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Sun-Hunter USA Incorporated DBA Java Bakery Cafe - 2015-07-06 (3)
Dept ID ED 15-09 Page 1 of 2 Meeting Date 7/6/2015 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION MEETING DATE: 7/6/2015 SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A Wilson, City Manager PREPARED BY: Ken Domer, Assistant City Manager Kellee Fritzal, Deputy Director, Business Development SUBJECT: Approve and authorize execution of a License Agreement with Sun-Hunter USA Incorporated, doing business as Java Bakery Cafe for operation of a food concession at the Huntington Beach Civic Center Statement of Issue The City Council is asked to approve a five-year License Agreement with Sun-Hunter USA, Incorporated (dba Java Bakery Cafe) for the operation of a food concession on the lower level of the Huntington Beach Civic Center Financial Impact The License Agreement is estimated to generate revenue of approximately $900 the first year and a total minimum of$5,700 over the term, not including consumer price index increases Recommended Action Approve and authorize the Mayor and City Clerk to execute a "License Agreement Between the City of Huntington Beach and Sun-Hunter USA Incorporated dba Java Bakery Cafe for Operation of a Food Concession at the Huntington Beach Civic Center Complex " Alternative Action(s) Do no approve the License Agreement and provide direction to staff Analysis In October 2006, the City entered into a ten-year License Agreement with the City Cafe to operate a concession snack shop on the lower level of City Hall In November 2014, after various unannounced closures and a business hardship, the City Cafe operator ceased operations and vacated the premises Upon closure of the prior concession, staff solicited other local concession operators and catering companies to gauge interest in taking over the existing concession area and operations These operators included One Fine Blend, Lori's Kitchen, and Java Bakery Cafe Although the above businesses initially expressed interest in the existing concession, only Java Bakery Cafe agreed to take over the concession area and assume the operations Java Bakery Cafe currently operates one other restaurant in the City located north of the Civic Center on Main Street near Beach Boulevard Their menu offers a wide variety of food and snack choices including daily breakfast and lunch specials and currently provides a valuable concession HB -405- Item 10. - 1 Dept ID ED 15-09 Page 2 of 2 Meeting Date 7/6/2015 service to patrons and City staff The City and Java Bakery Cafe have completed negotiations for a new License Agreement and the City Attorney's Office has prepared the proposed License Agreement with the following key terms Term - Five-years with one (1) additional five-year extension at the sole discretion of the City Rent - $75 per month for first year (same as prior tenant), - $100 per month starting second year, and - Two percent (2%) minimum annual consumer price index (CPI) adjustments after second year Environmental Status Not Applicable Strategic Plan Goal Strengthen economic and financial sustainability Attachments) 1 License Agreement between the City and Java Bakery Cafe 2 Insurance Item 10. - 2 HB -406- LICENSE AGREEMENT BETWEEN THE CITY OF HUNTINGTON BEACH AND SUN-HUNTER USA, INCORPORATED, DOING BUSINESS AS JAVA BAKERY CAFE FOR OPERATION OF A FOOD CONCESSION AT THE HUNTINGTON BEACH CIVIC CENTER COMPLEX THIS LICENSE AGREEMENT (the "Agreement") is made and entered into by and between the CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California ("City") or ("Licensor") and SUN-HUNTER USA, INCORPORATED, a Califorma corporation doing business as JAVA BAKERY CAFE ("Operator") or ("Licensee") collectively (the"Parties"). WHEREAS, City wishes to provide for the management of certain real property (the "Property"), described as a food concession cafe space for the sole purpose of operating a food concession at the lower level of the Huntington Beach Civic Center Complex, located at 2000 Main Street, Huntington Beach, California The term "Premises" as used in this Agreement shall mean both the Property and the Improvements Operator desires to operate and manage the Premises in the manner set forth below NOW, THEREFORE, the parties covenant and agree as follows SECTION 1 GRANT OF CONCESSION ON THE PREMISES City, pursuant to the terms of this License, grants to Licensee for the purposes stated herein, the right, privilege and duty to equip, operate and maintain a concession open to the public and City employees located on the Premises (hereinafter sometimes referred to as the "Concession") Licensee shall not use the Premises for any other purpose or business other than those specifically provide for herein The cafe area is located in the central area of the 14-4501/115086 1 lower level of City Hall, across from the Credit Union and near City Council Chambers Besides this space, the Licensee will have two other spaces available for patron seating the adjacent east-west hallway leading to the back patio and the back patio, at the sole discretion of the City, Licensee may occasionally use the back patio area to prepare barbeque meals The occasional use of the back patio area must be approved by the City, and will be for a limited time as determined by the City. Licensee must obtain written approval prior to using the back patio area (Together the areas generally described above shall constitute the"Licensed Space" or"Premises") The description of the Premises is set forth in Exhibit "A", which is attached and incorporated herein by this reference. A map depicting the Premises is set forth in Exhibit `B", which is attached hereto and incorporated herein by this reference This License is not intended to confer third-party beneficiary status to anyone Licensee will obtain at its sole expense all licenses and/or approval necessary for its operation of a cafe on the Premises and shall maintain such licenses/approvals throughout the time it uses the Premises. Licensee will comply with all local, state, and federal laws and ordinances in operating the cafe. SECTION 2 ACCESS TO AND USE OF PREMISES Current hours of operation for the Cafe are 7:00 AM—2 30 PM, Monday through Thursday, Friday 8 00 AM — 12.30 PM, excluding City-recognized holidays Current working hours for most City Hall employees: 7.30 AM — 5.30 PM, Monday through Friday, excluding City-recognized holidays Licensor retains the right, in its sole discretion, to limit the hours of operation to the hours of 7.00 AM — 2 30 PM, Monday through Friday For the purposes of food 144501/115086 2 preparation, cleaning, etc , the Licensee will be allowed regular access to the premises between the hours of 6 00 AM and 4.00 PM Monday through Friday, excluding City- recognized holidays Later operating hours are encouraged to accommodate City Council or other public evening meetings, or as otherwise necessary The Licensee shall have no right to use the premises except during those hours described herein or as specifically approved by the Real Estate Manager or his/her designee, which permission shall not be unreasonably withheld The cafe operation shall not interfere with the normal operations of City Hall Deliveries must be made through the back loading area of the building Deliveries need to be carried into the building, directly to the cafe The Licensor will not accept deliveries on behalf of the Licensee nor assume responsibility for any products left in the City Hall loading area The seating area of the cafe, including the adjacent hallway and patio, shall be available during the operating hours to all City employees and the public regardless of whether they have purchased a beverage or food item from the Licensee There are public restrooms available on the lower level of City Hall that may be used for the Licensee's employees and patrons SECTION 3 PERSONNEL REQUIREMENTS a The Licensee will be required to employ the optimum number of employees to match the work requirements Service is expected to be timely, attentive, and friendly, and each employee should a) be clean, neat, and well-groomed, b) be free from offensive body odor, c) be professional, courteous, and friendly to the public, d) have a thorough health examination before employment at 14-4501/115086 3 City Hall, and e) not wear excessive amounts of jewelry, perfume, or cologne The Licensee shall require its employees to comply with all instructions, regulations, and codes of conduct as specified by the City b An on-site manager with the experience and qualifications must be present during daily operations The person(s) designated as manager is subject to approval by the Licensor and once approved may not be changed or replaced without the prior consent of the City c The Licensee or on-site manager must be present in the caf6 during lunch during serving hours (11 30 AM to 1 30 PM). During all other operating hours, the manager or an approved assistant may be present d Employees of the Licensee shall be appropriately uniformed when performing their work assignments in the caf6 The term appropriate uniform is interpreted to include all apparel, visible badges, hats, hairnets, etc e Employees of the Licensee shall not take breaks during peak hours of operation (8 00 AM to 9 00 AM, and 11 30 AM to 1 30 PM) SECTION 4 RESERVATIONS AND ENCUMBRANCES a City expressly reserves a right to enter upon the Premises with as much advance written, verbal or electronic notice as possible to Licensee for any reason associated with public health, safety or welfare, or for the protection of life, limb or property In all other cases unless otherwise specifically set forth herein, City reserves the right for such entry but City shall give Licensee at least twenty-four (24) hours advance written, verbal or electronic notice 14-4501/115086 4 b City expressly reserves the right to license, convey, or encumber the Premises, in whole or in part, for any purpose not inconsistent or incompatible with the rights or privileges of Licensee under this License c This License is subject to pre-existing contracts, licenses, licenses, easements, encumbrances and claims affecting the Premises and it is made without warranty by City of title, condition or fitness of the licensed property for the stated or intended use SECTION 5 TERM The Term of the License shall be five years with one additional 5-year term at the sole discretion of City, from the date of execution hereof The License shall commence at 12.01 AM on f/q,ti , , 2015, for a five (5) year term, wluch shall end at 11 59 PM on —Dpc., 2020, unless extended or sooner terminated, as provided for herein The Licensor may terminate the agreement at any time upon written notice to Licensee for any reason, including convenience or cause. In the case of a termination for the Licensor's convenience, the Licensee will be given 60 days written notice SECTION 6 CONDITIONS OF PREMISES The taking of possession of the Premises by Licensee shall, in itself, constitute acknowledgment that the Premises are in good and tenantable condition Upon taking possession of the Premises, Licensee agrees to accept the Premises in their presently existing condition, "as is", and agrees that City shall not be obligated to make any alterations, additions or betterments thereto 14-4501/115086 5 SECTION 7 DURATION OF PUBLIC FACILITIES By entering into this License, City makes no stipulation as to the type, size, location or duration of public facilities (excluding the Premises), including, without limitation, any City parking lots to be maintained on property owned, controlled or occupied by City SECTION 8 ADDITIONS, ALTERATIONS AND REMOVAL a No modifications, alterations or additions to the Premises, including, without limitation, construction of Improvements or changes to structural design, landscape design, or interior or exterior furnishings, shall be constructed or made by Licensee without Licensee first obtaimng the prior written approval of City b Except as provided under this License, no alteration or removal of existing Improvements on or natural features of the Premises shall be undertaken without Licensee first obtaining the prior written approval of City c Licensee's obligation to obtain City's prior written approval is separate and independent of Licensee's obligation to obtain any permits from City, such as, without limitation, a building permit d Any equipment, funushmgs, fixtures, or appurtenances the installation of which requires a permanent alteration to the premises shall become the property of the Licensor upon expiration or termination of the agreement The Licensor may, at its discretion, allow the Licensee to remove equipment, fixtures, or appurtenances if the Licensee, at its own expense 14-4501/115086 6 and to the Licensor's satisfaction, restores the premises to its condition prior to installation. e The Licensor will, without obligation, consider modifications to the facility which the Licensee desires to enhance serviceability All such modifications will be performed by, or overseen by the Licensor's crews or contractors In no instance shall failure by the Licensor to perform a requested modification relieve the Licensee from fully performing its obligations under the agreement. SECTION 9 FACILITIES AND EQUIPMENT The Licensee may prepare a design for the cafe, which will be subject to City approval Because the area available for the cafe and patron seating is limited and subject to change from time to time, special attention must be given to the organization of each element All elements are to be designed as an integral part of the cafe and must remain mobile in nature to accommodate any future space design changes. Generally, the design must adhere to these guidelines Careful attention is to be given to each piece of equipment and how it will be viewed by the public All equipment is subject to design review and approval by the Real Estate Manager and/or his/her designee a Structures such as canopies and sneeze guards are not acceptable b Neon, exposed fluorescent, and track lighting are not permitted c Signage/menu boards are subject to approval d Cabinets and drawers are to be designed to be lockable l 4-4501/115086 7 e The Licensor will not be responsible for damage, loss, or theft of property in the Concession The Licensee's menu is described in Exhibit C Licensee shall be responsible for providing any additional equipment which it deems necessary by reason of its operation of the cafe in the premises All such additional equipment to be delivered to or installed in the premises must be approved in advance by the Real Estate Manager or his/her designee and the Public Works Director, or his/her designee The Licensee will not perform any spatial modifications to the Premises The Licensee shall be responsible for maintaining equipment and furnishings including but not limited to tables, chairs, and waste receptacles required for the convenience of customers in the cafe or seating area All other equipment and furnishings provided by Licensee shall be promptly removed upon expiration or termination of the agreement The Licensee shall provide all required equipment, furnishings, appliances, dishware, flatware, paper goods, and other utensils required for the serving and consumption of the menu items Commercial quality paper/plastic ware for customer use will be acceptable Licensee will be required to comply with the City's ordinance prohibiting the use of Styrofoam products at City facilities The Licensee is strongly encouraged to use recycled products (i e paper coffee cups, etc.) The Licensee does not guarantee the uninterrupted provision of electricity or other utilities or service except to ensure that all reasonable and diligent efforts will be pursued in restoring interrupted service The Licensee shall not be held liable for any losses incurred by the Licensor which may result from interruptions or failure of such service. ]4-4501/115086 8 SECTION 10 RENT The initial base rent will be $75 00 per month for the first year with the cost of telephone, electricity, water, and sewer provided by the Licensor The base rent will increase to $100 00 per month starting the second year with muumum annual Consumer Price Index adjustments of 2% thereafter The Licensee will make rent payments within 30 days of the last day of each preceding month If the Licensee is delinquent for 30 days or longer in paying any amount owed under the agreement, the Licensee shall pay to the Licensor 10% of rent, accrued monthly until the payment is made in full Base rent will be automatically adjusted effective upon the date of the first renewal, to an amount not less than 2% Licensee shall pay the rent monthly to City at the City Treasurer's Office, P O Box 711, Huntington Beach, California, 92648, or at such other place or places as City may from time-to-time designate by written notice delivered to Licensee Licensee shall pay the rent, which must be received by the City Treasurer within fifteen (15) calendar days after the end of the month for which the rent is being paid, or on the next business day if the fifteenth day falls on a weekend or holiday SECTION I l LATE CHARGE AND PENALTY If the rent is not received by the City Treasurer within fifteen (15) calendar days after the end of the month for which the rent is being paid, or the next business day if the twentieth day falls on a weekend or holiday, Licensee shall pay the following late charge and penalty (1) a late charge of ten percent (10%) shall be applied to any outstanding balance after any payment hereunder is due but unpaid, and (2) one and a half percent (1 11/2%) penalty per month shall be added for each month the rent is due but unpaid With respect to any other payments required by Licensee, a one and a half percent (1 11/2%) 14-4501/115086 9 penalty per month shall be added for each month such payment hereunder is due but unpaid SECTION 12 BOOKS AND RECORDS Licensee shall keep true and accurate books and records showing all of its business transactions in separate records of account for the Concession in a manner acceptable to City, and City and/or its designated representatives shall have the right, at all reasonable times, to inspect such books and records including, without limitation, State of Califorma sales or use tax returns or other State return records, and Licensee hereby agrees that all such records and instruments shall promptly be delivered and made available to City and/or its designated representatives within thirty (30) days of receiving written request therefore Licensee shall furmsh to City and/or its designated representatives copies of its quarterly Califorma sales and use tax returns at the time each is filed with the State of California The books and records shall show the total amount of Gross Sales made each calendar month in, on, or from the Premises and any exclusions listed in Section 13 above All sales and charges shall be recorded by means of cash registers which display the amount of the transaction certifying'the amount recorded The register shall be equipped with devices which log in daily sales totals and which shall record on tapes the transaction numbers and sales details Licensee agrees to maintain on the Premises, or another location subject to the prior written approval of City, all records, books of account and,cash register tapes, showing, or in any way pertaining to the Gross Sales made in, on, or from the Premises, including, without limitation, State of California sales 14-4501/115086 10 or use tax returns or other State tax returns, for a period of five (5) years following the close of each calendar month SECTION 13 QUALITY OF SALES, RENTALS AND SERVICES Licensee, at its sole cost and expense, shall equip, operate, manage and maintain the Premises and Concession and shall keep the same equipped and maintained in a manner acceptable to City during the entire term of tlus License or any renewals or extensions thereof or during any holdover period It is the intent of City that the cafe's services be provided in a manner to meet the needs of the visiting public, and should City deem the cafe's hours of operation and/or food, merchandise, services or rentals inadequate to meet such needs, City may require Licensee to make such changes requested by City Licensee's menu (Exhibit C) has been reviewed and approved by the City Any request to modify the Proposal (including prices and menu items) must be in writing submitted to the City. City reserves the right to reject any proposed modifications to the menu Licensee shall not use or permit the Premises to be used, in whole or in part, during the entire term of this License or any renewals or extensions thereof or during any holdover period for any purpose other than as herein set forth, without the prior written consent of City Except as permitted in advance in writing by City, all foods and beverages shall be sold in disposable paper or plastic containers No pull-top cans or styrofoam containers are to be vended or dispensed from the Premises unless pre-approved in writing by City Licensee, wherever feasible, shall eliminate the use of non-recyclable containers and plastics City may from time to time review the items sold and containers 14-4501/115086 11 or utensils used or dispensed by Licensee City reserves the right to prohibit the sale or use of non-recyclable containers or plastics City in its sole discretion reserves the right to prohibit Licensee's sale, provision or rental of any item or service rendered or performed, which it deems objectionable or offensive, beyond the scope deemed necessary for proper service to the public, inappropriate for sale, provision or rental by the Concession, or of inferior quality SECTION 14 INDEMNIFICATION. DEFENSE AND HOLD HARMLESS AGREEMENT Licensee hereby agrees to protect, defend, indemnify and hold harmless City, its officers, elected or appointed officials, employees, agents and volunteers from and against any and all claims, damages, losses, expenses, judgments, demands and defense costs (including, without limitation, costs and fees of litigation (including arbitration) of every nature or liability of any kind or nature) ansmg out of or in connection with (1) the use or occupancy of the Premises by Licensee, its officers, employees or agents, or (2) the death or injury of any person or the damage to property caused by a condition of the Premises, or (3) the death or injury of any person or the damage to property caused by any act or omission of Licensee, its officers, employees or agents, or (4) any failure by Licensee to keep the Premises in a safe condition, or (5) Licensee's (or Licensee's agents and/or sublicensees, if any) performance of this License or its failure to comply with any of its obligations contained in this License by Licensee, its officers, agents or employees except such loss or damage which was caused by the sole negligence or willful misconduct of City Licensee shall hold all Trade Fixtures, personal property and trade inventory on the Premises at the sole risk of Licensee and save City harmless from any 144501/115086 12 loss or damage thereto by any cause whatsoever, except such loss or damage which was caused by the sole negligence or willful misconduct of City Licensee will conduct all defenses at its sole cost and expense and City shall approve selection of Licensee's counsel This indemnity shall apply to all claims and liability regardless of whether any insurance policies are applicable The policy limits do not act as limitation upon the amount of indemnification to be provided by Licensee SECTION 15 WORKERS' COMPENSATION AND EMPLOYERS' LIABILITY INSURANCE Licensee acknowledges awareness of Section 3700 et seq of the California Labor Code, which requires every employer to be insured against liability for workers' compensation Licensee covenants that it shall comply with such provisions prior to the commencement of this License Licensee shall obtain and furnish to City workers' compensation and employers' liability insurance in amounts not less than the State statutory limits Licensee shall require all sublicensees and contractors to provide such workers' compensation and employers' liability insurance for all of the sublicensees' and contractors' employees Licensee shall furnish to City a certificate of waiver of subrogation under the terms of the workers' compensation and employers' liability insurance and Licensee shall similarly require all sublicensees and contractors to waive subrogation SECTION 16 GENERAL PUBLIC LIABILITY INSURANCE In addition to the workers' compensation and employers' liability insurance and Licensee's covenant to defend, hold harmless and indemnify City, Licensee shall obtain and furnish to City, a policy of general public liability insurance, including motor vehicle 14-4501/115086 13 coverage against any and all claims ansmg out of or in connection with the Premises This policy shall indemnify Licensee, its officers, employees and agents, while acting within the scope of their duties, against any and all claims ansmg out of or in connection with the Premises, and shall provide coverage in not less than the following amount combined single limit bodily injury and property damage, including products/completed operations liability and blanket contractual liability, of One Million Dollars ($1,000,000 00) per occurrence If coverage is provided under a form which includes a designated general aggregate limit, the aggregate limit must be no less than One Million Dollars ($1,000,000 00) for the Premises This policy shall name City, its officers, elected or appointed officials, employees, agents, and volunteers as Additional Insureds, and shall specifically provide that any other insurance coverage which may be applicable to the License shall be deemed excess coverage and that Licensee's insurance shall be primary Under no circumstances shall said above-mentioned insurance contain a self- insured retention, or a"deductible" or any other similar form of limitation on the required coverage SECTION 17 PROPERTY INSURANCE Licensee shall provide before commencement of this License and shall obtain and furnish to City, at Licensee's sole cost and expense, property and fire insurance with extended coverage endorsements thereon, by a company acceptable to City authorized to conduct insurance business in California, in an amount insuring for the full insurable value of all Improvements, Trade Fixtures, personal property whether or not owned or licensed by Licensee, and all trade inventory in or on the Premises against damage or 144501/115086 14 destruction by fire, theft or the elements This policy shall contain a full replacement cost endorsement naming Licensee as the insured and shall not contain a coinsurance penalty provision The policy shall also contain an endorsement naming City as an Additional Insured The policy shall contain a special endorsement that such proceeds shall be used to repair, rebuild or replace any such Improvements, Trade Fixtures, personal property whether or not owned or licensed by Licensee, and all trade inventory so damaged or destroyed, and if not so used, such proceeds (excluding any insurance proceeds for Trade Fixtures, personal property whether or not owned or licensed by Licensee, and trade inventory, but only to the extent the insurance proceeds specifically cover those items) shall be paid to City The policy shall also contain a special endorsement that if the Premises are so destroyed triggenng the parties' ability to terminate as set forth in Section 38 (Destruction) below, and either party elects to terminate the License, the entire amount of any insurance proceeds (excluding such proceeds for Trade Fixtures, personal property whether or not owned or licensed by Licensee and trade inventory, but only to the extent the insurance proceeds specifically cover those items) shall be paid to City The proceeds of any such insurance payable to City may be used, in the sole discretion of City, for rebuilding or repair as necessary to restore the Premises or for any such other purpose(s) as City sees fit. This policy shall also contain the following endorsements a The insurer shall not cancel or reduce the insured's coverage without(30) days prior written notice to City, b City shall not be responsible for premiums or assessments on the policy 144501/115086 15 A complete and signed certificate of insurance with all endorsements required by this Section shall be filed with City prior to the execution of this License. At least thirty (30) days prior to the expiration or termination of any such policy, a signed and complete certificate of insurance showing that coverage has been renewed shall be filed with City SECTION 18 INCREASE IN AMOUNT OF GENERAL PUBLIC LIABILITY AND PROPERTY INSURANCE Not more frequently than once every two (2) years, if, in the sole opinion of City, the amount and/or scope of general public liability insurance in Section 16 above and/or property insurance coverage in Section 17 above at that time is not adequate, Licensee shall increase the insurance coverage as reasonably required by City SECTION 19 CERTIFICATES OF INSURANCE, ADDITIONAL INSURED ENDORSEMENTS Prior to commencement of this License, Licensee shall furnish to City certificates of insurance subject to approval of the City Attorney evidencing the foregoing insurance coverage as required by this License; these certificates shall a provide the name and policy number of each carrier and policy, b shall state that the policy is currently in force, and c shall promise to provide that such policies shall not be canceled or modified without thirty (30) days' prior written notice of City, however ten (10) days' prior written notice in the event of cancellation for nonpayment of premium, which 10-day notice provision shall not apply to property insurance in Section 17 above 14-4501/1 l 5086 16 Licensee shall maintain the foregoing insurance coverage in force during the entire term of the License or any renewals or extensions thereof or during any holdover period The requirement for carrying the foregoing insurance coverage shall not derogate from Licensee's defense, hold harmless and mdemmfication obligations as set forth in this License City or its representatives shall at all times have the right to demand the original or a copy of any or all the policies of insurance Licensee shall pay, in a prompt and timely manner, the premiums on all insurance heremabove required. SECTION 20 INSURANCE HAZARDS Licensee shall not commit or permit the commission of any acts on the Premises nor use or permit the use of the Premises in any manner that will increase the existing rates for, or cause the cancellation of any liability, property, or other insurance policy for the Premises or required by this License. Licensee shall, at its sole cost and expense, comply with all requirements of any insurance carver providing any insurance policy for the Premises or required by this License necessary for the continued maintenance of these policies at reasonable rates SECTION 21 MAINTENANCE OF PREMISES Licensee agrees to maintain the Premises in good order and repair, at Licensee's sole cost and expense, during the entire term of this License or any renewals or extensions thereof or during any holdover period, pursuant to the City's maintenance standards Except as provided above, Licensee, at its sole cost and expense, shall perform any maintenance and repairs including, without limitation, the following 14-4501/115086 17 a All equipment, including, all optional equipment provided by the Licensee, including but not limited to soda display cases, and other refrigerated cases, shall be serviced at Licensee's expense at least semi- annually to ensure proper operation Service to heating and cooling equipment must include compressors, coils, and related mechanical components It shall be the Licensee's responsibility to ensure that all display cases are moved and the compressors, coils, interior, and exterior of machines/equipment washed and cleaned of dirt, dust, grease, and debris including behind and beneath the units (regardless of size) Upon expiration of the agreement, the equipment belonging to the Licensor shall be left in a condition correspondent to its status at contract commencement, normal wear and tear expected b The Licensee shall comply specifically with all cleaning requirements listed herein and shall maintain all areas of the cafe space in a clean and sanitary manner in accordance with the highest industry standards The Licensee shall tram all employees in a"clean-as-you-go"policy The cafe facilities will be subject to regular inspection by City and County officials c Cleaning frequency of processing areas shall be mandated by the types of food processed and any change in operation for that area Also, at the end of each working day, utensils, equipment, and surfaces used in processing shall be washed and sanitized Non-food contact areas and equipment shall be cleaned as often as necessary to prevent buildup of dirt, food particles, and other debris 14-4501/115086 18 d The Licensee must provide a plan for the daily and monthly cleaning schedule in addition to a listing of qualified personnel or contractors to perform those duties All cleaning shall be coordinated by and the responsibility of the Licensee, working through the City Hall maintenance supervisor when necessary e Continually through the day the Licensee shall keep clean the floor in the food preparation and serving areas and shall ensure the seating area, including tables and chairs, are clean and free of crumbs and other debris On a weekly basis, the Licensee shall wash and wax the floors f Cafe patrons may be expected to bus their trays, plates, cups, and other debris to designated receptacles and locations The Licensee shall be responsible to monitor the cafe seating area during service hours to ensure it is maintained in a clean condition, with trash and debris removed from tables, trash receptacles emptied, and tables and chairs wiped down as needed The Licensee may deposit trash in the City Hall dumpster g If the Licensee notices any condition which is unsafe, unhealthy, or in any other way would cause an accident, the Licensee shall make or cause to be made appropriate repairs to remedy the condition If correction of the condition will take more than routine attention, the Licensee shall notify the City Hall maintenance supervisor immediately h The Licensee must comply with all City, County, State, and Federal environmental health laws and regulations regarding health, including but not limited to grease disposal, waste water discharge, sanitary food 14-4501/115086 19 preparation etc Licensee is expected to maintain a rating of A from the County Health Department and at no time fall below a B rating Should Licensee receive a B rating, they must take immediate action to obtain an A rating. Licensee's obligation includes, without limitation, maintaining and operating the Premises and adjacent areas to a distance of not more than fifty (50) feet, in a clean, safe, wholesome and sanitary condition free of trash, garbage or obstructions of any kind and in compliance with any and all present and future laws, general rules or regulations of any governmental authority now, or at any time during the entire term of this License or any renewals or extensions thereof or during any holdover period, in force, relating to sanitation or public health, safety or welfare, or for the protection of life, limb or property, and Licensee shall at all times faithfully obey and comply with all laws, rules and regulations applicable thereto Licensee, at its sole cost and expense, shall remedy without delay any defective, dangerous or unsanitary condition(s) caused by Licensee or anyone related thereto Provided, however, that Licensee shall have no obligation to repair or maintain sewer lines or respond to sewer leaks Licensee hereby expressly waives the right to make repairs at the expense of City and the benefit, if any, of the provisions of Sections 1941 and 1942 of the California Civil Code relating thereto SECTION 22 RENT CREDIT City in its sole discretion may decide to give Licensee rent credit if Licensee undertakes (1) repair or maintenance under this License, (2) any work City in its sole discretion deems necessary and appropriate or (3) any Licensee improvements, fixtures, 14-4501/115086 20 furnishings, and/or equipment Prior to Licensee undertaking any such work or purchases, City must agree in writing to the amount of and procedures for the rent credit, the work to be done by Licensee and the cost of such work. Any procurement made pursuant to this section shall become the property of the City SECTION 23 DAMAGE. DESTRUCTION OR NUISANCE Licensee shall not commit or permit the commission by others of any damage or destruction of, on, or to the Premises and/or Concession Licensee shall not maintain, commit or permit the maintenance or commission of any nuisance as defined in Section 3479 and/or Section 3480 of the California Civil Code on the Premises; and Licensee shall not use or permit the use of the Premises for any unlawful purpose SECTION 24 PAYMENT OF OBLIGATIONS Licensee shall promptly pay, at its sole cost and expense, before they become delinquent, any and all bills, debts, liabilities and obligations incurred by Licensee in connection with Licensee's occupation and use of the Premises and/or operation of the Concession Upon request, Licensee shall promptly furnish to City satisfactory evidence establishing such payment SECTION 25 BUSINESS LICENSE Licensee shall maintain a business license from City during the entire term of this License or any renewals or extensions thereof or during any holdover period SECTION 26 SIGNS,ADVERTISING AND APPROVAL OF NAME City shall have the right to approve in its sole discretion and at any time require Licensee to change or remove signs, names, placards, decorations or advertising placed on, or inscribed, painted or affixed upon the Premises Should City approve of any sign, 14-4501/115086 21 name, placard, decoration or advertising, Licensee shall maintain the same at all times during the entire term of this License or any renewals or extensions thereof or during any holdover period in good appearance and repair All signs, names, placards, decorations or advertising must comply with all requirements of any governmental authority with jurisdiction SECTION 27 NO ASSIGNING, SUBLEASING OR ENCUMBERING The parties acknowledge that City is entering into the License in reliance upon the experience and abilities of Licensee and its principals Consequently, Licensee shall not voluntarily assign, encumber or otherwise transfer its interest in the License or in the Premises, or sublicense all or any part of the Premises, or allow any other person or entity (except Licensee's authorized representatives) to occupy or use all or any part of the Premises without the prior written consent of City, which consent shall not be unreasonably withheld SECTION 28 TERMS BINDING ON SUCCESSORS All the terms, covenants and conditions of this License shall inure to the benefit of and be binding upon the parties and their successors, including, without limitation, their assignees, encumbrances, occupiers or users, sublicensees or other transferees The provisions of this Section shall not be deemed as a (1) waiver of any of the prohibitions and conditions against assignments, encumbrances, occupations or uses, sublicenses or other transfers herembefore set forth, or (2) City's consent thereto If more than one licensee is a party to this License, the obligations of the licensees shall be joint and several Even if City's consent is not required, Licensee shall immediately provide City 14-4501/115086 22 with written notice of any, assignment, encumbrance, occupation or use, sublicense or other transfer SECTION 29 DEFAULT The occurrence of any one or more of the following events shall constitute a material default and breach ("Default") of this License by Licensee a Licensee's failure to make any payment of the rent or other payment required to be made by Licensee at the time required for payment under this License b Licensee's failure to obtain or maintain the insurances as required under this License c Licensee's vacating or abandonment of the Premises for two (2) or more consecutive business days during the entire term of this License or any renewals or extensions thereof or during any holdover period Closure of the Concession for more than a combined total of one hundred eighty (180) days in a calendar year. minus any days of closure of the Concession caused by City, shall be deemed an abandonment of the Premises d Licensee's violation of Section 14 (Indemnification, Defense and Hold Harmless Agreement), Section 27 (No Assigning, Subleasing or Encumbering), Section 33 (Hazardous Substances), Section 34 (Nondiscrimination), Section 35 (Sale of Alcoholic Beverages and Entertainment Prohibited), Section 43 (Conflict of Interest) or Section 45 (Compliance with Laws) l 4-4501/115086 23 e The insolvency of Licensee as evidenced by a receiver being appointed to take possession of all or substantially all of Licensee's assets located at or on the Premises or of Licensee's interest in this License, or the making by Licensee of a general arrangement or assignment for the benefit of creditors, or Licensee's filing a petition in bankruptcy, whether voluntary or involuntary, or the attachment, execution or the judicial seizure of substantially all of Licensee's assets located at or on the Premises or of Licensee's interest in the License f Licensee's failure to observe or perform any other term, covenant, obligation, duty, responsibility or condition of this License to be observed or performed by Licensee when such failure shall continue for a period of thirty (30) days after City's giving written notice to Licensee, or such earlier period if specifically set forth in this License, however, if the nature of such failure is such that more than thirty (30) days are reasonably required for its cure, then Licensee shall not be deemed to be in Default if Licensee notifies City of the length of the additional time required to cure and receives City's written approval of the additional time required, which approval will not be unreasonably withheld, and commences such cure within such thirty (30) day period and diligently proceeds with such cure to completion during such additional time period approved by City 144501/115086 24 SECTION 30 TERMINATION In the event of a default by Licensee, City may at City's sole discretion terminate this License by giving Licensee written notice of termination In the event City terminates this License, City may recover possession of the Premises (which Licensee shall immediately surrender and vacate upon demand) and remove all persons therefrom, and Licensee shall comply with, without limitation, all requirements of this Agreement City also shall be entitled to recover as damages all of the following a The worth at the time of the award of any unpaid rent or other charges which have been earned at the time of termination, b The worth at the time of the award of the amount by which the unpaid rent (each month's rent would be calculated as the average rent for that same month in the preceding years, or if Licensee did own/operate the Concession in the preceding years, then each month's rent would be calculated as the average of all months Licensee owned/operated the Concession) and other charges which would have been earned after termination until the time of the award exceeds the amount of the loss of such rental and other charges that Licensee proves could have been reasonably avoided, c The worth at the time of the award of the amount by which the unpaid rent (each month's rent would be calculated as the average rent for that same month in the preceding years, or if Licensee did not own/operate the Concession in the preceding years, then each month's rent would be calculated as the average of all months Licensee owned/operated the 14-4501/115086 25 Concession) and other charges for the balance of the term after the time of the award exceeds the amount of the loss of such rental and other charges that Licensee proves could have been reasonably avoided; d Any other amount necessary to compensate City for the detriment proximately caused by Licensee's failure to perform its obligations, liabilities, duties or responsibilities under this License; and e At City's sole discretion, such other amounts in addition to or in lieu of the foregoing as may be permitted from time to time by applicable California law SECTION 31 WAIVER OF CLAIMS Licensee hereby waives any claim against City, its officers, elected or appointed officials, employees, agents or volunteers for damage or loss caused by any suit or proceeding directly or indirectly attacking the validity of this License, or any part thereof, or caused by any judgment or award in any suit or proceeding declaring this License null, void or voidable, or delaying the License or any part thereof from being carried out SECTION 32 PHOTOGRAPHY Licensee acknowledges and agrees that City may grant permits to third parties engaged in the production of still and motion pictures and related activities to take photographs or videos of or on the Premises when such permission shall not interfere with the primary business of Licensee, all without providing Licensee with notice or requiring consent by Licensee 14-4501/115086 26 SECTION 33 HAZARDOUS SUBSTANCES Licensee represents and warrants that its use or occupation of the Premises shall not generate any Hazardous Substance (as defined below in this Section), and it shall not store or dispose on the Premises nor transport to or over the Premises any Hazardous Substance during the entire term of this License or any renewals or extensions thereof or dunng any holdover period The foregoing restrictions shall not be deemed to restrict or prohibit the use by Licensee of ordinary cleaning products as customarily used in Licensee's ordinary course of business at the Concession, provided that Licensee complies with all provisions of law as to the use, storage and disposal of such products Licensee further agrees to clean up and remediate any such Hazardous Substance on the Premises, and agrees to protect, defend, indemnify and hold harmless City, its officers, elected or appointed officials, employees, agents and volunteers from and against any and all claims, damages, losses, expenses,judgments, demands and defense costs (including, without limitation, costs and fees of litigation (including arbitration) of every nature or liability of any kind or nature) ansing out of or in connection with any such Hazardous Substance and any damage, loss, or expense or liability resulting from any such Hazardous Substance including, without limitation, all attorney's fees, costs and penalties incurred as a result thereof except any relicense caused by the sole negligence or willful misconduct of City Licensee will conduct all defense at its sole cost and expense and City shall approve selection of Licensee's counsel This indemnity shall apply to all claims and liability regardless of whether any insurance policies are applicable The policy limits do not act as limitation upon the amount of indemnification to be provided by Licensee "Hazardous substance" shall be interpreted broadly to mean any substance 14-4501/115086 27 or material defined or designated as a hazardous or toxic waste, hazardous or toxic material, hazardous or toxic or radioactive substance, or other similar term, by any Federal, State or local environmental law, regulation or rule presently in effect or promulgated in the future, as such law, regulation or rule may be amended from time to time, and it shall be interpreted to include, without limitation, any substance which after relicense into the environment will or may reasonably be anticipated to cause sickness, death or disease SECTION 34 NONDISCRIMINATION Licensee and its employees shall not discriminate because of race, religion, color, ancestry, sex, age, sexual orientation, family or marital status, national origin or physical handicap against any person by refusing to furnish such person any accommodation, facility, rental, service or privilege offered to or enjoyed by the general public Nor shall Licensee or its employees publicize the accommodation, facilities, rentals, services or privileges in any manner that would directly or inferentially reflect upon or question the acceptability of the patronage of any person because of race, religion, color, ancestry, sex, age, sexual orientation, family or marital status, national origin or physical handicap In the performance of this License, Licensee shall not discriminate against any employee or applicant for employment, because of race, religion, color, ancestry, sex, age, sexual orientation, family or marital status, national origin or physical handicap Licensee shall take affirmative action to ensure that applicants are employed and that employees are treated during employment, without regard to their race, religion, color, ancestry, sex, age, sexual orientation, family or marital status, national origin or physical handicap Such action shall include, without limitation, the following employment, 14-4501/115086 28 upgrading, demotion or transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including, without limitation, apprenticeship Licensee shall post in conspicuous places, available to all employees and applicants for employment, notices setting forth the provisions of this Section SECTION 35 SALE OF ALCOHOLIC BEVERAGES AND ENTERTAINMENT PROHIBITED Notwithstanding anything to the contrary, the sale or provision of alcoholic beverages and/or live entertainment in, on, or from the Premises is expressly forbidden, unless expressly permitted in writing by City in advance. For any proposed sale or provision of alcoholic beverages, Licensee must first obtain written City approval prior to submitting any request for approval to the Alcohol Beverage Commission SECTION 36 LIENS Licensee shall keep the Premises free and clear from any and all liens, including, without limitation, mechanics' or matenalmens' liens, claims and demands for work performed, materials furnished, or operations conducted on or about the Premises or by reason of any use or occupancy by Licensee, or any person claiming under Licensee When applicable, Licensee shall cause a notice of nonresponsibility to be posted and recorded pursuant to California Civil Code Section 3094 SECTION 37 INSTALLATION AND REMOVAL OF TRADE FIXTURES Licensee shall have the right during the entire term of this License or any renewals or extensions thereof, at Licensee's sole cost and expense, to install or affix in, to, or on the Premises any machinery, equipment and other objects (the "Trade Fixtures"), 14-4501/115086 29 for use in Licensee's trade or business as Licensee may deem advisable Any and all such Trade Fixtures that can be removed without structural damage to the Premises shall remain the property of Licensee and may be removed by Licensee at any time prior to the expiration or termination of this License, provided Licensee repairs any damage caused by the removal Upon execution of this License and every anniversary, Licensee shall provide City with a list of all Trade Fixtures on the Premises SECTION 38. DESTRUCTION Should the Premises be partially destroyed, this License shall continue in full force and effect, and Licensee, at Licensee's sole cost and expense, shall complete the work of repairing and restoring the Premises to their prior condition providing such work can be accomplished under all applicable governmental laws and regulations within one hundred eighty (180) days Should the Premises be so far destroyed that in City's reasonable judgment they cannot be repaired or restored to their former condition within one hundred eighty (180) days, City shall give Licensee notice of such determination in writing and each party may, in that party's sole discretion a Continue this License in full force and effect in which case Licensee shall repair and restore, at Licensee's sole cost and expense, the Premises to their former condition, or b Terminate this License by giving the other party thirty (30) days' written notice of such termination within sixty (60) days after the date that City gives Licensee notice that the Premises cannot be repaired or restored to their former condition within one hundred eighty (180) days In the event that either party elects to terminate this License, the entire amount of any 14-4501/115086 30 insurance proceeds (excluding such proceeds for Trade Fixtures, personal property whether or not owned or licensed by Licensee and trade inventory, but only to the extent that the insurance proceeds specifically cover those items) shall be paid to City The proceeds of any such insurance payable to City may be used, in the sole discretion of City, for rebuilding or repair as necessary to restore the Premises or for any other such purpose(s) as City sees fit In addition, if Licensee elects to terminate the License, Licensee must still comply with all of its obligations, liabilities, duties and responsibilities under the License, including, without limitation, paying any rent due up to the time of termination and surrendering the Premises, in accordance with the requirements of this Agreement In the event of the damage or destruction of Improvements, Trade Fixtures and/or personal property located on the Premises not giving rise to a termination of this License, Licensee shall, at its sole cost and expense, replace and repair the same as soon as reasonably possible to permit the prompt continuation of Licensee's business at the Premises SECTION 39 NO ABATEMENT OF RENT DURING REPAIR WORK The rent shall not be abated for the time Licensee is prevented from using the whole or a portion of the Premises In addition, Licensee shall not be excused from the payment of taxes, insurance or any other obligations for the time Licensee is prevented from using the whole or a portion of the Premises 144501/115086 31 SECTION 40 CITY'S OPTION TO CLOSE THE PREMISES City may close the Premises without liability and without advance notice to Licensee therefore at any time as City in its sole discretion deems necessary for the protection of life, limb or property, or for public health, safety or welfare purposes, or upon reasonable notice to effect any repair, remodeling or rebuilding deemed necessary by City in its sole discretion The length of time of any closing of the Premises by City longer than two (2) weeks during a period when the Concession would otherwise be open shall extend the term of the License by the same amount of time If this occurs, Licensee and City shall memorialize this extension in writing SECTION 41 DELIVERIES OF SUPPLIES City may establish the days and times deliveries of supplies may be made and advise Licensee in writing thereof SECTION 42 EMPLOYEE PARKING City shall establish the days, times and locations where Licensee and Licensee's employees may park, and the number of automobiles, trucks, and other motorized and non-motorized vehicles that Licensee and Licensee's employees may park, and advise Licensee in writing thereof SECTION 43 CONFLICT OF INTEREST Licensee warrants and covenants that no official or employee of City, nor any business entity in which an official or employee of City is interested, (1) has been employed or retained by Licensee to solicit or aid in the procuring of this License, or (2) shall be employed by Licensee in the performance of this License without the immediate written divulgence of such fact to City In the event City determines that the employment 144501/115086 32 of any such official, employee or business entity is not compatible with such official's or employee's duties as an official or employee of City, Licensee, upon request of City, shall terminate such employment immediately For breaches or violation of this Section, City shall have the right both to terminate this License without liability and, in its discretion, recover the full amount of any such compensation paid to such official, employee or business entity No official or employee of City shall have any financial interest in this License in violation of the applicable provisions of the California Government Code SECTION 44 NOTICE Unless specifically providing for verbal or electronic notice, all notices, certificates, or other communications required to be given hereunder shall be in writing and made in the following manner, and shall be sufficiently given and deemed received when (a) personally delivered, or (b) three (3) business days after being sent via United States certified mail — return receipt requested, or (c) one (1) business day after being sent by reputable overnight courier, in each case to the addresses specified below, provided that City and Licensee, by notice given hereunder, may designate different addresses to which subsequent notices, certificates or other communications will be sent CITY LICENSEE City of Huntington Beach Sun-Hunter USA, Inc ATTN Deputy Director of Economic dba Java Bakery Cafe Development Attn Ms Hong Yang 2000 Main Street, P O Box 190 18685 Main Street, Suite 107 Huntington Beach, CA 92648 Huntington Beach, CA 92648 14-4501/115086 33 SECTION 45 COMPLIANCE WITH LAWS Licensee, at its sole cost and expense, shall comply with all statutes, ordinances, regulations and requirements of all governmental entities, including, without limitation, Federal, State, county or municipal, relating to Licensee's use and occupancy of the Premises and/or operation of the Concession whether such statutes, ordinances, regulations and requirements be now in force or hereinafter enacted This License is expressly subject to the laws, regulations and policies of City Licensee shall deliver to City a copy of any notice from any governmental entity received by Licensee regarding any alleged violation of law regarding the License, Premises or the Concession or from any person allegedly entitled to give notice under any conditions, covenants, or restrictions binding or affecting the Premises The judgment of any court of competent jurisdiction, or the admission by Licensee in a proceeding brought against Licensee by any government entity, that Licensee has violated any such statute, ordinance, regulation or requirement shall be conclusive as between City and Licensee and shall be grounds for termination of this License by City SECTION 46 MODIFICATION No waiver or modification of any language in this License shall be valid unless in writing and duly executed by both parties SECTION 47 INDEPENDENT CONTRACTOR Licensee is, and shall be, acting at all times in the performance of this Agreement as an independent contractor herein and not as an employee of City Licensee shall secure at its own cost and expense, and be responsible for any and all payment of all taxes, social security, state disability insurance compensation, unemployment 144501/115086 34 compensation and other payroll deductions for Licensee and its officers, agents and employees and all business licenses, if any, in connection with the License and/or any services to be performed hereunder SECTION 48. ATTORNEY'S FEES In the event suit is brought by either party to construe, interpret and/or enforce the terms and/or provisions of this License or to secure the performance hereof, each party shall bear its own attorney's fees, such that the prevailing party shall not be entitled to recover its attorney's fees from the non-prevailing party SECTION 49. GOVERNING LAW This License shall be governed and construed in accordance with the laws of the State of California SECTION 50. ENTIRETY The parties acknowledge and agree that they are entering into this License freely and voluntarily following extensive arm's length negotiations, and that each has had the opportunity to consult with legal counsel prior to executing this License The parties also acknowledge and agree that no representations, inducements, promises, agreements or warranties, oral or otherwise, have been made by that party, or anyone acting on that party's behalf, which are not embodied in this License, and that that party has not executed this License in reliance on any representation, inducement, promise, agreement, warranty, fact or circumstance not expressly set forth in this License The License, and the attached exhibits, contain the entire agreement between the parties respecting the subject matter of this License, the Premises, the leasing of the Premises to Licensee, or the license term created 14-4501/115086 35 under this License and supersede all prior understandings and agreements, whether oral or in writing between the parties respecting the subject matter hereof IN WITNESS WHEREOF, the parties hereto have caused this License to be executed by and through their authorized officer's �l.L Ly 0& 2015 OPERATOR CITY OF HUNTINGTON BEACH, a Sun-Hunter USA, Inc municipal corporation of the State of dba Java Bakery C66 California 40 P By n Mayor print name ITS. (circle one Chairm resident/Vice President o Clerk 1I� AND IIs By �C4A� Fakot U� APPROVED O FO ,5ALL)RA t5aA� f 12-11 print name IT (circle one ecret Chief Financial Officer/Asst City Attorney Dim �rZ211s Secretary-Treasurer INITIATED APPROV �F e� Deputy Director of EcKnomic Development REVIEWED AND APPROVED Manager Exhibits A Description of the Premises B Map Depicting the Premises C Menu 14-4501/115086 36 • t t Exhibit A 7 3 General Description Lower Level Eatery s The proposed location of the eatery is in the lower level floor of Huntington Beach City Hall. The eatery is a total of 702 square feet, of which 454 square feet is the dining and service area, and the remaining 252 square feet is divided and designated as the storage area. The eatery is centrally located in the lower level with its entrance 42 feet from the Credit Union, 52 feet from the public restrooms, 31 feet from the elevators, and 90 feet from the Council ; Chambers. Approximately six deuce tabletops are proposed in the dining area of the eatery. The hall adjacent to the eatery is 39 feet and the perpendicular hallway leading to the patio is 48 feet with a current count of 11 deuce tabletops. There is additional seating and opportunity for outdoor service in the patio at the southeast area of z City Hall, which is 60 feet away from the entrance of the eatery. The patio is approximately 3,650 square feet and has nine tables, seating six comfortably per table. 1 7 i 4 1 1 t t F 3 3t 1 t( 1 F S Credit Union Council Mi 5�! Eatery - F, � a i �F I I R I � xhlbl-- C Java BaIlery C em—, 0 r; 6 .. x zz ; �i .� _ -_ '_ _ -'� L Ate••� - - +r 1' C Ln C, U- n Ll) r,0 O o 0 O O rJ :n:n h U-) Lr) L^. Ln en Ln 0 0 0 O v9 Ln Ln O r r) (D C) 0,CI0) U') 0� I,- N (NO' fMCDC} d MDMMM - M :; 7f M,M,Mr)M NtJ Md v rr] 4zz d- ctd NNNNN Lr1C0L L"; � COL-c �^, I-nL^)CCC Ln O J m Ln 00 CD000000 � CDLn ��� DC �fG` C 001 G) 000��D -D DM N �r, � dlC% NNNr, r , - r Win^ NNN� n� N NMrMMMiM �P` d- NNNN � � Coon) Lno n nu oo L,-�(DoC)LI)L! �no0oaln �-nLncCD00oa � o �rJ Ot- G1rr- NN0N Uni-nr� r-. N tic} J ^J „ J ^;n7MMniM NNN,r (Y) N N MM MMMMM .— CNN r- e— :1� ,p rZ .r u. wo N V J 4-1 �O m �` G O O G C f1 rn -0 z a a Ln .o v G Gr V a tee. e� w Q ro a E v a o roa f . ra „ `P= r 0 a o 0 ® C S a c: ri n.' cr as a.r ar aU a.r a� a cu 'iJ'Lj v�..1''>✓° 0 gyp'U r'.J� `e en Ln r_r� Ln L. Ln u) Ln 6n G7 w o o Ln r- r- C, ao ry raa r N r� 4n ra! " ILI 10 _ - — CD c c as CD — 2- •� � G 75 I j T o o r.J ._. 5'v a:. a> T`o O O a=;- C Q S Q V QJ ® b C Ql o �. CD - c c - - y �r iw J If Lf) Ln CD m77, O ID cz ro � V �c� a. J cn O i Y o o v a.' _O. ea kZP ad CL= -�=. '� � q ` -^ J o c- T �+ c �^ r'-� O nn✓ { � �6 � 4d 1 u p� � ara.^, as `^ S 4° r WS :? l,J c '6J O_ V1 c/1 ui VOE c7C �- r;; '�✓R�® CERTIFICATE OF LIABILITY INSURANCE 06/(03/2019 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. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED,the policy(ies) must 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). PRODUCER CONTNAME pCT Ling Yin _ NETWORKED INSIIRANCE AGENTS/ PHONE AIL No g09-598-1555 FAX 909-598-1550 SOUTH POINTE INSURANCE AGENCY ADDRESS: ling@tlsummit.com 1142 S DIAMOND BAR BLVD STE 325 INSURERIS)AFFORDING COVERAGE NAIL If DIAMOND BAR CA 91765 _ INSURERA:Travlers INSURED INSURERB: AMTLUSt SUN-HUNTER USA, INC. INSURER C: INSURER D 23555 Golden Springs Drive #H2 INSURER E: Diamond Bar CA 91765 1 INSURER F: COVERAGES CERTIFICATE NUMBER: REVISION NUMBER: 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. INSR TYPE OF INSURANCE INSRADD M,BR POLICY NUMBER Iffil Y EFF MMIDDuYYXYY I LIMITS TR GENERAL LIABILITY I EACH OCCURRENCE 1s r I- 1,000,000- 680-9D692385 12/18/2014 12/le/201s DAMAGE TO RENTED COMMERCIAL GENERAL LIABILITY I PREMISES.[E oc_a_ cymence $ 300,DDD CLAIMS-MADE OCCUR MED EXP(Any one person) E 5,000 A APPROVED ' PERSONAL BADV INJURY E 1,000,000 AS TO FORM R GENERAL AGGREGATE 2,000,000 GEN'L AGGREGATE LIMIT APPLIES PER: � IS AGO $ 2,000,000 POLICY PRO LOC BPP(REPLACEMENT COST) $ 51150 COMBINED SINGLE LIMIT AUTOMOBILE LIABILITY Ea accudem ANY AUTO BODILY INJURY(Per person) E ALL OWNED SCHEDULED , I( LO( BODILY INJURY(Par accident) E WNED AUTOS ryON0 G Michael Gates ! HIRED AUTOS AUTOS G �ItY Attain PeOPPEERa DAMAGE E b UMBRELLA LIAR OCCUR EACH OCCURRENCE $ EXCESS LIAR CLAIMS-MA0E�1 AGGREGATE $ DEO RETENTIONS $ WORKERS COMPENSATION WC$TATU- OTH- B AND EMPLOYERS'LIABILITY YIN SW1066330 01/22/2015 01/22/2016 ANY PROPRIETORIPARTNEWEXECUTIVE E.L.EACH ACCIDENT $ 11000,000 OFMCERWEMBER EXCLUDED' Y� NIA (Mandatory In NH) E.L.DISEASE-EA EMPLOYE E 11000,000 If yes,describe under DESCRIPTION OF OPERATIONS below E.L.DISEASE-POLICY LIMIT E 1,000.000 DESCRIPTION OF OPERATIONS I LOCATIONS I VEHICLES (Attach ACORD 101,Additional Remarks Schedule,if more Spam is required) Business Location Address: 2000 Main Street, Huntington Beach CA 92648 ADDITIONAL INSURED/LOSS PAYEE CANCELLATION THE CITY OF HUNTINGTON BEACH SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAME TO THE LEFT,BUT FAILURE TO DO SO SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE 2000 Main Street, INSURER.ITS AGENT OR REPRESENTATIVE AUTHORIZED REPRESENTATIVE Huntington Beach, CA 92648 ©1988.2010 ACORD CORPORATION. All rights reserved. ACORD 25(2010/05) The ACORD name and logo are registered marks of ACORD COMMERCIAL GENERAL LIABILITY POLICY NUMBER: 680-9D692385-14-42 ISSUE DATE: 05/26/2015 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED-DESIGNATED PERSON OR ORGANIZATION This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART SCHEDULE Name of person or organization: THE CITY OF HUNTINGTON BEACH, its officers, elected or appointed officials, employees, agents or volunteers 2000 MAIN ST. LL HUNTINGTON BEACH CA 92648 WHO IS AN INSURED (Section II) is amended to include as an insured the person or organization shown in the Schedule as an insured but only with respect to liability arising out of your acts or omissions. CG T4 91 11 88 Copyright, Insurance Services Office, Inc., 1984 Page 1 of 1 s ty INSURANCE AND INDEMNIFICATION WAIVER „��, ;gym MODIFICATION REQUEST 1. Requested by: Duran Villegas 2. Date: 6/3/2015 3. Name of contractor/permittee: Sun Hunter, USA (Java Bakery Cafe) 4. Description of work to be performed: Operating Concession in City Hall's lower level Paying $75/month rent) 5. Value and length of contract: $4,500 over 5 years with option to extend 5 years 6. Waiver/modification request: $1,000 Property Liability Deductible 7. Reason for request and why it should be granted: Unable to remove $1,000 property liability deductible 8. Identify the risks to the City in approving this waiver/modification: None Department ad Signature Date: APPROVALS Approvals must be obtained in the order listed on this form. Two approvals are required for a request to be granted. Approval from the City Administrator's Office is only required if Risk Management a. ndlhfie City Attorney' Office disagree. 1. isk Management Approved ❑ Denied 4 k-7 J/ O� Sign ure bate 2. City Attorneys Office Approved ❑ Denied Signature Date 3. City Manager's Office ❑ Approved ❑ Denied Signature Date If approved, the completed waiver/modification request is to be submitted to the City Attorney's Office along with the contract for approval. Once the contract has been approved, this form is to be filed with the Risk Management Division of Human Resources Lj��A/n%,Pr Fn� E?rar,I nhil bn6-o3-j 5 d0C 6/3/2015 11:52:00 AM Resolution No 2008-63 S ity CITY OF HUNTINGTON BEACH Hun a 2000 Main Street Huntington Beach, CA 92648 DECLARATION OF PERMITTEE I certify that no vehicle(s) will be used or operated in the performance of the task(s)or event(s) for which this permit is granted. I authorize-the City of Huntington Beach to immediately and retroactively revoke the license or permit issued in connection with or in the performance of said task(s) or event(s) if any vehicle(s) is used. Signature of Permittee Print name a.h Company name(if applicable) � �T(�� '< C-rA Date signed u-yi• 4, 16407 EXHIBIT I City of Huntington Beach 2000 Main Street ♦ Huntington Beach, CA 92648 (714) 536-5227 ♦ www.huntingtonbeachca.gov ,l)5_g9D9. Office of the City Clerk �P ♦ ` Joan L. Flynn, City Clerk July 8, 2015 Sun-Hunter USA, Inc Dba Java Bakery Caf6 ATTN Ms Hong Yang 18685 Main Street, Suite 107 Huntington Beach, CA 92648 Dear Ms Yang Enclosed for your records is a copy of the fully executed "License Agreement Between The City of Huntington Beach and Sun-Hunter USA, Inc dba Java Bakery Caf6 for Operation of a Food Concession at the Huntington Beach Civic Center Complex " Sincerely, Joan L Flynn, CIVIC City Clerk JF pe Enclosure Sister Cities Anjo,Japan ♦ Wartakere, New Zealand