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HomeMy WebLinkAbout08- Agricultural Lease with Donald Dodge at the Water Treatment PlantCommission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Debra Arkell, Director of Public Service Chris Kukulski, City Manager SUBJECT: Agricultural Lease with Donald Dodge at the Water Treatment Plant MEETING DATE: May 19, 2008 Consent Agenda RECOMMENDATION: Authorize the City Manager to sign the Donald Dodge lease for a term of three years beginning May 28, 2008. BACKGROUND: Donald Dodge has leased 40 acres at the Lyman Water Treatment Plant since 1984. The City has renewed his lease every three years since 1984 and his lease is up for renewal this month for a period of three years. His rental rate is $475 annually, which he has faithfully paid each year. Mr. Dodge uses the property for grazing livestock and he controls noxious weeds on the property. A copy of the lease is attached. FISCAL EFFECTS: The annual lease payment of $475 is deposited into the Water Treatment Plant fund. Weed control done by Mr. Dodge benefits the City by saving money and staff time to perform weed control on this acreage. ALTERNATIVES: As suggested by the City Commission. Res ectfully submitted Debra H. Arkell, Director of Public Service Chris A. Kukulski, City Manager Report compiled on MaY 5, 2008 cc: Rick Moroney, WTP Superintendent Richard Hixson, City Engineer AGRICULTURAL LEASE THIS AGREEMENT, made and entered into this _28_ day of May , 2008, by and between the City of Bozeman, a municipal corporation located at 411 East Main Street, Bozeman, Montana 59715, hereinafter referred to as LESSOR, and DONALD D.~DODGE, of 3185 Bridger Canyon Road, Bozeman, Montana 59715, hereinafter referred to as LESSEE. WITNESSETH: Premises Leased: For and in consideration of the rents to be paid and the covenants to be performed by Lessee as hereinafter set forth, Lessor does hereby demise, lease and let unto Lessee those certain lots, pieces or parcels of real property situated. lying and being in the County of Gallatin, State of Montana, and more particulazly described as follows: NW '/4 , NW '/a, Section 28 Township 1 South, Range 6 East, P.M.M. containing an area of 40 acres more or less. 2. Term: To have and to hold said premises according to the provisions hereof for a period of three (3) yeazs from and after the date first above written, and unless terminated upon notice in writing given by either party to the other not less than sixty (60) days prior to the end of the initial term or any annual extension thereof, unless sooner terminated as herein provided. 3. Rental: Lessee shall pay to the Lessor, as rental for the demised premises, the sum of Four Hundred Seventy-five and No/100 Dollars ($475) per annum, payable in advance, to Lessor at its office in Bozeman, Montana, July 1, annually. 4. Repairs and Improvements: Lessee agrees to protect all improvements upon said premises and to keep the same in as good condition and beaz all expenses of repairing fences, and other improvements. Any new improvements made during this lease shall remain on the land as property of the Lessor unless otherwise excepted by the terms of this lease. 5. Use of Premises: Lessee agrees to utilize said premises in a good farmer-like manner and according to the ordinary methods of husbandry employed in the azea and to commit no waste upon the property. Lessee agrees that he will not use, or permit to be used, any part of said premises for any other purpose than normal farming or grazing purposes without the prior written consent of the Lessor. Lessee further agrees to comply with all State and County laws and regulations regazding the control of noxious weeds at the sole expense of the Lessee and to hold Lessor harmless from said control of noxious weeds. 6. No Assignment or Sublease: Lessee agrees that he will not assign this Lease, nor will he sublet the premises, or any part thereof, without the prior written consent of the Lessor. 7. Surrender of Premises to Lessor: Lessee further agrees that at the termination of this Lease, whether by expiration of its term, by default, or as otherwise provided herein, he will immediately surrender possession of said premises to Lessor with the improvements thereon in as good condition and repair as the same now are, reasonable wear, tear and damage from the elements alone excepted. 8. Lessor's Right to Terminate: Lessor hereby reserves, and Lessee grants to Lessor, the right to terminate this Lease at any time upon sixty (60) days written notice; provided, however, in the event of such termination, that if the Lessee shall have paid rental in advance for the period during which this lease is cancelled, an amount shall be repaid to Lessee proportionate to the unexpired period for which the rental has been paid in advance, and with consideration to be given for any unharvested crops. 9. Notice to Lessee: Notice maybe given by Lessor to Lessee by mailing the same to Lessee at the address provided herein. Notice shall be deemed delivered when the notice is deposited with the United States Post Office, first class postage prepaid. 10. Defaults: Should Lessee default in the payment of any rental, or otherwise default in the performance of any term or condition of this agreement, Lessor may immediately re-enter and re-take possession of the premises, or any part thereof, without notice and without the necessity of resorting to any legal action whatsoever, ~~rithout such re-entry working a forfeiture of the rents to be paid, or at its option, Lessor may cancel this lease and re-enter and re-take possession. 11. Access: There is further reserved unto the Lessor, its successors and assigns, the right of access and entry upon the lands to make field inspections, examinations, soil tests, and other evaluations in connection with a determination of the highest and best use of the lands herein leased. 12. Hold Harmless -Liability Insurance: Lessor shall not be liable in any manner to the Lessee, or to any other party or parties, for any loss, cost, damage or injury arising out of or in any manner connected with the use of said leased premises, or any part thereof, or arising out of or in any manner connected with the condition thereof or the previous maintenance thereof. Lessee shall indemnify and hold Lessor harmless from any and all injury, cost, loss, liability, expense or damage, or claim thereof. 13. Miscellaneous Covenants and Provisions: a. Lessee agrees that he will not use or permit the use of the demised premises contrary to any valid laws of the State of Montana or ordinance of the. County of Gallatin or City of Bozeman and will save Lessor harmless from any and all claims for damages which maybe sustained by reason of anything which may occur upon said premises or arise from the use or occupancy thereof by the Lessee. b. The covenants and conditions of this Lease shall be deemed continuing and any forbearance by Lessor to enforce forfeiture on the occasion of one or more breaches thereof shall not be construed as a waiver of the right to enforce such forfeiture on any subsequent breach. c. It is mutually agreed and understood that in the even± either party hereto shall bring any legal action against the other to enforce any right or obligation based upon this Lease, the successful party in such legal action shall be entitled to recover in such action a judgment for all costs and expenses of any kind and nature whatsoever incident to the prosecution or defense of such action or the preparation thereof, including reasonable attorney's fees. d. It is mutually understood and agreed that time shall be of the essence of this agreement and that the terms hereof shall bind the heirs, personal representatives, successors and assigns of the parties hereto, but nothing in this paragraph shall be construed as a consent by the Lessor to any assignment of this Lease, or any interest therein by the Lessee, except as provided in paragraph 6 of this Lease. e. It is mutually understood and agreed that all prior understandings of the parties, either written or oral, are merged herein and this document constitutes the entire understanding of the parties. IN WITNESS WHEREOF, the parties hereto have set their hands and seal the day and year first above written. LESSOR: CITY OF BOZEMAN By: Chris A. Kukulski City Manager ATTEST: Stacy Ulmen Clerk Clerk STATE OF MONTANA ) ss. County of Gallatin ) On this day of , 2008, before me, the undersigned a Notary Public for the State of Montana, personally appeared CHRIS A. KUKULSKI and STACY ULMEN, known to me to be the City Manager and Clerk Clerk, respectively, of the City of Bozeman and the persons whose names are subscribed to the within instrument and acknowledged to me that they executed the same for and on behalf of the City of Bozeman. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my Notarial Seal the day and year first above written. (SEAL) Notary Public for the State of Montana (Printed Name of Notary Public) Residing at My commission expires 13. Miscellaneous Covenants and Provisions: a. Lessee agrees that he will not use or permit the use of the demised premises contrary to any valid laws of the State of Montana or ordinance of the. County of Gallatin or City of Bozeman and will save Lessor harmless from any and all claims for damages which maybe sustained by reason of anything which may occur upon said premises or arise from the use or occupancy thereof by the Lessee. b. The covenants and conditions of this Lease shall be deemed continuing and any forbearance by Lessor to enforce forfeiture on the occasion of one or more breaches thereof shall not be construed as a waiver of the right to enforce such forfeiture on any subsequent breach. c. It is mutually agreed and understood that in the even± either-party hereto shall bring any legal action against the other to enforce any right or obligation based upon this Lease, the successful party in such legal action shall be entitled to recover in such action a judgment for all costs and expenses of any kind and nature whatsoever incident to the prosecution or defense of such action or the preparation thereof, including reasonable attorney's fees. d. It is mutually understood and agreed that time shall be of the essence of this agreement and that the terms hereof shall bind the heirs, personal representatives, successors and assigns of the parties hereto, but nothing in this paragraph shall be construed as a consent by the Lessor to any assignment of this Lease, or any interest therein by the Lessee, except as provided in paragraph 6 ofthis Lease. e. It is mutually understood and agreed that all prior understandings of the parties, either written or oral, are merged herein and this document constitutes the entire understanding of the parties. LESSEE: /''-~ r- ~~ ~ ti Donald D. Dodge ' STATE OF MONTANA ) ss. County of Gallatin ) On this ~ day of ~, ~ , , 2008, before me, the undersigned, a Notary Public for the State of Montana, personally appeared DONALD D. DODGE, known to me to be the person whose name is subscribed to the within instrument and acknowledged to me that he executed the same. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my Notarial Seal the day and year first above written. j~~ HOF '°~ p~pR~gtiF l S~~L = ~ ~ tary Public for th tate of Montana ,_ ~Y'~~s~t~~9(~ ~~ ff ~- (Printed Name of Notary Public) pF M~ Residing at ~~, ~,~~ My commission expires ~ - [~~ - ~„~` ~