Proposition 39 Facilities Request. Developer’s obligation to satisfy this Section 1.5 shall terminate upon Developer’s occupancy of the Project. Prior to and throughout Developer’s construction of the Project, Developer shall submit a valid facilities request annually in accordance with Proposition 39 for allocation of space on LAUSD property and Developer shall execute LAUSD’s agreement for occupancy of the Proposition 39 space. If Developer fails to satisfy the foregoing Proposition 39 obligation, Developer, at its sole cost and expense, shall vacate the Prop. 39 space and relocate to another property. If Developer fails to comply with the requirements of this Section 1.5 and remains in occupancy at its current location, Developer agrees that Developer shall abide by its previous Prop. 39 agreement, pay its pro rata share and, at the selection of LAUSD, pay a holdover fee equivalent to 20% of the total pro rata share for the then current school year (regardless of whether Ocean intends to holdover in its space for the entire school year) OR the cost incurred by LAUSD to prepare another school site as reasonably equivalent for the charter school intended to occupy the space in which Developer is holding over; provided, that for each subsequent year Developer holds over, Developer shall pay the holdover fee identified above. This does not prevent LAUSD from pursuing any other rights or remedies.
Proposition 39 Facilities Request. Developer’s obligation to satisfy this Section 1.6 shall terminate upon Developer’s occupancy of Phase II. Prior to and throughout Developer’s construction of Phase II, Developer shall submit a valid facilities request annually in accordance with Proposition 39 for the space Developer is currently occupying at Berendo MS and Developer shall execute LAUSD’s agreement for occupancy of the Proposition 39 space. If Developer fails to satisfy the foregoing Proposition 39 obligation, this Agreement and the Lease shall terminate and Developer, at its sole cost and expense, shall cease all construction, restore the Leased Premises to its condition existing prior to commencement of construction, and vacate Berendo MS. After the satisfaction of the foregoing obligation to cease construction, restore the Leased Premises and vacate Berendo MS, Developer may submit a Proposition 39 facilities request in the next annual cycle for any other LAUSD facilities.
