby approved this day E 2 of 1988. - 3 4 Mayor of the City of San Bernardino 5 Approved as to form and legal content: 6 f, C ' `y Attorney 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 1-21-88 2 1 RESOLUTION NO. 2 RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO AUTHORIZING AND DIRECTING THE EXECUTION OF 3 A LEASE FOR THE PUBLIC ENTERPRISE CENTER - LIBRARX,. ,; 4 BE IT RESOLVED BY THE COMMUNITY DEVELOPMENT COMMISSION OF 5 THE CITY OF SAN BERNARDINO AS FOLLOWS: 6 SECTION 1. The Chairman and Secretary of the Community 7 Development Commission of the City of San Bernardino are hereby 8 authorized and directed to execute for and on behalf of the 9 Redevelopment Agency of the City of San Bernardino a lease 10 between the Redevelopment Agency of the City of San Bernardino 11 and the City of San Bernardino, with such non-substantive changes 12 to said lease as may be approved by the Chairman and Agency 13 Counsel. A copy of said lease is attached hereto as Exhibit "1" 14 and incorporated herein by this reference as though fully set 15 forth at length. 16 Dated: 17 AGENCY COUNSEL: 18 Approved as to form: 19 20 By ' G Denni . 21 The foregoing resolution was duly adopted by the following 22 vote, to wit: 23 AYES: Members 24 25 NAYS: 26 ABSENT or 27 ABSTAIN: 28 1-21-88 1 SECRETARY'S CERTIFICATE OF ADOP71ON AND AUTHENTICATION 1, ; Development Commission, DO HEREBY CERTIFYcthat he attached Resolution is a true and correct copy of Resolution No. a .19 , by the Community Development Commission of the City of San Bernardino,Ty—the vote set forth below, and that said Resolution has not been amended or repealed. Check 41 Appropriate Box COMMISSION MEMBERS YEAS NAYS ABSENT SENT ABT_ f Esther Estrada D D D El Jack Reilly D D D D c Jess Flores D D � 1J D D _ Michael Maudsley D ' D El D T Tom Minor D D D i (� D Va1Prip Pnnp-T lf,jjgrn ❑ D D D NnrinP Miller D D D � DATED: .193_ Secretary of the Community Development Commission of the City of San Bernardino (SEAL) 1 L E A S E �. 2 CITY OF SAN BERNARDINO - 3 ("PUBLIC ENTERPRISE CENTER" - LIBRARY) b THIS LEASE effective as of July 1, 1987, by and between the 6 Redevelopment Agency of the City of San Bernardino, a public 7 body, corporate and politic of the State of California 8 (hereinafter called "Lessor') , and the City of San Bernardino, a 9 municipal corporation (hereinafter called 'Lessee') . 10 WITNESSETH: 11 WHEREAS, Lessor owns the real property located at 1505 West 12 Highland Avenue, San Bernardino, California, where the premises 13 are located; and 14 WHEREAS, heretofore the Lessor has received an Order from 15 the Bankruptcy Court to take possession of the premises from 4 16 Operation Second Chance, Inc . , the previous Lessor of the F - 17 premises pursuant to the certain lease dated February 15, 1982, 18 between Operation Second Chance, Lessor , and the City of San 19 Bernardino, Lessee. 20 NOW, THEREFORE, THE PARTIES HERETO AGREE AS FOLLOWS: 21 1. Lessor does hereby demise and let unto Lessee the 22 following described premises , to wit: a portion of the building 23 located at 1505 West Highland Avenue , San Bernardino, California , 24 which portion of said building is described as follows: an area 25 of approximately 3 ,000 square feet on the main floor known as the 26 library area number one, the location of which is shown on 27 Exhibit "A" attached hereto and incorporated herein. 28 1 1 TO HAVE AND TO HOLD the same , with the appurtenances 2 thereunto belonging unto the Lessee for and during the term of 3 three years , beginning on the 1st day of July, 19871 . and ending 4 on the last day of June , 1990, at a rental schedule as more 5 particularly set forth in Exhibit "B" attached hereto and 6 incorporated herein by reference. 7 Upon the expiration of this Lease, Lessee has an option to 8 renew for two successive three-year terms subject to the parties 9 using their best efforts to negotiate a mutually agreeable rental 10 rate. 11 Either party, with or without cause, may terminate this 12 lease effective June 30, 1988, or June 30, 1989, by providing 13 written notice to the other party at least sixty (60) days prior 14 to such termination date. 15 2. Lessee herein covenants by and for itself and its 16 assigns, and all persons claims under or through it , and this _ 17 Lease is made and accepted upon and subject to the following 18 conditions: 19 That there shall be no discrimination against or 20 segregation of any person or group of persons , on account of 21 race, color , creed , religion , sex , marital status , national 22 origin, ancestry or physical handicap, in the leasing, 23 subleasing, transferring , use , occupancy, tenure, or enjoyment of 24 the premises herein leased nor shall the Lessee itself , or any 25 person claiming under or through it , establish or permit any such 26 practice or practices of discrimination or segregation with 27 reference to the selection , location , number , use or occupancy, 28 2 i 1 of tenants, lessees , sublessees , subtenants, or vendors in the 2 premises herein leased . 3 3. Lessee does hereby covenant and agree with said Lessor 4 to: 5 (a) Pay said rent at the time and place and in 6 the manner aforesaid; 7 (b) Use and occupy said premises for office and 8 public library purposes only and in a careful 9 and proper manner; 10 (c) Not commit any waste therein; 11 (d) Not use or occupy said premises for any 12 unlawful purpose; and to conform to and 13 obey all present and future laws and 14 ordinances , and all rules , regulations , 15 requirements 4 and orders of all governmental 16 authorities or agencies , respecting the use 17 and occupation of (but not repairs or 18 alterations in or to) the demised premises; 19 (e) Not assign this lease, or underlet said 20 premises , nor any part thereof, without 21 the written consent of the Lessor; which 22 consent shall not unreasonably be withheld. 23 Any assignee or sublessee shall obtain and 24 maintain a policy of liability insurance 25 covering its operations in an amount not less 26 than one million dollars ($1,000 ,000) combined 27 single limit and naming the Redevelopment 28 3 I Agency or the City of San Bernardino, its 2 officers, agents and employees as additional 3 insureds . Such policy of insurance shall be 4 kept in full force and effect during tbe- 5 entire term of the assignment or sublease; 6 (f) Not use or occupy said premises , or permit 7 the same to be used or occupied, for any 8 purpose or business deemed extra-hazardous 9 on account of fire or otherwise; 10 (9) Make no alterations or additions in or to 11 said premises without the written consent 12 of said Lessor , which consent shall not 13 unreasonably be withheld; 14 (h) Leave the premises at the expiration or 15 prior termination of this lease or any 16 renewal or extension thereof, in as 17 good condition as received, excepting 18 reasonable wear and tear , and excepting 19 damage arising from the negligence or 20 default of the Lessor , its agents, employees , 21 or from any of the causes set forth in 22 paragraph 5 (a) ; 23 (i) Permit the Lessor to enter upon said 24 premises at all reasonable time to examine 25 the condition of the same; 26 (j) Indemnify and save harmless the Lessor from 27 and against any loss , damage and liability 28 4 1 occasioned by, growing out of, or arising 2 or resulting from any default hereunder, or $ tortious or negligent act on the part of 4 Lessee, its agents or employees; 5 (k) Not to inscribe, paint , affix , or ~display 6 any sign, advertisement or notice on any 7 doors, windows or walls of said building 8 without the prior written consent of the 9 Lessor. Lessor shall provide Lessee with 10 area display for occasional announcement 11 of events , activities, or notices; t 12 (1) Abide by all rules and regulations adopted 13 by Lessor for the reasonable conduct of the 14 operation and control of said premises as 15 initially shown on Exhibit "E" attached 16 hereto and incorporated herein , provided _ 17 such rules and regulations will not bee 18 inconsistent with operating a public library; 19 (m) Pay and be liable for all costs , damages and 20 reasonable attorney's fees incurred by the 21 Lessor in any successful action or proceeding 22 in court taken to enforce the obligations hereof, 23 and any judgment rendered in favor of the Lessor 24 in any such action shall be a lien upon the 25 right of possession of the Lessee in said 26 demised premises; 27 (n) Maintain and replace the plastic protector 28 5 1 floor mats under all chairs that move on rollers 2 as initially provided by Lessor , in Qrder to 3 minimize wear and tear and damages to the 4 property; b (o) Keep the inside of the premises in good order 6 and repair , during the term, and upon failure 7 so to do, the Lessor shall have the right to 8 give notice in writing to the Lessee 4 9 specifying the damages caused by or arising 10 from the negligence of the Lessee, excepting 11 reasonable normal wear and tear; the Lessor 12 shall have the right to make such repairs and 13 to add the amount of the cost of them to the 14 rent due under this lease on the first day of 15 the month following the date of the repairs; 16 and the cost of such repairs shall be, and f - 17 constitutes , such rent , together with the rent 18 herein provided for , and except as otherwise t 19 provided as normal repairs made by the Lessor; 20 (p) Pay on demand as part of the rent any increase 21 of premium for insurance of the building or 22 premises , or any part , above the least 23 hazardous rate, for the business mentioned 24 in this lease, that may be imposed in 25 consequence of the use or occupation by the 26 Lessee , or that may be due, in any way, - 27 directly or indirectly, to the use and 28 6 I occupation of the premises by the Lessee; 2 (q) Keep, save and hold harmless the Lessor - - - - 3 from any and all damages and liability for 4 anything and everything whatever arising ' 5 from, or out of, the occupancy by Lessee, 6 and from any loss or damage arising from 7 any fault or negligence by the Lessee, or 8 any failure on the Lessee 's part to comply 9 with any of the covenants , terms and conditions 10 contained in this Lease. 11 4. Lessor on its part covenants an agrees with the Lessee 12 that it will: 13 (a) Pay for electricity, water , refuse, sewage, 14 heat , including supplies , and automobile 15 parking facilities without additional cost 16 to Lessee; 17 (b) Furnish security, janitorial service, and 18 ground maintenance without additional cost 19 to Lessee, as set forth in Exhibit "C" 20 and "D" attached hereto and incorporated 21 herein by reference. 22 5 . It is mutually agreed by and between the Lessor and 23 Lessee that: 24 (a) If, during the term hereof , the demised premises 25 or any part thereof are rendered untenantable 26 by public authority, or by fire or the elements , 27 or other casualty (except such as shall have 28 7 j resulted from the negligence of the Lessee) ssee) , a proportionate part of the rent herein reserved--- --__.--- 3 4 (whether paid in advance or otherwise) , shall be abated and suspended according 9 to the extent 6 Of such untenantability, until the premises are again made tenantable and restored � to their former condition by the Lessor- 8 and if the premises or a substantial part thereof are F 9 thereby rendered untenant 10 able and so remain for a period of sixty (60) days, z 11 the Lessee may at its option, terminate this lease by 12 written notice to the Lessor; provided, 13 however, that if the i premises cannot by 14 reasonable efforts be restored t 15 o their former 16 condition within sixty (60) days, either the Lessor or the Lessee shall have j� the option of _ terminating this lease b 18 Y written notice to the other. _ 19 (b) If the demised premises shall be condemned or 20 acquired by the exercise of the power of eminent 21 domain, then this lease shall 22 terminate at the time possession shall be required,23 q and the Lessee 24 shall be relieved of all future rental payments hereunder. All damage suffered in settlement or 26 awarded for such taking for any public purpose shall belong g to and be the property of the Lessor 2 whether such damage shall be awarded as compensation P ensat 'on i 8 ilk 1 for diminution in value to the leasehold or to the 2 fee of the premises herein demised. -However , Lessee 3 shall be entitled to receive from the condemning 4 agency, but not from Lessor , all expenses which it 5 may reasonably incur in relocating as a result of 6 such condemnation or exercise of the power of eminent 7 domain; 8 (c) All fixtures and/or equipment of whatsoever nature 9 as shall have been installed in the demised premises 10 by the Lessee, whether permanently affixed thereto 11 or otherwise, shall continue to be the property of 12 the Lessee, and may be removed by it at the 13 expiration or termination of this lease or any { 14 renewal or extension thereof; provided , however , 15 the Lessee shall at its own expense repair any 16 injury to the premises resulting from such removal; 17 (d) If the Lessee shall pay the rent as herein d 18 provided, and shall keep, observe and perform all 19 the other covenants of this Lease by it to be kept , 20 performed and observed, the Lessee shall and may 21 peaceably and quietly have, hold, and enjoy the 22 said premises for the term aforesaid; 23 (e) If the Lessee shall at any time be in default in 24 the payment of rent herein reserved , or in the 25 performance of any of the covenants, terms , 26 conditions or provisions of this Lease and the � 27 Lessee shall fail to remedy such default within 28 9 J 1 thirty (30) days after written notice thereof from 2 the Lessor , or if the Lessee shall bi adjudged a 3 bankrupt , or shall make an assignment for the 4 benefit of creditors, or if a receiver of any 5 property of the Lessee in or upon said premises be 6 appointed in any action , suit or proceeding by or 7 against the Lessee, or if the interest of the 8 Lessee in said premises shall be sold under 9 execution or other legal process, it shall be S 10 lawful for the Lessor to enter upon said premises , s 11 and again have, reposses and enjoy the same as if r 12 this Lease had not been made, and thereupon this 13 Lease and everything herein contained on the part 14 of the Lessor to be done and performed shall cease 15 and determine, without prejudice however to the 16 right of the Lessor to recover from the Lessee all 17 rent due up to the time of such entry. In case 18 of any such default and entry by the Lessor , said 19 Lessor may relet said premises for the remainder 20 of said term for the highest rent obtainable , and 21 may recover from the Lessee any deficiency between 22 the amount so obtained and the rent herein reserved; 23 (f) This Lease and all covenants , provisions and 24 conditions herein contained shall inure to the 25 benefit of and be binding upon the successors and 26 assigns of the parties hereto; provided, however , 27 that no assignment from, through or under the Lessee 28 10 I in violation of any of the provisions hereof shall 2 vest in the assigns of any right, title or interest 3 whatever; 4 (g) The Lessee shall be responsible for maintenance and 5 replacement of light bulbs in study carrells provided 6 by Lessor for Lessee 's use. 7 6. By executing this Lease the parties acknowledge that 8 they have mutually inspected the property and agree to accept it 9 in its current condition. 10 7• Any notices to be given under this lease shall be in 11 writing and deposited with the United States Postal Service, 12 Postage prepaid and addressed as follows: 13 CitV Agency 14 City Administrator Executive Director City of San Bernardino Redevelopment Agency 15 300 North "D" Street 300 North "D• Street San Bernardino , CA 92418 San Bernardino, CA 92418 16 t - 17 Nothing in this paragraph shall be construed to prevent the i 18 giving of notice by personal service. E 19 8. The parties understand that Mechanic 's Bank has a J 20 expressed its willingness to sell to Lessor certain furniture 21 which it has received from the aforementioned bankruptcy. Should 22 such a sale materialize, the parties agree that Lessee may 23 instead make such purchase at no cost , expense or liability of 24 Lessor . 25 26 27 28 11 I IN WITNESS WHEREOF, the parties hereto have executed this 2 Lease effective as of the date first hereinabove-written. 3 REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO 4 "Lessor" 5 By 6 Chairman 7 Approved as to form 8 and legal content: 9 Penge'�2 cy G eral Counsel 1 11 CITY OF SAN BERNARDINO ATTEST: "Lessee" 12 t 13 By Mayor 14 City Clerk 15 Approved as to form 16 and legal content: 17 18 i y Attorney 19 20 21 22 23 24 25 26 27 28 12 v*, J ' d ' =Mot Qum L*mY -- - a, s - - s I W J - - - EXHIBIT "B" = RENTAL SCHEDULE 1st year - $0.71 per square foot per month 2nd year - $0.74 per square foot per month 3rd year - $0.77 per square foot per month Area to be occupied: 3 ,000 square feet Monthly Rent: 1st year - $2,130 2nd year - $2,220 3rd year - $2,310 ij- Annual Rent: lst year - $25 ,560 2nd year - $26 ,640 3rd year - $27 ,720 Commencing on the 1st day of July 1987, and ending on the last day of June 1990. The above includes use of security, parking , including supplies , utilities , refuse sewage , and structural insurance expenses. Also includes use of the conference room, multi-purpose meeting room, lobby, display and restrooms. All said rent shall be paid at the office of the Lessor in San Bernardino, California . B - 1 EXHIBIT C Janitorial and Maintenance Specifications Daily Service Empty and clean ashtrays, wastebaskets and other trash receptacles. Remove and deposit all trash into designated pickup containers. Dust all desks, chairs, tables, filing cabinets and all other office furniture. Dust-mop all tile and linoleum floors plus stairs and lounges. Vacuum trails in carpets. Spot clean glass and doors at entrance. Clean and sanitize drinking fountains. Clean washroom fixtures and sanitize. Refill washroom dispensers. Wet-mop washroom floors with detergent and sanitize. Wash splash marks from walls around sinks and mirrors. Keep deodorant blocks in urinals at all times. Sweep porch, steps and sidewalk around buildings. Weekly Service Wash all desks and table tops that are clear of material. Wash all glass doors and aluminum castings on doors. Damp mop all tile and linoleum floors and buff. Vacuum entire carpet. Dust all window sills. Spot clean doors, walls and woodwork. Periodically Strip mop, wax and buff all tile and linoleum floors when needed. Shampoo entire carpet areas when needed. C - 1 r EXHIBIT D f Maintenance of Landscape 1. Now all lawn areas once per week. 2. weeding all planters when needed. 3. Spraying and fertilizing all lawn areas every 60 days. 4 . Spraying of bugs on shrubs when needed. 5. wash all walks and patio once per week. 6. General cleanup on entire landscape areas once per week. F r i t f D - 1 EXHIBIT "E" F "PUBLIC ENTERPRISE CENTER" 02erational Rules and Regulations — 1. Hours of Operation A. The "Public Enterprise Center" will be open for business according to the following schedule: Monday thru Friday - 7 A.M. to 9 P.M. less City Holidays. Saturday - 1 - 5 P.M. Closed Sundays B. Access other than these hours must be obtained in writing from Security Management. 2. Security Management A. Complaints of any kind will be handled by the Security Management. B. Security Management will be the only persons having keys to the outside doors of the building and the Multi-Purpose meeting room and Conference room C. Security Management will be responsible for scheduling activities in the Multi-Purpose meeting room and Conference room. _ D. Security Management will enforce all Building Rules and Regulations. 3. Conference Room and Multi-Purpose Meeting Room A. All Lessees may use the Conference room and Multi-Purpose meeting room. Security Management has the responsibility of scheduling activities; therefore, reservations for said use by Lessees must be made through the Security Guard. B. Reservations for use of the Conference room or Multi-Purpose meeting room must state the date, time beginning and ending of the activity, specific activity, and person responsible for reservation before permission will be granted for said use. E - 1 ° . C. Reservations for use of the Conference room or Multi-Purpose meeting room will not be granted by Security Management for activities considered outside of the functional operation of the Lessee's business such as Political meetings, Parties, Weddings,- Receptions, Community Meetings, etc. , without the written authorization of the Lessor. D. Person responsible for reservation of Conference or Multi-Purpose meeting rooms is also responsible to see that the rooms are cleaned-up to normal wear immediately after use. 4. General Operational Rules A. There will be no unnecessary loud noise throughout the building. B. Any and all office furniture, fixtures, machinery and equipment taken from the building must be checked out with the Security Management. C. There will be no moving of office furniture and fixtures from office to office without the approval of the Security Management. D. No Loitering in the Lobby, and Security will be responsible for enforcing this rule. These Rules and Regulations are subject to change if conditions warrant for reasonable conduct of the Operation and Control of the "Public Enterprise Center' . E- 2