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HomeMy WebLinkAbout12- City Administrator CITY OF SAN BERN. RDINO - REQUEST F R COUNCIL ACTION From: Peggy Ducey, Assistant to the Subject:Resolution regarding the third amendment to Agreement with Metro City Administrator Display Advertising, dba Bustop Dept: Administration Shelters Date: October 7 , 1993 Synopsis of Previous Council action: June 1 , 1990 - Mayor and Common Council approved agreement with Metro Display Advertising, dba Bustop Shelters to construct nineteen shelters . October 23 , 1991 - First amendment approved to construct an additional 13 shelters and 15 bus benches. March 8 , 1993 - Second amendment approved Reorganization Plan and repayment schedule . Recommended motion: Adopt resolution. ��ti Sig Vur e Contact person: Peggy Duce Phone: 5122 Supporting data attached: yes Ward: all FUNDING REQUIREMENTS: Amount: Source: Acct. No. Acct. Description) Finance: Council Notes: Agenda Item No. CITY OF SAN BERW gDINO - REQUEST F 'R COUNCIL ACTION STAFF REPORT On April 16, 1990, the Mayor and Common Council approved Resolution 90-134 between the City of San Bernardino and Bustop Shelters, Inc. to provide bus shelters and non-advertised bus benches at various locations throughout the City. In October, 1991, a first amendment was approved allowing for thirteen ovalt shelters bus benches. Soon after this app Busto p Shelters voluntary reorganization under Chapter 11 of the Federal Bankruptcy Code. Once the reorganization was filed, no action was taken to install the thirteen shelters. Bustop changed management and developed a Plan of Reorganization that was approved by the Mayor and Common Council in March, 1993 and allowed for the timely repayment of all past revenues due to the City. It is expected that the court will approve the reorganization plan in November, 1993. When Council approved the Reorganization Plan, they requested that staff negotiate with Bustop Shelters to install the previously approved bus shelters as soon as possible. Bustop Sheltirs is now able to install the thirteen shelters and will pay the gross advertising revenue that is generated from the rental of advertising space on the shelters. Revenue will be paid on a quarterly basis to the City. RECOMMENDATION Adopt resolution. 75-0264 V 1 RESOLUTION 2 RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF A THIRD AMENDMENT TO AN AGREEMENT BY AND BETWEEN 3 THE CITY OF SAN BERNARDINO AND METRO DISPLAY ADVERTISING,INC.,DOING 4 BUSINESS AS BUSTOP SHELTERS OF CALIFORNIA, INC. 5 BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: 6 7 SECTION 1. The Mayor is hereby authorized and directed to execute on behalf of said 8 City a third amendment to the Agreement by and between the City of San Bernardino and Metro 9 Display Advertising, Inc. doing business as Bustop Shelters of California, Inc., a California 10 corporation, 2692 Dow Avenue, Tustin, CA, 92680. 11 SECTION 2. The authorization to execute the above-referenced amendment is rescinded 12 if the parties to the agreement fail to execute it within sixty (60) days of the passage of this 13 resolution. 14 15 I HEREBY CERTIFY that the foregoing resolution was duly adopted by the Mayor and 16 Common Council of the City of San Bernardino at a meeting thereof, held on the 17 day of 1993, by the following vote, to wit: 18 19 20 21 22 23 24 25 26 27 28 gµ1 1 RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF A THIRD AMENDMENT TO AN AGREEMENT BY AND BETWEEN THE CITY OF 2 SAN BERNARDINO AND METRO DISPLAY ADVERTISING, INC., DOING BUSINESS 3 AS BUSTOP SHELTERS OF CALIFORNIA, INC. 4 COUNCIL MEMBERS AYES NAYS ABSTAIN ABSENT 5 NEGRETE 6 7 CURLIN 8 HERNANDEZ 9 OBERHELMAN 10 DEVLIN 11 POPE-LUDLAM 12 MILLER 13 14 15 City Clerk 16 The foregoing resolution is hereby approved this day 17 18 of , 1993. 19 20 TOM MINOR, Mayor 21 City of San Bernardino 22 Approved as to form 23 and legal content: 24 JAMES F. PENMAN 25 City Attorney 26 By: 27 2 28 1 THIRD AMENDMENT TO AGREEMENT 2 THIS THIRD AMENDMENT TO AGREEMENT is made and entered into this 3 day of , 1993, by and between the CITY OF SAN BERNARDINO, a 4 municipal corporation, 300 North "D" Street, San Bernardino, California 92418 and Metro 5 6 Display Advertising, Inc., herein doing business as BUSTOP SHELTERS OF CALIFORNIA, 7 INC., a California corporation, 2692 Dow Avenue, Tustin, CA 92680 (herein referred to as 8 "Contractor"). 9 WITNESSETH: 10 WHEREAS, the parties hereto entered into that certain Agreement dated June 1, 19909 11 a first amendment, dated October 23, 1991, and a second amendment, dated March 8, 1993, 12 relating to bus shelters at certain bus stop locations throughout the City, and 13 14 WHEREAS, the parties desire now to amend said Agreement to provide an additional 15 thirteen shelters at various locations. 16 NOW, THEREFORE, the parties hereto agree as follows: 17 1. Section 1 of said Agreement is hereby amended to read as follows: 18 "1. Right to Construct 19 a. City hereby grants to Contractor, on the terms 20 21 hereinafter described, a license to construct, erect, install, repair, 22 maintain and insure shelters at nineteen (19) designated bus stop 23 locations on City property, as outlined in the attached Exhibit 24 marked (A). 25 All such shelters shall be completely constructed within 26 three (3) months of the date that this Agreement is executed. 27 28 ///// I b. The City grants to Contractor, on the terms 2 hereinafter described, a license to construct, erect, install, repair, 3 maintain and insure an additional thirteen (13) designated bus stop 4 shelters at locations described in Exhibit C. All shelters shall be 5 completely constructed within three months of the date this 6 7 Amendment to Agreement is executed. 8 2. Section 2 of said agreement is hereby amended to read as follows: 9 112. Fees. 10 a. Contractor shall pay City seventy-five dollars per 11 shelter, per month or sixteen percent (16%) of the gross 12 advertising revenue received by Contractor, whichever is greater, 13 for the rental of advertising space for the nineteen shelters, 14 15 outlined in Exhibit A. 16 b. Contractor shall pay, under the terms of the 17 bankruptcy reorganization, the pre-petition amount owed to City 18 of $14,250, due for the period of April, 1991 through January, 19 1992. This amount is to be paid over a two-year period as 20 21 specified in the Contractor's Plan of Reorganization, as confirmed 22 by the Federal Bankruptcy Court. 23 The post-petition amount owed to City as of March 1, 1993 24 is $18,525, due for period of February 1, 1992 through February 25 28, 1993. The post-petition amount will continue to accrue each 26 month by $1,425 until the Plan of Reorganization is confirmed by 27 28 2 I the Court. All payments thereafter to be made on a quarterly 2 basis. 3 C. Contractor shall pay City 16% of the gross 4 advertising revenue received for rental of advertising space for the 5 thirteen (13) shelters described in Exhibit C. 6 7 3. Section 3 of said agreement is hereby amended to read as follows: 8 113. Term. 9 The term of this Agreement is five (5) years. At the 10 conclusion of this Agreement, the parties may renew or renegotiate 11 the terms and conditions. If the Agreement is not renewed, 12 13 Contractor shall remove all shelters as provided in Paragraph 5(d). 14 4. Exhibit B is hereby deleted. 15 5. Except as provided herein, all other terms and conditions of the 16 original agreement and first amendment remain unchanged and in 17 full force and effect. 18 19 20 21 22 23 24 25 26 27 28 3 1 IN WITNESS WHEREOF, the parties have executed this Amendment to Agreement on 2 the day and date first above shown. 3 4 5 ATTEST: CITY OF SAN BERNARDINO 6 7 g BY: CITY CLERK TOM MINOR, Mayor 9 10 11 Approved as to form 12 and legal content: 13 JAMES F. PENMAN, 14 City Attorney 15 BY: 16 17 18 19 CONTRACTORS: METRO DISPLAY ADVERTISING, INC. 20 d.b.a. BUSTOP SHELTERS OF 21 CALIFORNIA, INC. 22 BY: 23 BY: 24 25 26 27 28 4 10"% Res. 91-437 EXHIBIT A BUSTOP SHELTERS OF CALIFORNIA, INC. LOCATION LIST BY CITY Prepared 10/17/90 CITY/UNIT# Location Mapkey County CITY OF: SBDO SBDO 798 NB 'E' * FS 7th 16 D2 SBDO SBDO 801 NB 'E' FS Ent Orange Pavilln 16 D5 SBDO SBDO 799 NB 'E' FS Orange Show Road 16 D6 SBDO SBDO 940 SB 'E' * NS 30th 7 D4 SBDO SBDO 939 SB 'E' FS Marshall 7 D4 SBDO SBDO 783 EB 2nd FS 'G' 16 D3 SBDO SBDO 811 EB 40th FS Sepulveda 7 E2 SBDO SBDO 812 WB 40th FS Waterman 7 F2 SBDO SBDO 780 WB Baseline FS Mt. Vernon 16 Cl SBDO SBDO 781 SB Del Rosa FS Date 8 B4 SBDO SBDO 810 WB Highland FS Del Rosa 8 B5 SBDO SBDO 941 WB Highland FS Muscupiabe 7 B5 SBDO SBDO 832N WB Mill FS Lena 17 A4 SBDO SBDO 779 NB Mt. Vernon NS Mill 16 C4 SBDO SBDO 782 SB Sepulveda FS Sierra Way 7 E1 SBDO SBDO 831N SB Tippecanoe FS Mill 17 B4 SBDO SBDO 785 NB Waterman FS 9th 16 F2 SBDO SBDO 800 NB Waterman FS Baseline 16 F1 SBDO SBDO 784 NB Waterman FS Olive 16 F1 SBDO TOTAL SHELTERS FOR CITY OF SBDO = 19 Total Shelters 19 *Far Side *Near Side Exhibit C BUSTOP SHELTER LOCATIONS 1. Westbound - 5th Street at Mount Vernon 2 . Eastbound - 9th Street at Waterman 3 . Westbound - Baseline at Mt. View 4 . Eastbound - Baseline at Sierra Way 5. Northbound - Mt. Vernon between College and Grant 6. Westbound - Grant, east of Mt. Vernon 7 . Westbound - 4th Street at Palm Lane 8. Southbound - Palm Lane at 4th Street 9. Eastbound - Baseline at "G" Street 10. Eastbound - Baseline at Waterman 11. Eastbound - at 402 21st Street 12 . Eastbound - at 780 East 21st Street 13 . Eastbound - Rialto at Macy