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3906 To authorize a Lease Agreement between the Town and Chrissy's Catering (2133439 Ontario Ltd)THE CORPORATION OF THE TOWN OF TILLSONBURG BY-LAW NUMBER 3906 A BY -LAW to Authorize a Lease Agreement between the Corporation of the Town of Tillsonburg and Chrissy's Catering. WHEREAS the Corporation of the Town of Tillsonburg is desirous of entering into an lease agreement with Chrissy's Catering for the concession at the Tillsonburg Community Centre for a term beginning September 1, 2015 and expiring on May 31, 2019 subject to the terms and conditions contained within the lease agreement; THEREFORE the Council of the Town ofTillsonburg enacts as follows: 1. THAT the Lease Agreement attached hereto forms part of this by-law; 2. THAT the Mayor and Clerk be hereby authorized to execute the attached agreement on behalf of the Corporation of the Town of Tillsonburg. This by-law shall come into force and take effect immediately after the final passing hereof. READ A FIRST AND SECOND TIME THIS 27111 DAY OF APRIL, 2015. READ A THIRD AND FINAL TIME AND PASSED THIS 2~ DAY OF APRIL, 2015. Molnar CLERK-Donna Wilson ·----···--- THIS AGREEMENT made in duplicate this 22"" day of April, 2015. BETWEEN: THE CORPORATION OF THE TOWN OF TILLSONBURG, Hereinafter called the Lessor, of the First Part, -and- Marcel Rosehart as Chrissy's, Hereinafter called the Lessee, of the Second Part, AND WHEREAS the Lessor owns the Tillsonburg Community Centre, AND WHEREAS the Lessor is desirous of renting the Tillsonburg Community Centre Concession to a qualified operator to provide food services to the users of the Tillsonburg Community Centre; NOW THEREFORE THE PARTIES, in consideration of the mutual covenants and agreement hereinafter set out, hereby agree as follows: 1. DEFINITIONS a. "Concession" shall mean the Tillsonburg Community Centre Concession to which this Agreement applies. b. "Facility" shall mean the Tillson burg Community Centre in its entirety. c. "Food Services" shall mean all food and food related products and non-alcoholic beverages required to provide the services within the Concession. 2. RIGHT TO SELL FOOD AT THE CONCESSION The Lessor grants to the Lessee exclusive rights to sell food and non-alcoholic beverages within the Concession as outlined in this Agreement. Items to be sold shall be limited to food products. Notwithstanding above, the Lessor reserves the right to provide their own catering for private events from time to time. 3. LEASE TERM The Lease Term is effective beginning August 31, 2015 and ending May 1, 2019, unless terminated under the provisions of Paragraph 29, as applicable. The Lease Term can be extended for an additional one (1) year, subject to approval by the Lessor in their sole and absolute discretion, upon receipt by the Lessor of written notice thirty (30) days prior to May 1, 2019. If accepted by the Lessor within forty-five days, the same rates and terms shall apply except that the contract shall be amended to extend the termination date. 1 4. RENT The Lessor agrees to pay the rent as submitted in the Request for Pricing process as outlined below: Lease payment $525.00 per month or $6,300.00 per year plus applicable HST. 5. UTILITY COSTS The utility costs are built within the monthly rent payment. 6. SECURITY DEPOSIT The Lessee shall, at the time of signing the Contract, deposit the sum of Two Hundred & Fifty Dollars ($250.00) in cash or certified cheque with the Lessor to ensure that the building and equipment are left in a condition satisfactory to the Lessor. The deposit will be refunded to the Lessee after the initial year upon satisfactory inspection of the building and equipment or upon termination or expiration of the Contract. 7. FINANCIAL TERMS The security deposit is due upon execution of the lease agreement. The Lessor shall not be responsible to cover any operational losses, in whole or in part, at any time during the Agreement regardless of any circumstances that may arise in the operation of the Concession premises. The Lessee shall also keep such other records as are necessary to perform its duties efficiently and in accordance with the laws of Canada and the Province of Ontario, including daily and annual revenue statements, and shall produce these records for inspection when requested by authorized representatives. 8. HOURS OF OPERATION The Lessee will operate the Concession within the normal hours of operation of the Tillson burg Community Centre. Hours of operation of the Concession are to be posted in locations deemed appropriate by the Tillson burg Community Centre Administration. Operations on statutory holidays shall be by mutual consent between the Lessor and Lessee determined not less than twenty-four (24) hours in advance of the holiday. It will be up to the Concession operator to determine if she/he wishes to remain open for longer hours and/or days that what is posted. 2 9. FACILITIES INVENTORY The lease agreement for the Concession includes the items listed in Schedule A attached to this agreement. Prior to the beginning of the contract or first date of operations, the Lessor and the Lessee shall perform a joint facilities inventory to determine: • The operating condition of all capital equipment; and, • The condition ofthe premises including all surfaces; In no event shall either party remove, without the written permission ofthe authorized representative(s) of either party, any capital or major equipment or facilities. It is the responsibility ofthe Lessee to notify the Lessor immediately if any of the equipment becomes non-functioning or a safety hazard. 10. MAINTENANCE & CARE OF KITCHEN EQUIPMENT The cost of normal maintenance and care of kitchen equipment will be the responsibility of the landlord unless due to negligence on the part of the Lessee. The Lessor agrees to maintain the commercial cooking equipment exhaust and applicable fire protection systems in conformance with NFPA 96 including costs associated with any inspections if required. 11. HOUSEKEEPING The Lessee will be responsible for the normal housekeeping (cleaning and sanitizing) of those areas affected by the operation of the Concession; including the cooking and preparation areas and all walls associated with each. Concession cleanliness shall meet Oxford County Public Health Unit standards. Due diligence is the responsibility ofthe Lessee. 12. WASTE REMOVAL The Lessee will be responsible for the coordination and costs associated with waste removal including applicable tipping fees, cooking oil removal, recycling, etc. 13. TELEPHONE The Lessee may install a business line and point of sale machine at his/her expense. 3 14. WALLS Walls are for Tillson burg Community Centre usage. No advertising or paraphernalia are to be put on walls or hung from ceiling without approval by the Tillsonburg Community Centre Administration, in their sole and absolution discretion. 15. FACILITY CHANGES No changes, installation of signage, renovations or capital improvement shall be made by the Lessee to the equipment, building or food service operation without the written consent of the Lessor. 16. ARENA RENTALS Due to the nature of the facility, it is necessary that the common seating areas adjacent to the Concession be used for a variety of functions. These functions may take place during or after the Concession hours of operation. All Lessee special event rentals must be coordinated in conjunction with the Tillson burg Community Centre Administration and are subject to fees in accordance with the current Rates and Fees bylaw of municipality. 17. OTHER BUSINESSES No other businesses are to be operated in conjunction with the Concession without prior approval by the Lessor in their sole and absolute discretion. 18. REGULATION COMPLIANCE AND LEGISLATION The Lessee shall ensure all services and products provided in respect to this Contract are in accordance with and under authorization of all applicable authorities (Municipal, Provincial and Federal); including but not limited to: • The Occupational Health and Safety Act and its regulations • The Workplace Safety & Insurance Act • The Environmental Protection Act (Ontario) and its Regulations • The Ontario Fire Protection & Prevention Act The Lessor reserves the right to request authentic copies from the Lessee of any documentation relevant to the aforementioned compliance requirements. Failure to provide may result in the termination of the lease. 4 ----- 19. WORKPLACE SAFETY AND INSURANCE BOARD (WSIB} The lessee shall be required to supply a Certificate from the Workplace Safety and insurance Board prior to the start of the contract and upon fourteen (14) days' notice, if requested in writing, during the life of the contract. The Certificate shall indicate that all of the assessments the Contractor or any Subcontractor is liable to pay under the Worker's Safety Insurance Board Act or successor legislation have been paid and that they are in good standing with the Board. 20. W.H.M.I.S REQUIREMENTS The Lessee must supply a supplier label and appropriate Materiel Safety Data Sheet under the W.H.M.I.S. legislation and Hazardous Material Protection Act for all controlled products to be used in conjunction with the lease an operation of the concession. Any controlled goods supplied without appropriate data sheet and proper labeling will not be allowed on site and will be immediately removed by the lessee from the premises. 21. INSURANCE The lessee will maintain and pay for Commercial General liability Insurance, which coverage shall include premises and all operations to be performed by the lessee, his/her employees, and/or agents. This insurance coverage shall be subject to limits of not less than Two Million Dollars ($2,000,000.00) inclusive per occurrence for bodily injury, death and damage to property including loss of use thereof for any one occurrence. The policy shall include The Corporation of the Town ofTillsonburg as an additional insured in respect of all operations performed by or on behalf of the Lessee. The lessee shall be entirely responsible for the cost of any deductible. The Insurance Policy shall not be altered, cancelled or allowed to expire or lapse, without thirty (30) days prior written notice to the Lessor. 22. LOSS OR DAMAGES It is the lessee's responsibility to maintain appropriate controls over the storage and safekeeping of property belonging to the lessee and/or their staff; including, but not limited to, all inventory and monies maintained on the premises. The Lessor will not be liable for any loss or damage to the lessee's property stored on the premises, for any reason. The Lessee shall also indemnify and save harmless the Lessor from and against all claims, demands, loss, cost, damages, actions, suits or other proceedings by whomsoever made, brought or prosecuted by, or attributed to any such damages, injury or infringement as a result of activities under this Contract. 5 23. DAMAGE CLAIMS The Lessee shall be responsible for all damages caused by it, its employees, agents, any workers or persons employed by it, or under its control, or arising from the execution of the Work, or by reason of the existence, location, or condition of Work, or of any materials, plant or machinery used thereon or therein, or goods supplied in execution of the Contract, or which may happen by reason of their failure or the failure of those for whom they are responsible, to do or perform any or all of the several acts or things required to be done by them under the Contract. 24. INDEMNIFICATION The Lessee shall indemnify and save harmless the Lessor from and against all claims, demands, loss, cost, damages, actions, suits or other proceedings by whomsoever made, brought or prosecuted by, or attributed to any such damages, injury or infringement as a result of activities under this Contract. 2S. EMERGENCY TELEPHONE NUMBER The Lessee shall provide the Lessor with the name(s) and telephone number(s) of his/her representative(s) who can be contacted on a 24-hour basis in case of an emergency during the term of the Contract. 26. TOWN NOT EMPLOYER The Lessee agrees that the Corporation of the Town of Tillson burg are not to be understood as the employer to any successful Concession operator nor to such Concession operators personnel or staff for any work, service, or supply of any products or materials that may be part of this contract. 27. NON-TRANSFERRRABLE This contract is not assignable, in whole or in part, except by written permission provided by the Town ofTillsonburg in their sole and absolute discretion. Execution ofthe "Concession Agreement" is not to be deemed as reason for provision of preferential treatment to the Lessee in his/her use ofthe Tillsonburg Community Centre, nor is there to be any inference, that the Lessor is under an obligation to enter into any other agreements with the Lessee related to the Tillson burg Community Centre. The Lessor will give equal consideration to all public users of the facility including the Lessee. 28. CHARACTER AND EMPLOYMENT OF WORKERS The Lessee shall employ only orderly, competent and skillful workers to ensure that the Concession operations are carried out in a professional manner. In the event that any person employed by the Lessee in connection with the work arising out of this Contract gives, in the opinion of the Lessor, just cause for complaint, the Lessee upon notification by the Lessor in writing shall not permit such person to continue in any future work in conjunction with the Concession. 6 /----,_ 29. TERMINATION OF THE CONTRACT FOR CAUSE In the event of any material default in this agreement by the Lessee that is within the reasonable control of the Lessee, the Lessor shall have the right to provide written notice of such default and demand that the deficiency of program be rectified within five (5) working days or such longer period as may be agreed upon by the Lessor. If the said default is not rectified or steps are not taken to rectify the situation according to the agreed upon plan, the Lessor shall be entitled to issue a written notice of termination for cause with no less than thirty {30) days' notice and all commissions outstanding shall be payable to the Lessor within thirty (30) days from termination. The Lessor may immediately terminate the Agreement ifthe County of Oxford Board of Health notifies the Lessor that: • The bacterial content of the food fails to meet public health standards; or, • The method for preparing, packaging, storing or shipping food is deemed unsatisfactory in meeting public health standards; or, • Any other condition exists that, in the opinion of the County of Oxford Board of Health, results in food being deemed unfit for human consumption If the Agreement is terminated immediately, all outstanding monies shall be payable to the Lessor within ten (10) business days following termination. 30. INTERPRETATION The terms and provisions of the Agreement shall be in accordance with the laws of the Province of Ontario. 31. FORCE MAJEURE Neither party shall be held liable for non-performance or damages if caused by events of Force Majeure, which, without limiting the generality thereof, includes fires, floods, unusually severe weather or Acts of God, and are beyond the reasonable control of a party, provided same shall not apply to delay or excuse any financial obligation. 32. ACCESS The Lessee agrees to supply the Lessor with a key holder list for the Canteen to be used in the instance where access is needed into the Canteen for maintenance or emergency purposes. 7 IN WITNESS WHEREOF the parties hereto have hereunto set their hands and seals. SIGNED, SEALED AND DELIVERED in the Presence of THE CORPORATION OF THE STEPHEN MOLNAR MAYOR DATE DONNA WILSON CLERK DATE THE LESSEE: I ~ NAME DATE OWNER I have the authority to bind the corporation 8 APPENDIX A-INVENTORY: Updated INVENTORY NOTES Ieee machine Good Working Condition Vulcan GH300 gas 2 burner Good Working Condition Counterline hotplate Good Working Condition Garland GD Series gas griddle Good Working Condition Pitco 35c deep fryer 2 basket Good Working Condition Bunn hot chocolate Cappuccino machine Good Working Condition Bun n CW series coffeee maker Good Working Condition Nugget Popcorn maker Good Working Condition Panason ic microwave (new) New Condition Rico nacho warmer Single door Good Working Condition Coke cooler Serviced by Coke Double door coke cooler Serviced by Coke Small chest freezer Good Working Condition Large chest freezer Good Working Condition 4 slice toaster Good Working Condition 9