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HomeMy WebLinkAbout12 - Joint Powers Agreement with County, and an Amended and Restated Ground Lease with NAC for North Star Beach Located at 1 Whitecliffs Drive - PowerPoint0A H� �u J L/FpRN� October 10, 2023 Item No. 12 OINT POWERS AGREEMENT WITH COUNTY OF ORANGE AMENDED AND RESTATED GROUND LEASE WITH NEWPORT AQUATIC CENTER . October 10, 2023 GUIDING DOCUMENTS Joint Powers Agreement between City and County (1982) Joint fee owners of property known as North Star Beach 2 parcels; 16 acres Deed restrictions limiting use of the land Public park compatible with an ecological reserve Public beach and related public facilities Solicit bids to secure ground lease with a non-profit and develop an aquatic facility Development Permits Use Permit No. 3104 issued by City's Planning Commission (1984 ) Coastal Development Permit No. 5-84-786 issued by Coastal Commission (1985) Ground Lease between City and NAC (1987) Aquatic Center operation 1 parcel; 4 acres of North Star Beach Including public facilities, boat storage, docks, etc. Operate in accordance with a City approved Facilities Management Plan (FMP) Addendum (1997) after facility expansion Expires October 2023 Q�EWPp�T O �R, CqG/FOFL AMENDED AND RESTATED GROUND LEASE 30-year term, with two 10-year extensions No fee lease in exchange for continued operation of aquatic facility (human -powered watercraft sports) at no cost to the City Subject to all entitlements and permits issued by the City, County, state, and federal agencies Waiver of Council Policy F-7 Continue to operate with a City -approved Facilities Management Plan Continue to provide and satisfy City insurance requirements IMPROVEMENTS TO THE GROUND LEASE Q�EWPORT O �R, CqG/FOFL NAC to invest at least 3% of their annual gross revenues to repair and maintenance of the facility Required inspections with the City and NAC to provide: Annual program reporting and forecast; • Annual maintenance planning and completion report; and Annual report of board members Added internal control language requiring NAC to: Maintain internal accounting procedures and control, consistent with GAAP Report out to the City about their internal control audits and complete an annual independent audit. • City has the option to conduct audit • Specifically defined defaults and time periods to cure • i.e. 10 calendar days to address accumulation of refuse 5 FACILITIES MANAGEMENT PLAN Q SEW POST e� Cql FOR Programs, services and activities offered to the general public Portions of the facility are available for City use and public recreation programs Repair, maintain and improve the facility i.e., Projected remaining useful life of all major components of the Facility Necessary provisions to ensure operation is maintained in accordance with all guiding documents i.e., Prohibited third -party storage of vehicles, vessels, or trailers on the site, when not related to an event