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REQUEST FOR <br />COUNCIL ACTION <br />CITY COUNCIL MEETING DATE: <br />DECEMBER 18, 2018 <br />TITLE: <br />APPROVE RESTATED AND AMENDED <br />LEASE AGREEMENT WITH THE SANTA <br />ANA UNIFIED SCHOOL DISTRICT FOR <br />ANGELS PARK AND NEAL MACHANDER <br />TENNIS CENTER <br />{STRATEGIC PLAN NO. 6, 1} <br />CITY ANAGER <br />RECOMMENDED ACTION <br />CLERK OF COUNCIL USE ONLY: <br />APPROVED <br />❑ As Recommended <br />❑ As Amended <br />❑ Ordinance on 151 Reading <br />❑ Ordinance on 2ntl Reading <br />❑ Implementing Resolution <br />❑ set Public Hearing For <br />CONTINUED TO <br />FILE NUMBER <br />Authorize the City Manager and Clerk of the Council to execute a restated and amended lease <br />agreement between the City of Santa Ana and the Santa Ana Unified School District for Angels <br />Park and Neal Machander Tennis Center, which includes exercising the first extension of the no - <br />cost lease agreements for a 10 -year period from January 15, 2019 to January 14, 2029, subject to <br />non -substantive changes approved by the City Manager and City Attorney. <br />DISCUSSION <br />In 1971, the City of Santa Ana (City) and the Santa Ana Unified School District (District) entered <br />into long-term lease agreements for the use of properties known as Angel's Park and Neal <br />Machander Tennis Center. Angels Park is property owned by the District that is used by the City. <br />The Neal Machander Tennis Center is property owned by the City that is used by the District. <br />Both leases were drafted and intended to be mutually dependent on each other. <br />No money exchange is required in the leases. The consideration for these leases is allowing <br />each agency use of the other's property. Each lease is contingent on the other lease being in <br />effect. If either lease is terminated both leases are deemed terminated. <br />In 2009, the City entered into a 10 -year no -cost lease agreement with the District, with an option <br />to extend the term of the lease for two, ten-year terms, to allow the City to continue use of <br />property owned by the District, Angel's Park. Then in 2012, a similar agreement was executed to <br />allow the District to continue use of property owned by the City, Neal Machander Tennis Center. <br />Due to the fact that each lease agreement is contingent on the other, the City is proposing to <br />consolidate the two agreements into one restated agreement encompassing the terms from the <br />2009 Angels Park lease and the 2012 Neal Machander Tennis Center Lease. Additionally, the <br />restated lease is being amended to exercise the first of two, ten-year renewal terms. <br />25P-1 <br />