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Home My WebLink AboutECHDA23-07 Colorado Mountain CollegePROPERTY MANAGEMENT AGREEMENT BETWEEN COLORADO MOUNTAIN COLLEGE AND EAGLE COUNTY HOUSING AND DEVELOPMENT AUTHORITY THIS AGREEMENT, entered into on this ________________ by and between COLORADO MOUNTAIN COLLEGE (hereinafter called “Owner”) and the EAGLE COUNTY HOUSING AND DEVELOPMENT AUTHORITY, a public body corporate and politic (hereinafter called “Manager”). WHEREAS, Owner owns the property located at 160 Miller Ranch Road, Edwards, Colorado consisting of thirty-six (36) multi-family residential apartment units in building number one (1) and associated facilities (hereinafter the "Premises"); and WHEREAS, Owner desires to have the Premises managed by competent professionals; and WHEREAS, Manager has the personnel and resources necessary to competently and professionally manage the Premises and has familiarized itself with the Premises, including its physical condition; and WHEREAS, Owner and Manager desire to operate the Premises in a manner which primarily provides a substantial benefit to Owner’s residents consisting of Owner’s students and employees; and WHEREAS, Owner wishes to obtain the benefits of Manager’s expertise in the field of real estate management by relinquishing to Manager control and discretion in the operation, direction, management and supervision of the Premises subject to the terms and provisions of this Agreement, and Manager for a fee agrees to assume said control and discretion in the operation, management, and supervision of the Premises on behalf of Owner. NOW, THEREFORE, in consideration of the mutual covenants herein contained and of other good and valuable consideration, the parties hereto agree as follows: ARTICLE 1 APPOINTMENT Owner hereby contracts with Manager to manage, operate, direct, supervise and lease the Premises on behalf of Owner and to provide services as required under Article 6 of this Agreement. ARTICLE 2 TERM Subject to and upon the terms and conditions set forth herein, or in any exhibit or addendum hereto, this Agreement shall commence and be effective on August 1, 2023 and shall continue in force, ending on June 30, 2024, but renew automatically on July 1, 2024 for the term of one year, ending on June 30, 2025, subject, however, to the termination provisions in Article 13. Following renewal on July 1, 2024 and expiration on June 30, 2025, the parties may then renew annually for additional one (1) year terms. DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE 8/1/2023 2 ARTICLE 3 RELATIONSHIP All actions by Manager in performing its duties and providing services pursuant to this Agreement shall be for the account of Owner. Owner agrees to be responsible for all costs, expenses, and disbursements incurred by Manager, consistent with Section 7.2, in providing management and operational services hereunder, such as, for example, but not limited to, contracts for landscaping or maintenance services and orders for supplies and equipment. Manager shall have no financial obligations under this Agreement. ARTICLE 4 DELEGATION AND ASSIGNABILITY Manager shall have the right to delegate its responsibilities under this Agreement to employees of Manager or to engage independent contractors for performance of any part of the services to be provided hereunder. Neither Owner, nor Manager, shall assign all or any part of this Agreement without the prior written consent of the other parties to this Agreement. ARTICLE 5 SERVICES TO BE PERFORMED BY OWNER Owner shall be responsible for exterior maintenance and upkeep of the Premises, including, but not limited to, maintenance, repair, and replacement of exterior building materials, windows and roof, snow removal, landscaping, and mowing. These services are to be provided by the Colorado Mountain College Facilities Department. ARTICLE 6 SERVICES OF MANAGER 6.1 Management and Operation. Manager shall manage, operate, lease, and maintain the Premises in a manner normally associated with the management and operation of a reasonable quality apartment project and in a manner reflective of the standards set forth by the real estate management industry. Manager’s duties shall be limited to leasing, rent collection and deposits, and simple on-call maintenance services. Simple on-call maintenance services will consist of repairs and fixes which do not require the specialized skill of a professional, tradesperson, or other expert. In the event a repair requires such specialized skill or higher expertise, Manager may outsource the repair at Owner’s expense. 6.2 Employees. Manager shall have in its employ at all times a sufficient number of capable employees to enable it to properly and safely manage, operate, and maintain the Premises. All matters pertaining to the employment, supervision, compensation, promotion, and discharge of such employees are the responsibility of Manager. 6.3 Budgets. Manager shall prepare and submit to Owner a proposed Operating Budget for the management and operation of the Premises for the forthcoming calendar year. The Operating Budget shall DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE 3 include payment of utilities for the Premises. Owner shall consider the proposed budgets, consult with Manager, and agree on an approved Operating Budget for each forthcoming calendar year. The approved budget shall serve as a guideline to Manager in maintaining and operating the Premises, and Manager agrees, subject to the provisions of Article 7, to use diligence and to employ all reasonable efforts in order to effect that the actual cost of maintaining and operating the Premises shall not exceed the approved budget pertaining thereto. However, notwithstanding anything to the contrary contained in this Agreement, neither Owner nor Manager shall have any obligation under this Agreement after, nor shall any payments be made in respect of any period after June 30 of any year, without an appropriation therefor by Owner or Manager in accordance with Article 25, title 30 of the Colorado Revised Statutes, the Local Government Budget Law (C.R.S. 29-1-101 et. seq.) and the TABOR Amendment (Colorado Constitution, Article X, Sec. 20). 6.4 Collection of Receivables. Manager shall use reasonable and diligent efforts—including collection suits and proceedings, but subject to Owner’s prior approval—to collect promptly all rents (including laundry income and all other income as may be applicable to the Premises) and other charges which may become due at any time from any tenant or from others for services provided in connection with or for the use of the Premises or any portion thereof. Manager shall collect and identify any income due Owner from miscellaneous services provided to tenants or the public, including, but not limited to, cleaning income, tenant storage and coin operated machines of all types (e.g., vending machines, etc.). All monies so collected shall be deposited in the Operating Account. All legal expenses outside of an approved budget and anticipated in bringing an approved suit or proceeding shall be submitted to Owner for its written approval in advance. In connection with such suits or proceedings, only legal counsel designated by Owner shall be retained. Manager shall not write off any income items without prior approval of Owner. 6.5 Leasing. Manager shall be responsible for the signing the leases with prospective tenants designated by Owner on a form acceptable to Owner and Manager. Approval of the form of lease by Manager or Owner shall not unreasonably be withheld. Manager shall have the specific authority to negotiate leases and rental agreements in connection with amendments, renewals, extensions, modification or cancellation of existing leases, and preparation of new leases, and any successor contract or other low and moderate income guidelines approved by Owner from time to time. Manager shall make every reasonable effort to obtain and keep desirable tenants for the Premises and perform whatever services may be required in connection with the above-mentioned negotiations. All leasing operations shall be done in compliance with lease eligibility guidelines and rules and regulations as provided by Owner to Manager from time to time. 6.6 Repairs, Decoration, and Alterations. Manager will cause the Premises to be maintained and repaired in accordance with state and local codes in a condition acceptable to Owner. Without limiting the generality of the foregoing, Manager shall institute and supervise all ordinary repairs, decorations, and alterations, including the administration of a preventive maintenance program for all mechanical, electrical, and plumbing systems and equipment. Notwithstanding the generality of the foregoing, Manager shall not be responsible for instituting or supervising major construction and rehabilitation projects except as may be provided in a separate agreement with Owner. 6.7 Operating Activities. Manager shall institute and supervise all operational activities of the Premises, such as, but not limited to, the following: DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE 4 (a) Responsibility and supervision of a preventive maintenance program; (b) Responsibility and supervision for any necessary maintenance or repairs to the Premises, excluding those repairs or fixes which do not require the specialized skill of a professional, tradesperson, or other expert as identified in Section 6.1 of this Agreement and excluding those services to be performed by Owner in accordance with Article 5 of this Agreement; and (c) Any other activity incidental to the normal operation of an apartment project. 6.8 Intentionally Omitted. 6.09 Payment of Expenses. Manager shall pay all operating expenses from the Operating Account. 6.10 Payroll. Manager shall prepare and pay all payrolls for its employees who manage the Premises from the Operating Account and maintain comprehensive payroll records. Owner’s employees responsible for the Premises shall be paid by Owner and not from the Operating Account. 6.11 Bank Relationship. Manager shall handle operational banking matters related to its contractual responsibility. Owner shall designate which bank(s) or financial institutions Manager shall use in discharging this responsibility. The parties agree that the current Colorado Mountain College bank account should be utilized for rent collection. 6.12 Property Inspection. Manager shall conduct periodic comprehensive inspections of the Premises, including units within the Premises, and report periodically to Owner in writing with any recommendation. 6.13 Maintenance of Records. Manager shall maintain complete and identifiable records, and files on all matters pertaining to Manager’s contractual responsibility. Such records, and records and financial reports pursuant to Section 6.18, shall be available to Owner during business hours upon two (2) days of written notice. 6.14 Manager Availability. Manager shall maintain 24-hour availability for emergencies. 6.15 Intentionally Omitted. 6.16 Owner Communications. Manager shall be available for communication with Owner and will keep Owner advised of items affecting the Premises. Within five (5) days after Manager receives a certified or registered letter from any tenant, a copy will be sent to Owner. 6.17 Financial Reports. Owner shall be responsible for financial reporting and record keeping, however: (a) Manager, in the conduct of its responsibilities to Owner as described in Article 6, shall maintain adequate and separate books and records for the Premises in accordance with generally accepted accounting principles, which shall be supported by sufficient documentation to ascertain that said entries are properly and accurately recorded. Such books and records shall be maintained by Manager at a location DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE 5 acceptable to Owner. Manager shall maintain such control over accounting and financial transactions as is reasonably required to protect Owner’s assets from theft, error, or fraudulent activity. (b) Manager shall adopt a Chart of Accounts (a system of classification of accounting entries) as generally utilized in the residential property management industry. (c) Manager shall furnish rental collection reports for the Premises of all transactions occurring from the first day of the prior month to the last day of the prior month. (d) As additional support to the monthly financial statement, Manager shall make available to Owner, upon request, copies or originals of the following to the extent Manager maintains such records: 1. All bank statements, bank deposit slips, and bank reconciliations; 2. Detailed cash receipts and disbursements records; 3. Detailed trial balances; 4. Paid invoices; 5. Summaries of adjusting journal entries; and 6. Supporting documentation for payroll, payroll taxes and employee benefits. (e) If necessary, Manager shall maintain liaison with Owner’s accountant. 6.18 Tenant Security Deposits. If collected, security deposits shall be kept by Manager in a bank or financial institution approved by Owner, and in accordance with laws applicable to tenant security deposits. Manager shall maintain detailed records of all security deposits and such records will be open for inspection by Owner. 6.19 Books, Cards, Etc. All books, cards, registers, receipts, documents, disks, tapes, and any other papers or electronic records connected with the operation are the sole property of Owner, and Manager will not publish, transmit, or release said information to any party unless required by the Colorado Open Records Act in which event Manager will provide notice of such disclosure to Owner. 6.20 Additional Services. To the extent not stated within this Section 6, Manager will provide services to Owner outlined and as detailed in Exhibit A, which is attached to this Agreement and incorporated by reference. ARTICLE 7 MANAGER’S AUTHORITY 7.1 Manager’s Authority. Manager’s authority is expressly limited to the provisions provided herein or as may be amended in writing from time to time by Owner and mutually agreed to in writing. DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE 6 7.2 Approved Operating Budget. Owner’s approval of the Operating Budget shall constitute approval for Manager to expend money from the Operating Account to operate and manage the Premises, and Manager may do so without further approval from Owner as long as Manager does not exceed the aggregate amount set forth in the approved budget. 7.3 Approved Capital Budget. In the event Manager identifies any capital items at the Premises requiring attention, then Manager shall notify Owner and the parties shall work together to develop a capital budget (“Capital Budget”). Owner’s approval of the Capital Budget shall constitute an authorization for Manager to expend any money for capital expenditures. 7.4 Contracts. In the event Manager identifies any items for which a contract may be needed, it will notify Owner. Owner will make the final determination of whether a contract is required, and will enter into a contract in a form satisfactory to Owner. Owner will share all contracts related to the Premises with Manager. 7.5 Compliance with Laws. It is the intent of Owner that the Premises be operated in full compliance with federal, state and municipal laws, ordinances, regulations, and orders relative to the use, operation, repair, and maintenance of the Premises. Manager shall promptly endeavor to remedy any violation or potential violation of any such law, ordinance, rule, regulation, or order which comes to its attention and shall promptly report any violation or potential violation and proposed action to be taken to Owner. 7.6 Expenses Regarding Violations. Expenses incurred in remedying violations of the kind referred to in Article 7.5 may be paid from the Operating Account provided such expenses do not exceed one thousand and no/100 dollars ($1,000.00) in any one instance. When more than such amount is required or if the violation is one for which Owner might be subject to penalty, Manager shall transmit notice of such violation to Owner to assure that prompt arrangements may be made to remedy the violation. 7.7 Emergency. In case of emergency, Manager may make expenditures for repairs which exceed budget or prior approvals from Owner without prior written approval if it is necessary to prevent damage or injury. Owner must be informed of any such expenditure within the next five (5) business days. 7.8 Structural Changes. Owner expressly withholds from Manager any power or authority to make any structural changes in any building or to make any other major exterior repairs, alterations or additions in or to any such building or equipment therein, or to incur any expense chargeable to Owner other than expenses related to exercising the express powers vested in Manager through this Agreement without the prior written direction of Owner. 7.9 Competent Employees. Manager is specifically authorized and directed by Owner to employ and supervise competent employees to adequately and reasonably maintain and protect the Premises. DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE 7 ARTICLE 8 INSURANCE 8.1 Owner to Obtain Adequate Insurance. Owner shall maintain at its expense insurance in Owner’s name and at Owner’s expense, insuring against physical damage, liability for loss against business interruption, and damage or injury to property or persons of third persons which may arise out of the occupancy, management, operation, or maintenance of the Premises. Owner shall be solely responsible for determining the amounts and types of insurance to be carried. Manager shall: (a) notify Owner within twenty-four (24) hours after Manager receives notice of any such loss, damage, or injury; and (b) take no action (such as admission of liability) which might bar Owner from obtaining any protection afforded by any policy Owner may hold or which might prejudice Owner in its defense to a claim based on such loss, damage, or injury. 8.2 Information Furnished. Manager shall furnish whatever information is requested by Owner for the purpose of establishing the placement of insurance coverages and shall aid and cooperate in every reasonable way with respect to such insurance and any loss thereunder. Owner shall include in its hazard policy covering the Premises, personal property, fixtures, and equipment located thereon. Manager shall have no obligation to separately insure the Premises. Manager will maintain insurance covering its operations under this Agreement. 8.3 Manager’s Insurance. Manager shall maintain at its expense insurance in conformance with the insurance requirements attached hereto as Exhibit B. 8.4 Subcontractor’s Insurance. Manager shall require that subcontractors brought onto the Premises have insurance coverage. Manager shall obtain and keep on file a Certificate of Insurance which shows that the subcontractor is insured. ARTICLE 9 OWNER’S RIGHT TO AUDIT 9.1 Owner’s Right to Audit. Owner reserves the right to conduct examinations, without notification, of the books and records maintained for Owner by Manager no matter where books and records are located. Owner also reserves the right to perform any and all additional audit tests relating to Manager’s activities; either at the Premises, or at any office of Manager, provided such audit tests are related to those activities performed by Manager for Owner. 9.2 Government Right to Audit. Manager is subject to audit by an independent auditor contracted with Owner, and Manager will cooperate in any such audit. 9.3 Correction of Discrepancies. Should Owner discover either weakness in internal control or errors in record keeping, Manager shall correct such discrepancies either upon discovery or within a reasonable DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE 8 period of time. Manager shall inform Owner in writing of the action taken to correct such audit discrepancies. Any and all such audits conducted by Owner will be at the sole expense of Owner. ARTICLE 10 BANK ACCOUNTS 10.1 Operating Account. Manager shall deposit on a regular basis all rents and other funds collected from the operation of the Premises for the purpose of paying operating expenses in a bank approved by Owner. 10.2 Security Deposits. Manager shall keep and maintain security deposits in a separate account pursuant to Section 6.19 herein should it be so requested by Owner. 10.3 Change of Banks. Owner may direct Manager to change a depository bank or the depository arrangements for its respective Premises. 10.4 Access to Accounts. Owner shall be permitted access through additional signature cards if requested. ARTICLE 11 PAYMENT OF EXPENSES 11.1 Expenses Paid From Operating Account. The following costs are to be paid directly from the Operating Account: (a) Any and all costs necessary to the management, operation, leasing, and maintenance of the Premises that are covered within the approved budgetary guidelines as outlined in Articles 6 and 7. (b) All operations and accounting expenses incurred by Manager in the execution of Manager’s responsibilities pursuant to the terms of this Agreement, the initial set-up and continuing costs of the electronic data processing, and the computer service costs of the monthly operating report, including both the summary and detailed accounts. (c) Cost of all non-standard printed forms, notices, checks, invoices, purchase orders, reports, envelopes, etc. required for compliance with the terms and conditions of this Agreement, or as may be requested by Owner; the cost of all audits required by the terms of this Agreement. (d) Any other costs approved in writing by Owner to Manager. (e) Compensation to Manager as set forth in Article 19 hereof. DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE 9 ARTICLE 12 INSUFFICIENT INCOME If at any time the gross income (or cash in the Operating Account) from the Premises shall not be sufficient to pay the bills and charges which may by incurred with respect to the Premises, Manager shall notify Owner immediately upon first projection or awareness of a cash shortage or pending cash shortage and Owner and Manager shall jointly determine payment priority. Manager shall not be obligated to pay said expenses and charges from its own account. After Manager has paid, to the extent of available funds, all bills and charges based upon the ordered priorities set jointly by Owner and Manager, Manager shall submit to Owner a statement of all remaining unpaid bills. Owner shall immediately and without delay make all reasonable efforts to provide sufficient monies to pay any unpaid expenses before they become delinquent. ARTICLE 13 TERMINATION 13.1 Termination for Cause by Owner. Owner may terminate this contract upon fifteen (15) days written notice with cause. Cause shall be defined as the occurrence of any of the following events: (a) (i) the filing of a voluntary petition in bankruptcy; (ii) being adjudicated as bankrupt or insolvent; (iii) filing of any merger petition or seeking any reorganization, arrangement, composition, readjustment, liquidation, dissolution or similar relief under any present or future statute or law relating to bankruptcy, insolvency, or other relief for debtors, whether federal or state; (iv) Manager seeking, consenting to, or acquiescing in the appointment of any trustee, receiver, conservator or liquidator of Manager, or of all or any substantial part of its properties (the terms “acquiescing,” as used herein, shall be deemed to include but not be limited to the failure to file a petition or motion to vacate or discharge any order, judgment or decree providing for such appointment within the time specified by law); (v) a court of competent jurisdiction entering an order, judgment or decree approving a petition filed against Manager seeking any reorganization arrangement, composition, readjustment, liquidation, dissolution or similar relief under any present or future statute or law relating to bankruptcy, insolvency or other relief of debtors, whether federal or state, and Manager either consents to or acquiesces (as hereinabove defined) in the entry of such order, judgment or decree, or such order, judgement or decree shall remain unvacated or unstayed for an aggregate of sixty (60) days from the date of entry thereof; or (vi) the appointment of a trustee, receiver, conservator or liquidator of Manager of all or any substantial part of its properties without the consent of or acquiescence of Manager which remains unvacated or unstayed for an aggregate of sixty (60) days; or (b) (i) Manager fails to perform any of its services in the manner or within the time required herein; or (ii) Manager commits or permits a breach of or default in any of its duties, liabilities or obligations hereunder. 13.2 Termination for Cause by Manager. Manager may terminate this contract upon fifteen (15) days written notice with cause. Cause shall be defined as the occurrence of any of the following events: DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE 10 (a) (i) Owner fails to perform any of its duties under this Agreement or within the time required herein; or (ii) Owner commits or permits a breach of or default of any of its duties, liabilities, or obligations hereunder. 13.3 Termination for Convenience. Either party may terminate this contract for its convenience and without cause upon ninety (90) days written notice to the other party. Or, this Agreement may be terminated at any time by the mutual written consent of Owner and Manager. 13.4 Manager’s Right to Compensation: Final Accounting. If this Agreement is terminated by any party as provided above, it is further agreed: (a) Notwithstanding any other provision herein to the contrary, Manager’s right to compensation shall cease as of the effective date set forth in the notice of termination, except that Manager shall be entitled to all monies owed to Manager by Owner up to the effective date of termination. (b) That Manager’s powers and authority under this Agreement shall cease and terminate at the effective date set in the notice of termination. (c) Final Accounting. Manager shall deliver to Owner the following with respect to the Premises: (1) Intentionally omitted. (2) Any balance or monies of Owner held by Manager with respect to the Premises, along with a written reconciliation of accounts, shall be delivered immediately after such effective termination date and thereafter promptly after same are received by Manager. (3) All records, contracts, leases, receipts for deposits, unpaid bills, and other papers or documents which pertain to the Premises also shall be delivered immediately upon such effective termination date. (4) All keys, passwords, parking permits, and security codes shall also be delivered immediately upon such effective termination date. ARTICLE 14 COOPERATION 14.1 Should any claims, demands, suits, or other legal proceedings be made or instituted by any person against Owner which arise out of any of the matters relating to the Agreement, Manager shall give Owner all pertinent information and reasonable assistance in the defense or other disposition thereof, at the sole expense of Owner. This obligation of Manager shall survive the termination or expiration of this Agreement. 14.2 Upon termination of this Agreement, Manager will give to Owner all books, cards, registers, receipts, documents, tapes, disks, and other information with respect to the Project and the management thereof which Manager has in its possession and shall cooperate, as requested by Owner, in the transition to a new manager of the Premises. DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE 11 14.3 Owner shall cooperate in good faith and shall timely respond to requests for information, approvals, or otherwise from Manager in connection with this Agreement ARTICLE 15 MANAGER’S LIABILITY 15.1 Except as otherwise stated herein, Manager shall not in the performance of this Agreement, be liable to Owner or to any other person including Owner’s tenants for any act or omission of any agent or employee of Owner or Manager, or its subsidiaries or affiliates, unless the same results from gross negligence or willful misconduct of Manager, its officers or employees. 15.2 Notwithstanding any other provisions of this Agreement, in no event shall Owner make any claim against Manager, or its affiliates or subsidiaries on account of any alleged errors of judgment made in good faith in connection with the operation of the Premises hereunder by Manager or the performance of any advisory or technical services provided by or arranged by Manager. 15.3 Owner shall not object to any expenditure made by Manager in good faith in the course of its management of the Premises or in settlement of any claim arising out of the operation of the Premises unless such expenditure is specifically prohibited by this Agreement. ARTICLE 16 REPRESENTATION Owner hereby represents that in entering into this Agreement, Owner understands that no guarantee is made or implied by Manager, or any of its affiliated companies as to the future financial success of the Premises. ARTICLE 17 REASONABLE CONSENT Whenever in this Agreement the consent or approval of Manager or Owner is required, such consent or approval shall not be unreasonably withheld. ARTICLE 18 NOTICES All notices, demands, consents, and reports provided for in this Agreement shall be in writing and shall be given to the appropriate Owner or Manager at the address set forth below or at such other address as they may specify hereafter in writing: MANAGER: Eagle County Housing and Development Authority P.O. Box 850 Eagle, CO 81631 DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE 12 Attn: Kim Bell Williams, Executive Director Email: kim.williams@eaglecounty.us with a copy to: Eagle County Attorney’s Office P.O. Box 850 Eagle, Colorado 81631-0850 Email: atty@eaglecounty.us OWNER: Colorado Mountain College 802 Grand Ave. Glenwood Springs, CO 81601 Attn: Julie S. Hanson Email: jshanson@coloradomtn.edu Such notice or other communication may be by electronic mail or may be mailed by United States mail, postage prepaid, and may be deposited in a United States Post Office or a depository for the receipt of mail regularly maintained by the post office. Such notices, demands, consents, and reports may also be delivered by hand, or by any other method or means permitted by law. Notice delivered by mail shall be deemed given the third business day after deposit in the United States mail. ARTICLE 19 COMPENSATION By the 25th day of each month, Manager shall receive remuneration for its services in managing the Premises for such month as follows: A fee to account for 4% of the revenue per month is to be paid in the form of a management fee. This Management Fee includes on-call maintenance hours from Manager’s maintenance staff and will not be billed at an additional rate. This fee may be increased from time to time upon mutual written agreement of the parties. To the extent that rental income from the property in any month is not sufficient to pay the property management fee and maintenance costs due under this Agreement, such fees shall accrue without interest until rental income is available, at which time accrued portions of the fee and maintenance costs shall be then due and payable and in any event shall be due in full upon termination or expiration of this Agreement. ARTICLE 20 MISCELLANEOUS 20.1 Construction. The plural may include the singular and the singular may include the plural and this Agreement shall be interpreted in this regard as the context may require. 20.2 Amendment. Except as otherwise herein provided, any and all amendments, additions, or deletions to this Agreement shall be null and void unless approved by the parties affected thereby in writing. 20.3 Headings. All headings herein are inserted only for convenience and ease of reference and are not to be considered in the construction or interpretation of any provision of this Agreement. DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE 13 20.4 Complete Agreement. This Agreement supersedes and takes the place of any and all previous negotiations, representations, and oral agreements between the parties hereto. 20.5 Waiver. The waiver of any of the terms and conditions of this Agreement on any occasion or occasions shall not be deemed as waiver of such terms and conditions on any future occasion. 20.6 Binding Nature. This Agreement shall be binding upon and inure to the benefit of Owner, each of its successors and/or permitted assigns, and shall be binding upon and inure to the benefit of Manager, and its permitted assigns. There shall be no third-party beneficiaries to this Agreement. 20.7 State Law and Venue. This Agreement shall be construed, interpreted and applied in accordance with and shall be governed by, the laws applicable in the State of Colorado. Venue for any dispute arising from or related to this Agreement shall be in the courts of Eagle County, Colorado. 20.8 Rebates. Manager agrees it will not collect or charge any undisclosed fee, rebate, or discount, and if any such should be received by Manager, these will be credited to the account of Owner. 20.9 Divisibility. In the event any Article or Section of this Agreement is deemed illegal or unlawful, said Article or Section shall be struck from this Agreement and all other Articles and Sections shall remain valid and in full effect. 20.10 Independent Contractor. This Agreement constitutes an agreement for performance of the Services by Manager as an independent contractor and not as an employee of Owner. Nothing contained in this Agreement shall be deemed to create a relationship of employer-employee, master-servant, partnership, joint venture, or any other relationship between Manager and Owner except that of independent contractor. [Signature Page to Follow] DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE 14 IN WITNESS WHEREOF, the parties have executed this Agreement the day and year above written. OWNER: COLORADO MOUNTAIN COLLEGE By: ____________________________________ ____________________________________ MANAGER: EAGLE COUNTY HOUSING AND DEVELOPMENT AUTHORITY By: ______________________________________ Kathy Chandler-Henry, President Attest: By: _______________________ Kimberly Bell Williams Secretary DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE Julie Hanson 15 EXHIBIT A ADDITIONAL SCOPE OF SERVICES (a) Advertise and show the units for rent in the Premises to prospective tenants; (b) Take and process applications for rentals in accordance with leasing qualification guidelines, including prospective tenant interviews and credit checks. If an application is rejected, the applicant shall be advised of the reason for rejection; (c) Comply with the Leasing Guidelines, and use for each lease the form of lease agreement approved by Owner (a "Lease"); (d) Collect, deposit, and disburse security deposits in accordance with applicable law and the terms of this Agreement and each Lease; (e) Maintain a current list of acceptable prospective tenants and undertake all reasonable arrangements necessary and incidental to the acceptance of rental applications and the execution of Leases. Manager shall exercise its best efforts to effect the leasing of the units and renewal of Leases so that the Project is occupied as fully as possible by qualified tenants; (f) Perform such other acts and deeds requested by Owner as are reasonable, necessary, and proper in the discharge of Manager's rental duties under this Agreement; (g) Prorate the first month's rent collected from tenant should the Lease term commence on any other day than the first day of the month; (h) Provide tenants with 24-hour emergency telephone contact numbers for emergency repairs; (i) Handle promptly complaints and requests from tenants, to notify Owner of any major complaint made by a tenant in a timely manner; (j) Participate in the inspection of each dwelling unit identified in the Lease together with tenant prior to move-in and upon move-out, record in writing any damage to the unit at the time tenant moved in and any damage occurring during tenant's occupancy, and re-key locks for new tenants when appropriate; (k) Manager shall take all reasonable action to secure full compliance by each tenant with the terms of such tenant's Lease. Voluntary compliance will be emphasized, and Manager shall counsel tenants and make referrals to community agencies in cases of financial hardship or under other circumstances deemed appropriate by Manager or as may be required by any supportive services agreement to which Owner is a party, to the end that involuntary termination of tenancies may be avoided to the maximum extent consistent with sound management of the Project. Nevertheless, Manager may, and shall if requested by Owner, lawfully terminate any tenancy when, in Manager's judgment, sufficient cause for such termination occurs under the terms of tenant's Lease, including, DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE 16 but not limited to, nonpayment of rent. For this purpose, Manager is authorized to consult with legal counsel and bring actions for eviction and execute notices to vacate and judicial pleadings incident to such actions; provided, however, that Manager shall keep Owner informed of such actions and shall follow such instructions as Owner may prescribe for the conduct of any such action. Reasonable attorneys' fees and other necessary costs incurred in connection with such actions, as determined by Owner, shall be paid by Owner. Manager shall properly assess and collect from each tenant or the security deposit the cost of repairing any damages to the housing unit arising during tenant's occupancy. (l) Manager shall make arrangements for water, electricity, gas, fuel, oil, sewage and trash disposal, vermin extermination, decoration of common areas, laundry facilities, and other necessary services in connection with the Project. DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE 17 EXHIBIT B INSURANCE REQUIREMENTS DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE Colorado Mountain College Insurance Requirements All vendors/companies/groups (herein referred to as “Vendor”) providing services to or doing business with Colorado Mountain College, a Local College District (“CMC”) must maintain the following types of insurance with minimum limits of liability as stated below for the duration of the contract. Please send these requirements to your insurance agent or broker and have them provide a compliant Certificate of Liability Insurance (preferably a standard Acord form) to CMC. Certificates of Liability Insurance evidencing the coverage, limits and endorsements outlined below must be issued by the insurance agent or carrier at least (5) working days prior to contract execution or work commencing. Note: Additional coverage may be required dependent upon the nature and scope of services provided and/or work performed. Requests for exceptions to these requirements must be discussed with and approved by CMC Risk Management prior to contract execution or work commencing. Coverage Minimum Limit Commercial General Liability (CGL) $1,000,000 Occurrence/$2,000,000 aggregate $2,000,000 Products / Completed Operations aggregate The Vendor shall maintain CGL coverage for itself and all additional insureds for the duration of the services performed for CMC and maintain Completed Operations coverage required herein in full force and effect until the expiration of any applicable statutes of limitations. Colorado Mountain College, a Local College District and its affiliates shall be listed as an additional insured. The insurance shall include a provision that such insurance afforded by the policy for the benefit of the additional insureds shall be primary and non-contributory to any insurance or self- insurance maintained by the additional insureds. In addition, a Waiver of Subrogation shall be issued in favor of CMC. Commercial Crime including Client Coverage $1,000,000 Limit Vendor shall maintain commercial crime insurance, including third-party fidelity coverage. Colorado Mountain College, a Local College District shall be named Loss Payee. Professional Liability (Errors & Omissions) $1,000,000 per claim / $1,000,000 Policy Aggregate Vendor shall maintain professional liability at minimum limits of $1,000,000 per claim and $1,000,000 policy aggregate. Automobile Liability Vendor shall ensure automobile liability is in force as required by state law for all vehicles used in performing services under this agreement. Proof of coverage may be required upon request. Workers’ Compensation Statutory Limits ($100,000/$500,000/$100,000) Vendor shall maintain the coverage required by the state for Workers’ Compensation / Employer’s Liability insurance. The policy shall contain a Waiver of Subrogation in favor of CMC. If Vendor is not required by the state to carry Workers’ Compensation / Employer’s Liability insurance and officers have rejected coverage, Vendor is required to complete a Declaration of Independent Contractor Status form. Additional Provisions CMC requires insurance carriers be licensed to conduct business in the State of Colorado and a minimum A.M. Best Rating of A-. Vendor shall require in all Vendor’s subcontracts, if any, the same limits and coverage required herein. Each insurance policy shall state that CMC will receive thirty (30) days prior written notice of any cancellation, non- renewal, or material alteration of the Vendor’s insurance policies. Renewal certificates should be automatically sent to CMC. Certificate Holder: Colorado Mountain College, a Local College District Risk Management Department 802 Grand Avenue Glenwood Springs, CO 81601 Questions regarding CMC’s Insurance Requirements should be directed to: gpedrick@coloradomtn.edu Phone: 970-947-8375 Revised 04/2018 DocuSign Envelope ID: AAE2ABD9-13A4-457C-83C6-B6BDC37E23DE