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2019-21 Pacific Mobile Structures - Yard TrailersCity of La Quinta CITY COUNCIL MEETING: August 6, 2019 STAFF REPORT AGENDA TITLE: APPROPRIATE FUNDS TO LEASE A NEW PUBLIC WORKS MAINTENANCE TRAILER FROM PACIFIC MOBILE, INC. RECOMMENDATION Appropriate funds in the amount of $166,000 to lease a new public works trailer from Pacific Mobile and purchase new office furniture; and authorize the City Manager to execute the lease. EXECUTIVE SUMMARY •In 2019, the City Council directed staff to move forward with and identify a plan for a new corporate yard and facility, which will require the use of a temporary building structure for corporate yard staff. •The current Public Works maintenance trailer is 32 years old and has reached the end of useful life. •Staff researched options to lease or purchase a new trailer while the Corporate Yard improvements are underway, and recommend Council approve a lease agreement with Pacific Mobile (Pacific) in the amount of $166,000. •Quotes were received from three companies – Design Space Modular Buildings, Mobile Modular, and Pacific. FISCAL IMPACT The lease would require the appropriation of funds from Facility and Fleet Fund Reserves (currently at $3,000,000) to account no. 502-0000-71032 in the amount of $166,000*/** for 2019/20. The lease amount is $2,840 per month ($34,080 annually) and the trailer would be received in October 2019. If needed, the lease may be extended at the end of the two years at the same monthly rate. There is an additional cost to remove the trailer at the end of the lease, this cost is based on the rate in effect at the end of the lease , and it is anticipated to be up to $20,000. Lease payments after June 2020 and the removal (if needed) will be budgeted in future fiscal years. BUSINESS SESSION ITEM NO. 3 405 Lease Purchase Installation Costs/Purchase Price $52,878* $234,050 24-Month Lease 59,520** N/A Utilities (Disconnect/Reconnect) 50,000* 50,000 Security & IT 15,000* 15,000 Removal of Unit 20,000 N/A Contingency 22,500* 22,500 Total $219,898 $321,550 *Fully included in budget request. **Nine months of lease ($25,560) included in budget request (October 2019- June 2020). $34,080 for 2020/21 would be included in next year’s budget. BACKGROUND/ANALYSIS In 2019, The City contracted with Gillis & Panichapan, Architects, Inc., to conduct a space plan for the corporate yard and a concept building plan, with the intent to construct a new corporate yard building. At that time, it was determined that the existing public works trailer had reached the end of its useful life and is currently in need of significant repairs. Staff determined that a leased trailer would provide a temporary solution to replace the aged trailer at a reasonable cost and time frame until a permanent building is in place. Staff solicited bids from three vendors – Design Space Modular Buildings, Mobile Modular, and Pacific, and after an extensive review recommends a lease with Pacific. Pacific provides a quality product that will accommodate the needs of the City , currently 12 staff members are based out of the existing trailer. The floor plan (Attachment 1) can accommodate up to 18 staff members, includes six offices, a kitchen and breakroom, two restrooms, and an optional conference room (Attachment 2). Pacific was the only vendor that offered to dismantle and remove the existing trailer at no cost to the City (estimated at $49,000), included in the lease agreement (Attachment 3). The lease is an operational lease, meaning should the City decide to purchase the trailer at the end of the lease, the purchase price would be $234,050, and the previous lease payments would not be credited towards the purchase price. Staff does not recommend this option, as there has not been a long -term use identified for this building and it would be subject to additional costly relocation and utility hook-up connections at any potential site. 406 ALTERNATIVES The City could purchase the new trailer from Pacific at a cost of $321,550, or Council could deny this request, and direct staff to seek other alternatives. Prepared by: Dianne Hansen, Interim Management Analyst Alfred Berumen, Management Analyst Approved by: Gil Villalpando, Acting Facilities Director Attachments: 1. Floor Plan 2. Removal Form 3. Lease Agreement 407 408 DATE: 7-16-2019SCALE: 1/8" = 1'PACIFIC MOBILE STRUCTURES, INC.951-784-8990DRAWN BY: MichaelThis drawing is the property of Pacific Mobile Structures, Inc. and may not be duplicated without prior approval. 36' x 60' OFFICE WITH RESTROOM - CA REGION Stock Plan10' Base and UpperATTACHMENT 1ATTACHMENT 1 409 410 July 1, 2019 Attn: Baxter Regarding the used mobile building for sale referenced as: (1) 36 x60 mobile office We will offer to purchase the referenced building above for our removal, tear down, and fleet integration costs only. This offer does not include any monetary value. We will include the following services in our scope of work: •We will disassemble the building, remove and dispose of blocking and steel piers, remove from foundation, and prepare all floors for safe transport. •We will remove all seismic Anchors and tie downs. •We will handle skating and or rolling away from the existing decking, if required to carefully remove each building from your site. •We will handle transportation, permits, and pilot service required for removal from your site. •We will reinstall the axles, tires, and tow bar (this includes the purchase of missing items such as tires and axles) •We will complete the title transfer process through the State of CA Department and handle the transfer fees with a power of attorney form. Not included: •Any utility disconnections. (Electrical, plumbing, fire sprinklers, phone, alarm, data, etc.) All disconnections to be completed prior to dismantle crew arriving on site. •Removal of any sidewalks, any concrete pads/footings, or any attachments to the mobile building, such as porches, decks, etc. that are not already noted in the above inclusions. •The removal/ install of Site built chain link fencing. •Back fill of any pits, holes, or repair to landscape/sprinklers, concrete, or other surfaces. •Emptying detached contents within the building or clearing the site for access to the building. We have the right to withdraw our offer should the condition of the mobile building not be as represented upon removal, or should the offer be accepted after 30 days and we no longer have an interest in this building. This offer is pending proof of a clear and clean title with current and up to date registration. All paperwork (license, registration, title, etc.) must be properly available, to complete the HCD title transfer process. Sincerely, Sam Rivera Regional Operations Manager 209‐846‐7291 Direct Offer Accepted: Signature: _____________________________________________ Print Name: __________________________________________ ATTACHMENT 2 411 412 Item No.Description Qty Price Tax Total 13-100 1 $147,357.00 $12,893.74 $160,250.74 01-940 1 $8,981.00 $785.84 $9,766.84 02-130 86 $18.00 $135.45 $1,683.45 02-140 1 $9,875.00 $0.00 $9,875.00 02-430 1 $975.00 $85.32 $1,060.32 02-140 3 $292.50 $0.00 $877.50 02-140 12 $220.00 $0.00 $2,640.00 06-140 1 $4,992.00 $0.00 $4,992.00 05-130 1 $12,978.00 $1,135.58 $14,113.58 05-140 1 $1,181.00 $0.00 $1,181.00 09-640 1 $5,670.00 $0.00 $5,670.00 02-230 1 $18,789.00 $1,644.04 $20,433.04 01-440 1 $750.00 $0.00 $750.00 01-160 1 $750.00 $0.00 $750.00 New Modular Building - Size Transportation Steel Pier Foundation Material Block & Level Modline Materials Running Gear - Removal Provide and Install Seismic Piers Skirting - Provide & Install New ADA Ramp Deliver & Install ADA Ramp Flooring - (Provide & Install) 200 LF Int. wall w/ 10' Upper and Lower Cabinets Foundation Plans Registration & Title Fee Sub Total $217,363.50 Sales Tax $16,679.97 Total Due $234,043.47 Project Description: The quotation is good for 30 days and is limited to availability of stock on hand. Please schedule as soon as possible to secure your preferred delivery date. By signing below the Customer named below agrees to the conditions outlined in Pacific Mobile’s Terms and Conditions. michael.thompson@pacificmobile.com Project quotation #Q006864 7/18/19Date: Michael Thompson Cell: Direct: 951.816.0977Company:City of La Quintaal Site: 78495 CALLE TAMPICO, LA QUINTA, CA 92253-2839 78495 CALLE TAMPICO, LA QUINTA, CA 92253-2839 City of La Quinta ATTACHMENT 3 413 COPYRIGHT © 2016, PACIFIC MOBILE STRUCTURES, INC, ALL RIGHTS RESERVED ADDITIONAL TERMS AND CONDITIONS 1.AGREEMENT The essence of the contract set forth on the face page of this Agreement is that Pacific Mobile Structures, Inc. (“Seller”) agrees to provide and deliver the specified mobile/modular building(s) and related equipment (Property); and, in exchange, Buyer will fulfill the specified payment terms. Seller and Buyer’s signatures acknowledge the following terms and conditions have been reviewed and are also part of this Agreement. 2.PAYMENT FINANCING Buyer agrees to indicate in writing (under the payment terms on the face page of this Agreement) if Buyer’s purchase is subject to financing. Buyer agrees that representing in bad faith or without a reasonable basis that financing is forthcoming from a third-party is deemed a breach of this Agreement and will subject Buyer to the default clause remedies set forth below. If Buyer makes a good faith and reasonable representation but is unable to ultimately obtain third-party financing sufficient to satisfy the payment terms, Buyer agrees that Seller has the option to extend reasonable financing terms and Buyer will be obligated to enter into a retail installment contract and sign a security agreement or other agreement as may be required for Seller to finance Buyer’s purchase. 3.DEFAULT AND REMEDIES Buyer is in material default and breaches this contract if Buyer: (1) fails or refuses to timely make the agreed upon payments; or, (2) delays the Seller’s delivery or services over 30 days; or (3) otherwise fails to satisfy the Agreement terms and conditions. If Buyer defaults, Seller may cancel this contract; and/or repossess its Property; and/or retain a portion of any payments already made by Buyer, sufficient to adequately compensate Seller for expenses or losses caused by Buyer’s default. If Seller has canceled the contract, or if Buyer has committed a material breach, then Buyer cannot thereafter claim to be canceling the contract and be entitled to a return of any payments already made by Buyer until Seller has had a reasonable opportunity to account for and deduct any damages (including costs incurred up to the time of cancellation) owed from any payments already made by Buyer. If Buyer has not made any payments or made payments that are insufficient to cover all losses, Seller will take other collection action (including legal). If repossession is necessary, Buyer will be liable for all repossession costs. 4.SITE CONDITIONS Buyer/Owner is aware that the delivery site must be dry, compacted level and accessible for industry standard maneuvering by normal mobile/modular truck tow. If the site’s condition reasonably prevents delivery, then the extra costs for equipment, labor and down time to remedy the situation are the Buyer/Owner’s responsibility and will be addressed by change order. 5.SCHEDULE; DELAYS; INCREASE IN PRICE AND/OR TIME; STORAGE Delivery and any setup work will begin and be substantially completed on the dates set forth on the face page of this agreement and/or in an addendum modifying the dates. However, delays may occur due to unforeseen circumstance beyond Seller’s control, including, but not limited to: extreme weather conditions; fire; transportation delays; unavoidable accidents or circumstances; unacceptable site conditions; Buyer’s acts or omissions. Excusable delays do not subject Seller to penalties or damages. In reasonable instances, Seller may modify the Contract price to reflect additional incurred expenses and/or modify the Schedule to account for delays. If Buyer delays delivery, a pro-rated monthly storage fee at a rate of $0.20 per square foot of each floor will be assessed. If space is unavailable, Buyer must either transport to an alternative site or Seller will do so unilaterally and pass the expense to Buyer. 6.CHANGES Seller may add to or deduct from the amount of work covered by this Agreement, and any changes so made in the amount of work involved, or any other parts of this Agreement, shall be by a written change order hereto setting forth in detail the changes involved and the value thereof which shall be mutually agreed upon between the Seller and the Buyer. 7.TAXES Buyer shall be solely responsible for filing the appropriate federal, state and local tax forms, and paying all such taxes or fees, including sales taxes, estimated taxes and employment taxes, due with respect to Buyer’s purchase under this Agreement. 8.TITLE AND RISK OF LOSS Ownership title to the Property shall pass to Buyer when the purchase price is paid in full. However, Buyer assumes and bears the risk of Property loss the moment the Property is delivered to the Buyer’s site. It is Buyer’s responsibility to arrange with Buyer’s insurance representative adequate and timely insurance coverage. Buyer waives any claims against Seller relating to risk or loss after delivery, even if Buyer’s insurance is not yet effective. The sole exception to the above is that any loss caused by Seller’s operations during delivery and/or any agreed upon set-up will be covered to the extent it falls within Seller’s CGL insurance policy coverage. 9.INDEMNITY, INSURANCE AND WAIVER OF SUBROGATION Buyer/Owner shall be responsible for obtaining and maintaining its own liability and property insurance. Seller/Contactor agrees to defend, indemnify and hold harmless Buyer/Owner from claims for bodily injury and property damage caused by Seller’s negligence. However, this indemnification is contingent upon Seller’s CGL insurer providing coverage and is limited to the amounts paid by Seller’s CGL insurer. Buyer/Owner agrees to defend, indemnify and hold harmless Seller/Contractor and its Subcontractors from claims for bodily injury and property damage caused by the negligence of Buyer/Owner and its agents. Buyer/Owner and Seller/Contractor waive all non-trustee rights against each other for damages caused by risks covered by insurance. 10.WARRANTIES Used units are sold “As Is.” Buyer is not relying on any written, oral, implied or other representations, statements or warranties by Seller or any of Seller’s affiliates, or any of Seller’s respective agents, officers, representatives, or otherwise. Seller specifically makes no representations, express, implied, statutory or otherwise, with respect to the unit being purchased, its current condition, or its fitness or suitability for any particular use or purpose. 11.DISPUTE RESOLUTION The parties shall first endeavor to settle disputes through informal direct discussions. If unsuccessful, any party may serve a written Notice requesting resolution that: explains the dispute in detail and provides all supporting evidence; and appoints a senior representative to negotiate the Dispute on its behalf. Buyer must serve such Notice to Seller’s corporate office. If unsuccessful, the parties may seek non-binding mediation. Lastly, either party may submit the Dispute to the American Arbitration Association for arbitration. 12.ATTORNEY FEES; COLLECTION FEES; LIMITATION OF LIABILITY Seller/Contractor is entitled to recover reasonable pre-judgment and post judgment interest and other collection expenses, including attorney fees, incurred if Buyer/Owner defaults on payments. Except for collection, arbitration or litigation actions, remedies shall be limited to direct out of pocket costs, unless noted otherwise herein. 13.SAFETY Buyer/Owner shall assure, insofar as is reasonably possible, safe and healthful site conditions, including, but not limited to: assuring Buyer’s site complies with all applicable health, safety and environmental laws; and, assuming supervisory responsibility and function of all non-construction related parties on site during delivery and any set-up. Buyer/Owner shall be solely liable and responsible for any safety violation or deficiency. 14.GENERAL This Agreement: (a) contains the entire Agreement between the parties and supersedes any and all other documents or information exchanged; (b) shall not be assigned or transferred in any manner by the Buyer without the prior written consent of the Seller/Contractor; (c) may be modified only in a writing signed by both parties; (d) shall be governed by Washington State law and, if necessary, litigated in Washington State, either, in King, Thurston or Lewis Counties at Seller’s discretion; (e) the failure to insist on the performance of any part(s) of this Agreement, or to exercise any rights, shall not be construed as a waiver or relinquishment of such term, covenant or condition or right; and, (f)if any part of this Agreement, its Addendum or other related documents are found to be unenforceable, the remaining parts shall still be in full force and effect. This Agreement may be executed and delivered via facsimile or other electronic means, with the same effect as the original. 15.FOR USED SALES ONLY: Notification of Assignment of Rights - Relinquished Property You are hereby notified that Pacific Mobile Structures, Inc. has assigned to Pacific Mobile Structures Exchange, LLC, as its qualified intermediary, its rights, but not its obligations, under this sale agreement with you for purposes of effecting a deferred Like-Kind Exchange under section 1031 of the Internal Revenue Code of 1986, as amended, and the applicable regulations. This notice is intended to comply with the requirements of Treasury Regulation Section 1.1031(k)-1(g)(4)(v). In Acceptance, Initials _______ Page 2 of 2 - Purchase Agreement (Rev. 5/16 414 Exceptions / Clarifications: Performance & payment bonds not included. Obtaining required County/City building permits, fees, and inspections not included. Customer site must be dry, compacted, level, and accessible by normal truck delivery. All costs to skate manually, crane, or forklift the building into position would be an additional cost. Delivery does not include any special delivery permits, pilot cars, police escorts, or flagman. Any special site required escorts, safety meetings, or other site related down-time would be an additional cost. Extra trip charges may incur if customer decides to stop work on site. Modular building does not include any fire rating, alarm, detector, or sprinkler system. Site improvements not included (fence, landscape, sidewalk, parking, lighting, etc.). Site survey or soils testing not included. Preparation of modular building pad not included (Minimum of 1,500 PSF required, and +/- 6" grade difference assumed). Any special site testing requirements would be an additional cost. All utility connections to modular building are not included. (Electrical, water, sewer, etc.). All horizontal sewer lines under modular building floor not included. All low voltage wiring, devises, panels, and monitoring not included. Site security, temporary toilets, or garbage dumpsters not included. Proper site drainage or SWPPP plan not included. Ramping assumes the ramped door can be set at 36" above grade, and entrance to ramp is 36" grade difference from threshold. ADA ramp final transition to grade not included. Stand-alone step access will meet OSHA requirements, but ADA compliant steps are optional at an additional cost. Covered entrances or roof gutters are not included, but can be at additional cost. Refer to attached floor plan & elevations for further clarification. Quote good for 30-days Customer Authorized Representative Initials Page 2 of 3 - Purchase Agreement 415 36x60 Rental Costs Per Month QTY 36x60 Office w/RR Rental Office w/R Building Rental Rate 1 $2,526.00 Rental - Sublease Ramps 1 $304.00 Rental - OSHA Step 1 $10.00 Total Monthly Charges $2,840.00 Installation Costs Set, Install - Tiedown 12 $2,640.00 Set, Install - Skirting 1 $4,992.00 Set, Install - ADA Ramp 1 $1,181.00 200 LF int. wall w/ 10' Upper and Lower Cabinets 1 $18,789.00 Provide and Install VCT flooring 1 $5,670.00 Set, Install - Standard 1 $9,875.00 Engineering - Foundation 1 $750.00 Delivery - Freight 1 $8,981.00 Total Startup Charges $52,878.00 Removal Costs Break, Remove - Tiedown 12 R.I.E. Break, Remove - Skirting 1 R.I.E. Break, Remove - Standard 1 R.I.E. Return - Freight 1 R.I.E. Total end of Lease Charges Rate in effect at end of lease term. michael.thompson@pacificmobile.com Customer responsibilities: Site preparation, all connection to utilities such as water/sewer, electrical, phone/data, fire alarms/sprinklers, building permits and permit fees. Insurance certificate that meets requirements for general liability and property damage will be required before delivery. Please Note: Pricing does not include applicable taxes, ADA ramp access, prevailing wages, removal of axles/hitches, transport pilot cars and permits (unless otherwise noted). If site is not dry, compacted, level and accessible by normal delivery truck, there may be additional trip, labor, and equipment charges. Building pad needs to be a minimum of 1,500 PSF and no more than 6” grade difference. Extra trip charges may occur if customer decides to stop work in progress. Quote is good for 30 days and is limited to availability of stock on hand. Please schedule as soon as possible to secure your preferred delivery date. Provide two weeks’ notice prior to the return of the building. Payment is due upon receipt of the first invoice. Rental Quotation #Q006946 7/18/2019Date: Michael Thompson 951.816.0977Cell: Direct: 951.784.8990Site: 78495 CALLE TAMPICO, LA QUINTA, CA 92253-2839 City of La QuintaCompany: City of La Quinta 78495 CALLE TAMPICO, LA QUINTA, CA 92253-2839 Term: 24 Months 416 1. Lease – This transaction is a lease and not a sale. The terms of the lease are set forth in the Lease Agreement. Additional terms and details are set forth in the subject terms and conditions. Renter does not acquire through this Lease or by payment of rental amounts, any right, title or interest in leased equipment. Renter acknowledges that the leased equipment is personal property and shall not, at any time, constitute real property, an improvement thereon or a fixture. 2.Access/Site Conditions/Utility Service – Renter shall provide free and clear access for delivery and return of leased equipment by standard mobile transport vehicles. Renter shall provide firm and level ground on no more than six-inch slope from one end to the other for safe installation of the leased equipment. Site selection is the sole responsibility of Renter and PMSI shall have no liability for determining the adequacy of any site. Furthermore, PMSI solely reserves the right, for any reason, to refuse to release delivery to any site it deems inadequate for use or installation. Renter shall be responsible for obtaining any permits required to install and operate the equipment. Renter shall provide at Renter’s expense adequate electrical power, water and other utility services with proper connection to leased equipment. 3.Other Fees, Expenses and Taxes – In addition to the rental payments provided for herein, Renter shall pay all expenses, fees, charges, and fuel surcharges incurred in connection with the leased equipment during its delivery, use and recovery. Additional charges include, but are not limited to, the following instances: (1) where travel permits and/or pilots are required for delivery; (2) where the delivery site is not a level, compacted and accessible site; (3) where tie downs are required - if the tie down option is not taken, Renter assumes liability; (4) where alternate steps are needed (temporary step furnished but steps may not meet all local codes). In addition, return costs are to be at the prevailing rate at termination of lease, thus they are subject to change depending on special circumstances such as fuel costs and delivery routes. Sales tax is not included in the return freight deposit and will be billed on the final invoice. Renter also agrees to pay any fines, servicing costs, sales taxes, use taxes, personal or real property taxes and other use taxes, and all assessments and other governmental charges whatsoever payable on Renter’s use, possession, rental, shipment, transportation, delivery or operation thereof. An early termination fee may be assessed if lease is cancelled prior to the term end date. 4.Delivery by PMSI / Location and Return of Leased Equipment – PMSI shall not be liable to Renter for any failure or delay in delivering the leased equipment. By taking delivery thereof Renter acknowledges that the leased equipment is in good working condition, free of any physical defect or damage, and is fit for the purpose for which it is leased. Further, the leased equipment shall remain at the delivery site until the termination of this lease, at which time PMSI shall pick up the leased equipment. The leased equipment shall not be moved without PMSI’s prior written consent. Two weeks’ notice is required prior to equipment return date. 5. Lawful Use, Assignment, and Subletting – Renter shall use or permit the use of the leased equipment only for lawful purposes and operate in compliance with all laws. If the leased equipment is used by any party in association with unlawful activity prior to it being returned to PMSI, Renter agrees to reimburse PMSI upon demand for any and all incidental costs PMSI incurs, including, but not limited to, time and cost expenses associated with participating in governmental administrative or law enforcement processes, attorney fees, and remedial costs. Renter shall not assign, transfer, sublet, or in any way assign its rights hereunder, and shall not pledge, permit to be liened, mortgage, or otherwise encumber its rights or interests hereunder. All third-party claims of possession, interest or ownership outside those of PMSI’s or the Renter, as stated herein, shall be deemed invalid. 6. Insurance – Renter, at its expense, will obtain and keep in force Property damage insurance-special form, replacement cost coverage, with PMSI added as loss payee, ATIMA. Renter will also indemnify PMSI with respect to all liability in accordance with the provision of Paragraph 9 and provide general liability protection in the amount of $1,000,000 each occurrence listing PMSI as additional insured. If Renter shall fail to produce the required property insurance coverage certificate within ten (10) days from the commencement of the Lease, they are automatically opted into the Property Damage Waiver Program referenced in Section 7 until proof is presented. 7. Property Damage Waiver Program Option – Renter’s participation in the Property Damage Waiver program relieves the requirement that Renter provide PMSI with a property damage insurance certificate, as required in the preceding Insurance paragraph. However, general liability insurance still needs to be submitted per the prior paragraph’s requirements. Moreover, the waiver fee is not an insurance policy, as Pacific Mobile in not an insurance company. The waiver is specifically for the unit listed and solely limits the customer’s property liability in regard to fire, theft, vandalism and malicious mischief. The following limitations also apply: The Renter is responsible for a $2,000 property damage deductible, per unit/per loss occurrence. The waiver fee only covers the unit itself, and Renter is responsible for insuring the contents. The waiver does not apply if the property damage is caused by any of the following: acts of God (earthquake, seismic activity, high winds, hurricane, tornado, flood), acts of terrorism, building contents, damages caused by Renter or its employees, collision damage from vehicles and other equipment, collision damage while being transported or moved, abuse or neglect by Renter. The responsibility for property damage due to these perils is on the Renter. Cancellation: Either party can cancel the waivers with 10 days prior written notice. If the waivers are canceled, the customer must provide insurance. The waiver fees must be paid in order for this option to be valid. If the customer fails to pay their rent or the waiver fees the waivers are terminated automatically. Claims: Must be reported by fax or email within 48 hours of their occurrence for the Property damage waiver to be valid. 8. Accidents or Claims – Renter shall within 24 hours after any property damage or casualty event involving the leased equipment notify PMSI by telephone, and within 48 hours notify PMSI in writing. Said report shall state the time, place, and nature of the event, the damage sustained, the names and addresses of persons involved, persons injured and witnesses, and any other information relating to said event and it shall promptly forward to PMSI all correspondence, notices or documents received in connection with any claim or demand relating to the leased equipment or its operation, and shall aid in the investigation and defense of all such claims and demands. Nothing herein shall be deemed to modify the provisions of the paragraph herein in which Renter holds PMSI harmless and indemnifies PMSI against all these matters, and PMSI shall have no responsibility to take any action whatsoever in the event of such casualty. 9. Non-Liability of PMSI and Indemnification – Unless caused solely by PMSI’s negligence, PMSI shall not be liable to Renter for any loss, damage, or expense of any kind or nature caused directly or indirectly by the leased equipment or by the use, maintenance, operation, handling or storage thereof, or for the loss of Renter’s business or damages whatsoever or howsoever caused. Renter does hereby indemnify PMSI and holds PMSI, its agents and employees harmless from any and all losses, damages, claims, demands, or liability of any kind whatsoever, including legal expenses and attorney’s fees arising from the use, condition or operation of the leased equipment. 10. Maintenance, Damage and Destruction – Renter shall at Renter’s own expense at all times keep the equipment in good and efficient working order, condition and repair and shall maintain thereon such identification of ownership as PMSI may require. PMSI will maintain and make any repairs required from normal use to the roof, doors, windows, light fixtures, heating, ventilating and air conditioning systems, except that Renter shall replace heating, ventilating and air conditioning filters and burnt out lamps as required and pay for any damage caused by the Renter. Renter shall bear the risk of damage, theft or destruction of the leased equipment from every cause, except as outlined in paragraph 7, if selected, and shall make all replacements, repairs or substitution of parts of equipment thereon at its expense, all of which shall constitute Renter’s obligatory maintenance of the leased equipment. If Renter does not adequately maintain the equipment or adequately repair any damage for which Renter is responsible, PMSI shall have the option to perform the maintenance or repair at Renter’s expense. Renter shall at its expense provide adequate janitorial service to keep the leased equipment in good condition, fair wear and tear excepted. On termination of this lease, the leased equipment shall be returned to PMSI in the same condition as when delivered, fair wear and tear excepted. 11. Inspection by PMSI – PMSI may inspect the leased equipment at any reasonable time, and may post any notice of non-responsibility or interest protecting notice. 12. Default – Renter defaults on this Agreement if Renter fails to: make timely payment of any rent installment or other amount due and payable; or, comply with the other terms, covenants, or conditions herein. Default also occurs if Renter or its creditors files for relief under any bankruptcy or similar debtor relief law, or if Renter assigns for the benefit of creditors, or if a receiver is appointed to take possession of any assets of Renter. Upon default, PMSI may at its option immediately terminate Renter’s right to possession of the leased equipment by giving written notice to Renter. This right is not limited in instances where the unit is being used as commercial office space or for any other commercial purposes. Renter agrees that the essence of this Agreement is that PMSI is leasing equipment. Renter’s use of such equipment as commercial office space or other commercial use is incidental. The leased equipment shall remain personal property regardless of its use or manner of attachment to realty and real property laws do not apply to this Agreement. Upon PMSI’s written notice of default to Renter, Renter agrees that the leased equipment shall be surrendered to PMSI and PMSI may take possession thereof by entering upon Renter’s premises without further notice of repossession. Upon repossession, PMSI shall retain all rents and any other amounts paid by Renter hereunder. Repossession by PMSI or the surrender of the leased equipment to PMSI shall not affect the right of PMSI to recover from Renter any and all damages which PMSI shall have sustained by reason of Renter’s breach. PMSI reserves the right to (a) relet the leased equipment and apply any net proceeds as an offset to any unperformed Renter term, or (b) sell the leased equipment and apply the net proceeds as appropriate under the circumstances to Renter’s unperformed financial obligations, or (c) cancel and terminate the lease. In addition to any other remedies provided for herein, PMSI may recover from Renter the worth at the time of the termination of the lease the unperformed value of the lease. 13. Renter’s Possession on Termination – If Renter retains possession of the leased property beyond the term expiration date without proper written renewal notice, PMSI shall have the option of (i) repossessing its property at any time without notice or (ii) deeming this Agreement renewed as a month to month tenancy. 14. Attorney’s Fees, Collection Fees, Costs, Interest – If Renter defaults on this Agreement, PMSI shall be entitled to recover from Renter all items of damages, costs and expenses, including court costs and reasonable attorney’s fees, incurred by PMSI to enforce its rights and remedies hereunder. PMSI shall also be entitled to interest on delinquent payments at the maximum rate permitted by law. 15. Miscellaneous – This Lease shall be construed and interpreted under the laws of the state of California. All signed copies shall constitute duplicate originals. 16. Notices – All notices required under the terms and provisions of this Lease shall be in writing and shall become effective three (3) days following mailing if mailed by US certified mail, or upon receipt if given in any other manner, addressed to Pacific Mobile Structures at PO Box 1404, Chehalis WA 98532, and to Lessee set forth on the face page hereof, or at such other address as either party my designate in writing. The payment remittance address is to Pacific Mobile Structures at PO Box 24747, Seattle WA 98124. Lease Agreement Terms and Conditions This is an agreement between Pacific Mobile Structures, Inc. (PMSI) and Renter 417 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. INSURER(S) AFFORDING COVERAGE INSURER F : INSURER E : INSURER D : INSURER C : INSURER B : INSURER A : NAIC # NAME:CONTACT (A/C, No):FAX E-MAILADDRESS: PRODUCER (A/C, No, Ext):PHONE INSURED REVISION NUMBER:CERTIFICATE NUMBER:COVERAGES IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. OTHER: (Per accident) (Ea accident) $ $ N / A SUBRWVDADDLINSD THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. $ $ $ $PROPERTY DAMAGE BODILY INJURY (Per accident) BODILY INJURY (Per person) COMBINED SINGLE LIMIT AUTOS ONLY AUTOSAUTOS ONLY NON-OWNED SCHEDULEDOWNED ANY AUTO AUTOMOBILE LIABILITY Y / N WORKERS COMPENSATION AND EMPLOYERS' LIABILITY OFFICER/MEMBER EXCLUDED?(Mandatory in NH) DESCRIPTION OF OPERATIONS belowIf yes, describe under ANY PROPRIETOR/PARTNER/EXECUTIVE $ $ $ E.L. DISEASE - POLICY LIMIT E.L. DISEASE - EA EMPLOYEE E.L. EACH ACCIDENT EROTH-STATUTEPER LIMITS(MM/DD/YYYY)POLICY EXP(MM/DD/YYYY)POLICY EFFPOLICY NUMBERTYPE OF INSURANCELTRINSR DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required) EXCESS LIAB UMBRELLA LIAB $EACH OCCURRENCE $AGGREGATE $ OCCUR CLAIMS-MADE DED RETENTION $ $PRODUCTS - COMP/OP AGG $GENERAL AGGREGATE $PERSONAL & ADV INJURY $MED EXP (Any one person) $EACH OCCURRENCE DAMAGE TO RENTED $PREMISES (Ea occurrence) COMMERCIAL GENERAL LIABILITY CLAIMS-MADE OCCUR GEN'L AGGREGATE LIMIT APPLIES PER: POLICY PRO-JECT LOC CERTIFICATE OF LIABILITY INSURANCE DATE (MM/DD/YYYY) CANCELLATION AUTHORIZED REPRESENTATIVE ACORD 25 (2016/03) © 1988-2016 ACORD CORPORATION. All rights reserved. CERTIFICATE HOLDER The ACORD name and logo are registered marks of ACORD HIREDAUTOS ONLY Enter Policy Number Insurance Agent/Broker Name Insurance Agent/Broker Street Address or P.O. Box City, State, and Zip Code Contact and Phone Number Customer Name Customer Street Address or P.O. Box City, State, and Zip Code Month/Date/Year Name of Insurance Name of Insurance Company (if applicable) Name of Insurance Company (if applicable) Enter NAIC # Enter NAIC # Enter NAIC # x x x Enter Policy Number Enter Effective Date Enter Expiration Date 1,000,000 100,000 N/A 1,000,000 2,000,000 1,000,000 Other: Property, Equipment, Inland Marine, etc. All rental and lease equipment, which shall include all mobile office and storage containers, as provided by written contract with lessor/lessee loss payee Enter Effective Date Enter Expiration Date Insurance Coverage Limits Pacific Mobile Structures, Inc. is named as additional insured for general liability and loss payee on any and all, current and future, leased mobile units and equipment. Pacific Mobile Structures, Inc. Attn: Franci Wolf P.O. Box 1404 Chehalis, WA 98532 Phone: 360.345.1576 Fax: 360.748.0578 insurance@pacificmobile.com A Sample CertificateV1 03.19.19 418 Billing Address: Purchase Order # Preferred Delivery Date AM PM Job/Site Name Address Site Condition (Circle One) Dirt/Grass Asphalt Concrete Gravel Contact Other Cell # ( ) Site Condition ( Circle one) Alt Phone # ( ) Level Unlevel Site is accessible for standard Delivery? Yes No (must have 14' Clearance for standard buildings ) If no, explain: Will we need to roll the building sideways or nose it into correct position at site? Yes No If yes, explain Set Up on unleveled site(s), rolling, tie downs or skirting which includes additional labor and/or material will be an additional charge to lessee. Optional (Additional charges will apply) Ramp Yes No Desk Y Qty Security Bars Yes No Rolling Chair Y Qty Door Bars Yes No Folding Chair Y Qty Folding Table Y Qty File Cabinet 2 Drawer Y Qty File Cabinet 4 Drawer Y Qty Plan Table Y Qty Billing Fax # DELIVERY INFORMATION Billing Phone # Southern California Branch Ask for $ Ask for $ If Unlevel , Explain Special Driving Instructions: 26414 Murrieta Road, Menifee, CA 92585 Ask for $ Phone (951) 784>8990 Fax (951) 657>7036 CUSTOMER INFORMATION FORM Ask for $ Ask for $ Ask for $ Ask for $ Billing Contact Name: Billing Contact Email: 419 420 CALIFORNIAjP1ASeptember17,2019MichaelThompsoninsurance@pacificmobile.comPacificMobileStructures26414MurrietaRoadMenifee,CA92585MemberName:CityofLaQuintaAdditionalProtectedParty:PacificMobileStructuresIncActivity:PurchaseofTemporaryofficesforthePublicWorksYardCoveragePeriod:From12:01AMon10/15/2019to11:59PMon6/15/2020ThisEvidenceofCoverageisissuedonanannualbasisandwillbeautomaticallyreissuedeveryJuneuntilexpirationofthewrittencontract.TheCityofLaQuinta(Member)alongwithotherCaliforniapublicagencies,isamemberoftheCaliforniaJointPowersInsuranceAuthority(CaliforniaJPIA),andparticipatesinthefollowingself-insuranceandcommercialinsuranceprogramthatisadministeredbytheCaliforniaJPIAforitsmembers:PrimaryLiabilityProgram,IncludingAutomobileLiabilityCoverageLimit:$1,000,000peroccurrenceAnnualAggregateLimit:$2,000,000OnbehalfoftheMember,theCaliforniaJPIAagreestoincludetheabove-namedadditionalProtectedPartyasaProtectedPartyundertheMemorandumofCoverage-PrimaryLiabilityProgram,subjecttotheabove-statedlimits,butonlyforOccurrences’arisingoutofthedescribedactivity,duringthedescribedCoveragePeriod,andwhererequiredunderthetermsofawrittenagreementbetweentheMemberandtheadditionalProtectedParty.TheCaliforniaJPIAwillendeavortoprovideatleastthirty(30)daysnoticeofanychangeintheforegoinginformation.Ifthewrittenagreementrequires,coverageshallbeprimary.Coverageissubjecttoalltheterms,Definitions,Exclusions,ConditionsandResponsibilitiesoftheMemorandumofCoverage-PrimaryLiabilityProgramandtheLimitsofCoveragestatedabove.AnyinjuryordamagecausedbythesolenegligenceoftheadditionalProtectedPartynamedaboveisnotcovered.Sincerely,JimThydenInsuranceProgramsManagercc:PamNieto,LaQuinta,pnieto@laquintaca.govDianneHansen,LaQuinta,dhansen@laquintaca.govCALIFORNIAJOINTPOWERSINSURANCEAUTHORITY8081MOODYSTREET.LAPALMA,CA00623TEL(562)467-8700FAX(562j860-4992