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HomeMy WebLinkAboutRES 15-146RESOLUTION NO. 15-146 BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMO.NT: THAT the City Manager be and he is hereby authorized to execute a Lease Agreement between the City of Beaumont and Tyrrell Park Stables, LLC, of Beaumont, Texas, for a one (1) year lease, with three (3) annual options to renew for a period of one (1) year, in the monthly amount of $350, plus utilities, for Tyrrell Park stables and associated pastures to board and train horses as well as provide a venue for riding lessons at Tyrrell Park. 'The Lease Agreement is substantially in the form attached hereto as Exhibit "A" and made a part hereof for all purposes. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 21st day of July, 2015. ®aw_ �n 4��Zbv(�M a--- - rtor Becky Ames - State of Texas § County of Jefferson § Lease Agreement THIS AGREEMENT is made and entered into this day by and between the City of Beaumont, a municipal corporation of the State of Texas (herein referred to as "City") and Tyrrell Park Stables, LLC (herein referred to as "Tenant"), for the lease of property within Tyrrell Park in Beaumont, Texas and being described in Exhibit "A" attached (herein referred to as "Property") WHEREAS, City has right, title and interest in and to the facilities and privileges hereinafter granted, and has full power and authority to enter into this Agreement in respect thereof; and WHEREAS, Tenant wishes to lease Property for an equestrian -oriented operation for the benefit of the citizens of Beaumont and Southeast Texas. NOW, THEREFORE, in consideration of the mutual covenants and considerations herein contained, City lets and demises to Tenant and Tenant takes from City the Property and all described rights incident thereto, subject to the following: Article 1 TERM OF AGREEMENT 1.1 The primary term of this Agreement shall be one (1) year, commencing on and shall terminate on , if not sooner terminated as herein provided. 1.2 Upon expiration of the primary term, the City Manager or his designee may extend this Agreement for three (3) additional one (1) year periods by Agreement of both the City and Tenant. 1.3 If Tenant holds over and continues in possession of Property after the expiration of the term of this lease, or any extension of that term, Tenant will be deemed to be occupying the Property on the basis of a month-to-month tenancy, subject to all of the terms and conditions of this lease. 1.4 Tenant agrees that upon expiration of the primary term or any extension of this , Agreement or sooner cancellation thereof, the Property will be delivered to City in good EXHIBIT "A" condition, reasonable wear and tear excepted. Article 2 RENTAL AND UTILITY PAYMENTS 2.1 During the primary term of this Agreement, Tenant shall make monthly rental payments to City in the amount of $_350.00 -as consideration of its interest in the lease. Said payments shall commence thirty (30) days after the execution of this lease Agreement. 2.2 Rental payments shall be made by Tenant on or before the fifth (5th) day of each month. Failure of Tenant to make prompt and timely rental payments may be cause for contract termination. 2.3 Utility payments shall be invoiced and paid with the next rental payment. Article 3 OBJECTIVES AND PURPOSE OF AGREEMENT 3.1 For the term of the Agreement, Tenant shall be qualified, authorized and herewith designated official in possession and control of all real property described as the barn and its associated pastures north of the stables road to Downs Road extended and known as Property. The Property will continue to be owned by the City during the term of this Agreement and any extension thereof. 3.2 Tenant shall operate, manage and maintain said Property and surrounding grounds in a fit and proper order, suitable for equestrian activities only. Any other uses of the Property contemplated by Tenant must receive prior written approval by the City Manager or his designee. 3.3 Tenant is an independent contractor, not an employee or agent of City and all persons employed by Tenant shall be his employees and shall not be employees of City. Article 4 GENERAL PROVISIONS 4.1 The services called for herein shall be performed by Tenant as an independent contractor, and City shall not be liable for the manner of discharge of such services. -2- 4.2 This Agreement shall not be transferred or assigned to any party, in any manner whatsoever, by Tenant without the prior written approval of the City Manager or his designee. 4.3 If any term or provision of this Agreement shall, to any extent, be invalid or unenforceable, the remainder of this lease shall not be affected thereby and each other term and provision of this lease shall be valid and be enforced to the fullest extent permitted by law. 4.4 Tenant will clean and maintain the grounds, structures and fences. The mowing schedule will be coordinated with the City so that the grounds complement the surrounding park property. 4.5 Tenant shall confine all riding activities to the Property and designated riding trails; no riding is allowed on Tyrrell Park property except in the Property areas which are encompassed by the Agreement. 4.6 Tenant and his customers, clients and patrons shall drive and park only in designated areas; vehicles are only permitted on grass areas for the temporary transport of supplies and equipment. 4.7 Tenant shall be responsible for keeping Property free of any litter, trash or debris and shall adhere to all regulations governing its disposal. 4.8 Tenant agrees to conform to all policies, rules and regulations of the City, and all City ordinances, and State and Federal statutes. 4.9 Tenant shall promptly pay as it becomes due and payable, all indebtedness, obligation or other amounts owing or incurred by him under this Agreement. No liens of any kind may be affixed to Property. 4.10 Tenant shall be responsible for routine general maintenance of buildings and property, including plumbing, electrical and air conditioning systems. City is responsible for roof systems, exterior walls of the stables, monthly maintenance checks on HVAC equipment, and major equipment repairs on HVAC systems only. Damages caused by Tenant, Tenants guests or by Tenants negligence shall be the responsibility of Tenant. Should damages to the Property occur or the Property require general maintenance, which are the responsibility of the Tenant under this lease, Tenant must promptly repair such damages. Should Tenant fail to repair such damages, City shall upon ten (10) days' written notice -3- of such failure, may repair the damages and charge the cost of same to Tenant as additional rent. Article 5 INDEMNITY AND INSURANCE 5.1 Indemnity 5.1.1 THE CONTRACTOR AGREES TO INDEMNIFY AND HOLD HARMLESS THE CITY OF BEAUMONT AND ITS OFFICERS, AGENTS, AND EMPLOYEES FROM ANY AND ALL CLAIMS, CAUSES OR ACTION, AND DAMAGES OF EVERY KIND, FOR INJURY TO OR DEATH OF ANY PERSON AND DAMAGES TO PROPERTY ARISING OUT OF OR IN CONNECTION WITH THE WORK DONE BY THE CONTRACTOR UNDER THIS CONRACT, AND INCLUDING ACTS OR OMISSIONS OF THE CITY OF BEAUMONT OR ITS OFFICERS, AGENTS OR EMPLOYEES IN CONNECTION WITH SAID CONTRACT. Contractor waives all rights of recovery, and its insurers also waive all right of subrogation of damages against the City and its agents, officers, directors and employees for damages covered by the workers' compensation and employers liability or commercial umbrella or excess liability or business automobile coverage obtained by contractor required in this Agreement, where permitted by law. This waiver must be stated on the City's approved certificate of Insurance. The fact that insurance is obtained by Contractor on behalf of City will not be deemed to release or diminish the liability of contractor, including, with limitation, liability under the indemnity provisions of this Agreement. Damages recoverable by City from Contractor or any third party will not be limited by the amount of the required insurance coverage. 5.2 Insurance 5.2.1 Within ten (10) days of the execution of this Agreement and prior to commencement of any activities on the Property, Tenant shall furnish a completed Insurance Certificate to the Purchasing Manager as specified in RFP Number PF0415-15 Page 24. 151 5.2.2 In addition the Tenant shall provide personal property damage insurance for City owned building and contents on the leased premises in an amount sufficient to replace such contents after a casualty loss. Article 6 TERMINATION 6.1 The Agreement may be terminated by either party after thirty (3 0) days' written notice. Any written notice to be given hereunder by either party to the other party shall be affected by certified mail, return receipt requested. Article 7 IMPROVEMENTS TO PROPERTY 7.1 Improvements by Tenant 7.1.1 Tenant may make improvements to the Property. All improvements by Tenant must have the prior written approval of the City Manager or his designee. 7.1.2 All Improvements to Property must be in accordance with City, State and Federal laws, regulations and codes applicable to the construction, renovation and improvement of the structures and grounds. Due to the public nature of Property, State regulations set forth by the Texas Department of Licensing and Regulations applicable to Architectural Barriers must be followed. Prior to commencement of Improvements to public areas, approval of the plans and specifications must be received by the Texas Department of Licensing and Regulations and City departments. 7.1.3 Tenant is solely responsible for all payments, claims and costs. associated with Improvements unless otherwise provided for in this Agreement or agreed to in writing by both parties. 7.2 Upon termination of this Agreement, or any extension thereof, all improvements to Property shall become the property of the City. 7.3 Should the Improvements or Property be damaged or destroyed by fire or other casualty, the decision to reconstruct the facility shall be solely that of the City Manager or his designee. If the City decides not to reconstruct the Property, this lease Agreement shall terminate. Should the Property, or any portion of such Property, be destroyed by an -5- insured event to such an extent that the business of the Tenant cannot continue and should the City decide to rebuild the destroyed portion of such Property such that the Tenant can continue in business, then, in that event, this lease shall be extended for a period of time equal to the period of time that the Tenant is not able to operate its business under this lease and the Tenant shall be relieved of rental payments during such time period. Article 8 NOTICES 8.1 Any written notice to be given hereunder by either party to the other party shall be affected by certified mail, return receipt requested. 8.2 Notice to Tenant shall be sufficient if made or addressed to: Tyrrell Park Stables, LLC 5595 Tyrrell Park Rd. Beaumont, Texas, 77705 8.3 Notice to City shall be sufficient if made or addressed to: City Manager City of Beaumont P. O. Box 3827 Beaumont, Texas 77704 8.4 This Agreement constitutes the entire Agreement between the parties and no changes, amendments or modifications hereof shall be valid or recognized unless in writing and signed by both parties. 8.5 This Agreement shall be construed under, and in accordance with, the laws of the State of Texas, and all obligations of the parties created by this Agreement are performable in Jefferson County, Texas. W IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the date first mentioned above at Beaumont, Texas. CITY OF BEAUMONT (LANDLORD): TENANT: Signature Kyle Ha, e� s, City Manager Printed Name and Title Date -7- Signature Printed Name and Title Date