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HomeMy WebLinkAboutResolution - 5481 - Contract - Koch Beef Company - Cattle Grazing Rights, Summer & Winter Grazing - 05_08_1997RESOLUTION NO.5481 Item #29 May 8, 1997 BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock BE and is hereby authorized and directed to execute for and on behalf of the City of Lubbock a Contract, attached herewith, by and between the City of Lubbock and Koch Beef Company, of Lubbock, Texas, for the Cattle Grazing Rights Summer & Winter Grazing, and any associated documents, which Contract shall be spread upon the minutes of the Council and as spread upon the minutes of this Council shall constitute and be a part of this Resolution as if fully copied herein in detail. Passed by the City Council this 8 th day of May , 1997. ATTEST: Kay Darnell, City Secretary 1APPROVED AS TO CONTENT: V Victor Kilmalo, Purchasing Manager APPROVED AS TO FORM: lhdnald G. Vandiver, City Attorney da/ccdocs/kochbeef.res April 30, 1997 CATTLE GRAZING CONTRACT Each of the following parties set forth in Paragraph 1 below agree as follows: PARTIES. 1.1 The CITY OF LUBBOCK, TEXAS, a Municipal Corporation referred to as "CITY," 1.2 KOCH BEEF COMPANY , referred to as "OWNER." 2. RECITALS. 2.1 CITY conducts farming operations upon certain land owned by the City of Lubbock' ("City Farms") where the primary purpose is the lawful disposition of sewage effluent. 2.2 CITY and OWNER desire to enter into a written agreement to govern the grazing of cattle by OWNER on the City farms pursuant to the terms and conditions herein set forth. 3. AGREEMENT. 3.1 Description of Grazing; This contract governs cattle which are placed for: Seasonal grazing shall consist of one or more of the following crops: corn, wheat, alfalfa, jose wheat grass, forage sorghum, and grain sorghum. The period for grazing of the OWNER'S cattle under this Contract shall be approximately June 1,1997 to May 31, 2000 it being understood that the exact dates for the placing and removing of cattle will be mutually agreed on by OWNER and CITY. 3.2 Description of Cattle: The exact number of cattle to be grazed will be mutually agreed upon by OWNER and CITY at the time land is stocked; however, the cattle to be grazed are: Yearlings -- Healthy beef cattle generally weighing 300 lbs. to 6001bs. at the time the land is stocked and which will be grazed on all crops identified in Section 3.1 above. 3.3 RENTAL. OWNER agrees to pay $ 18.10 per head per month for grazing, payable each thirty (30) days. At the end of each thirty (30) day period and the final removal of the cattle from the property, the cattle will be gathered and counted by the OWNER, with the cooperation of the CITY and such account shall be the basis of payment by the OWNER to the period since the last counting and payment. Without regard to the periodic counting provided in this paragraph, payment shall be due for any cattle removed from the premises during the term of this Contract, at the time of such removal. Statements shall be presented reflecting payments due from the OWNER to the CITY and all statements are due and payable in full within ten (10) days of the date of each thirty (30) day statements. 3.4 RESPONSIBILITIES OF OWNER. CITY The OWNER is to provide all labor, medication, supplements and services necessary for the care of the cattle, which are the subject of this Contract, and CITY has no responsibility for the care of the cattle. The cattle "caretaker(s)" appointed by the OWNER shall be approved by the CITY prior to access onto the City Farms and may be required to provide references and performance history. 3.5 ADDITIONAL FEED. It is understood that if the CITY has available hay or other roughage which has been produced on the City Farms, then during periods of excessive damage by migratory birds which results in grazing being reduced or not available, the CITY shall, in its sole discretion, make such hay or roughage, to the extent of reasonable availability to the CITY, for use by the OWNER in feeding the cattle covered by this Contract without additional charge to the OWNER 3.6 AVAILABILITY OF WATER. The CITY shall be responsible for making available groundwater of suitable drinking quality for the cattle of the OWNER at locations in each pasture, the exact locations to be determined by the 3.7 REMOVAL OF CATTLE. All amounts due the CITY under this grazing Contract must be paid prior to the removal of the cattle by OWNER. 3.8 COMPLIANCE WITH REGULATORY AUTHORITIES. OWNER understands that this grazing Contract is subject to and is subordinate to disposal of sewage effluent at the City Farms, including requirements of the Texas Natural Resource Conversation Commission, the Environmental Protection Agency, the City of Lubbock and other State and Federal regulatory authorities having jurisdiction. In the event of a conflict between the operation of the City Farms for disposal of sewage effluent and for cattle grazing, CITY will give priority to the requirements of sewage disposal. 3.9 TERMINATION BY CITY. In the event the CITY determines that the City Farms may be more appropriately utilized for purposes other than the grazing of cattle, and the CITY elects to discontinue cattle grazing on the City Farms, then the CITY may, by giving four (4) weeks prior notice to the OWNER, terminate this Contract. OWNER shall have four (4) weeks after receipt of written notice of termination under this subparagraph to remove the cattle remaining on the property. CATTLE GRAZING CONTRACT PAGE 2 3.10 TERMINATION BY OWNER. If the OWNER wishes for any reason to terminate this Contract, the OWNER may, by giving four (4) weeks prior notice to the CITY, terminate this Contract. OWNER shall have four (4) weeks after sending notice of termination under this subparagraph to remove the cattle remaining on the property. 3.11 INDEMNITY AND LIABILITY. CITY shall not have any responsibility for the condition of or care of the cattle of the OWNER which are the subject of this Contract. The OWNER agrees to indemnify and hold the CITY harmless from liability for injury or death to the OWNER'S cattle during the term of this Contract, provided, however, CITY shall be liable to OWNER for actual damages arising out of injury or death to the OWNER'S cattle occasioned by the negligence of CITY or CITY'S agents, officers or employees. CITY is not liable to OWNER for loss of cattle occasioned by disease or natural causes. CITY shall not be liable to OWNER for loss of cattle due to theft. 3.12 INSURANCE. Each of the parties shall be responsible for maintaining liability insurance or self- insurance against loss, liability or expense to third parties, including personal injury and property damage,, arising out of conduct pursuant to this Contract. CITY agrees to indemnify and hold OWNER harmless from consequences of negligence of the agents and employees of CITY resulting in loss or injury to third parties. OWNER agrees to indemnify and hold CITY harmless from consequences of negligence of agents and employees of OWNER resulting in loss or injury to third parties. OWNER agrees to provide CITY with proof of liability insurance. 3.13 ASSIGNMENTS. This Contract may not be assigned or subcontracted by OWNER without the prior written approval of the CITY. 3.14 T`ERM. Unless renewed or extended in accordance with the terms hereof, this Contract shall terminate at the end of the winter grazing season in the spring of 2000. 3.15 FENCES. CITY shall maintain fences on the subject property during the term of this Contract. 3.16 CORRALS - PENS - LOADING FACILITIES. The CITY, in cooperation with the OWNER shall provide reasonable corrals, working pens and loading facilities to accommodate the need of the OWNER at locations mutually approved by both parties. CATTLE GRAZING CONTRACT PAGE 3 3.17 BINDING EFFECT. This Contract shall be binding on the parties hereto, the heirs, legal representatives, successors and assigns. 3.18 VENUE. This Contract is performable in Lubbock, County, Texas, where venue lies for any disputes arising under this Contract. 3.19 REJECTION OF BIDS. Bidder understands that the CITY has the right to reject any bids including the right to reject bids on failure to establish an adequate line of credit and to waive any formality in the bidding. 3.20 APPROVAL BY CITY COUNCIL. Bidder is notified that any all sections, decisions and provisions of this Contract made herein are subject to City Council action and approval. SIGNED AND EXECUTED on this the _ F�k day of MAY _, 1997. CI`I`Y OF 1• a , / "U „ !,"AiNfLLI "SECRETA1Y-,_,____ AS TO ASSISTANT CITY ATTORNEY C, L M. KOCH BEEF COMPANY VINCENT DEMAIO, AGENT CATTLE GRAZING CONTRACT PAGE 4 (� RESOLUTION N0.5481 ( Item #29 r((� May 8, 1997 BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock BE and is hereby authorized and directed to execute for and on behalf of the City of Lubbock a Contract, attached herewith, by and between the City of Lubbock and Koch Beef Company, of Lubbock, Texas, for the Cattle Grazing Rights Summer & Winter Grazing, and any associated documents, which Contract shall be spread upon the minutes of the Council and as spread upon the minutes of this Council shall constitute and be a part of this Resolution as if fully copied herein in detail. Passed by the City Council this 8th day of May , 1997. ATTEST: ilk ka 1* Darnell, City Secretary APPROVED AS TO CONTENT: Victor Kilmdo, Purchasing Manager APPROVED AS TO FORM: •. D6nald G. Va City Attorney da/ccdocs1kochbeef. rcs April 30, 1997 MAR-11-97 TUE 16:34 KOCH AGRICULTURE FAX N0, 316 832 3892 P. 03/06 12 8067473086 UM APPLICATION rut C, U9 ZING CGNIRACT Each of the following panics set forth in Paragraph 1 below agree as follows: 1. ' PAUl.E� 1.1 The CITY OF LUBBOCK, TEXAS, a Municipal Corporation refarred to as "CITY," 1.2 j-OCH BlliE>w' Cley , referred to as "OWNER" 2. RECITALS. 2.1 CITY conduces farming operatiow upon certain land owned by the City of Lubbock ' C-City Farms") whom the primary puTWn Is the lawful disposition of sewage effluent. 2.2 CITY and OWNER desire to enter into a written agreement to govern the grazing of cattle by UWNLA our the City farms purmant to the temis and conditions herein get forth. 3.1 Ehmmiption ot'QaWl a; This contract goverm i cattle which are planed for: Seawnal gwing $hall consist of one or more of the following crops: corn, wheat, Alfalfa. Jose wheat g &-4 ferage sorghum, and grain Sorghum. The period for grazing of the OW(+IER'S cattle under this Contract shall be approximately June 141997 to May 31, Z004 it bang under mod that the exact dates for the placing and removing of cattlo will be mutually agreed on by OWNER and CTCY. 3.2 QgqjpiLn of Cattle; The exzd muober of tattle to be grated will be mutually agreed upon by OWNER and CITY at the time land is stocked; however, the cattle to be grazed are: Yearlings -- Healthy bccF cattle gemitlly weigbing 300 lbs. to 600 lbs. at the time the land is atodced and which will be grazed on aII dope idemif cd in SCcxiOn 3.1 abavc. r .r OWNER agrees to pay S ILIO trey head per month for grating, payable each thirty (30) drtys. at the end of each thirty (30) day period and the final mnoval of the wttic from the property, the cattle will be SW*red cad counted by the OWNER, Wtth tim 000pmtian of the CITY and ouch &cootmt than be the bagls of payment by the OWNER to the perwd since the last c0'tmting and payment Withm r%*d to the periodic counting provided in this paragraph, pay sent shall be due far any cattle removed from the premises during the term of'this Contract, at the tittle of such reinuval. Statermeats shalt be pr=aW +erecting payments duo from the OWNER to the CITY and al! atatemarts am due and payable in full within ten (10) days of rho date of each thirty (30) day statements. hAR-11-97 TUE 16:35 KOCH AGRICULTURE 0 5067973085 FAX N0, 316 832 3892 P, 04/06 LAM APPLICATION rot CITY. The OWNER is to provide all tabor, rmedica6m supplements and nervices necessary for the Carr of the oattlo. which are the subject of this Contract, and Crj*Y has no responsibility eor the care of the atttio. 'elms cattle'amaker(sr appointed by the OWNER shall be approved by the Ci•I'Y Prior to scoess onto the City Farms and may be required to provide referencesc and performance history. It is undcrstood that if the CITY has o-allabie flay or other roughage which has been produced on tht City Farm then during periods of vamivv damage by migratory hinds which results In grazing being induced or am available, tlrt CITY ahall, in its sole discretion, make such hay or ruughngt~ to the extent of reawta rle 4vagability to the CITY, for use by the OWNER In feeding the cattle covered by this Contract without additional charge to the OWNER. The CITY shall be reaponsiblo for making available groundwater of suitable drinking quality for the cattle of the OWNER at locations in each pasture, the exact locations to be determined by the All amounts due the CITY under this grazing Contract must be paid prior to the removal of the cattle by OWNER, • idle -X' kI C ; • JI1 • OWNER understands that this grazing Contmot is subject to and is Mbordinate to disposal of sewage diluent at the City FaML including rcqu=rmenu of the Texas Natural Fwource Conver"ore Commission, the &viranmcnW protection Agenc/, A' a City of Lubbock and other State and Federal rtvlatoty authoritla having julldictiom In the event of a conflict betwcca the operation of the City Farms for disposal ofsmp effluent and fvr cattle grazing, MY will give priority to the rquircrrrents of scwvo disposal. in the event the CITY determines that the City Farms may be more appropriately utilized for purposes other than the grazing of Mle, and the CITY elders to dlscontinue carde gazing M the City Fames, that the CITY may, by giving four (4) weeks prior notice to the OWNER, terminate this Contract. OWNER 4hall have four (4) weeks niter roeeipt of written notice of tenminatkm under Ibis sttbpamgraph to rcmgn ft cattle remaining on the property. CArnEs CR,A7.M CONTRACT PAGE 2 MAR-11-97 T'UE 16:36 KOCH AGRICULTURE FAX NO. 316 832 3892 P.05/08 4tta 80e78790eb LAND APPLICATION rua 3.10 33MhMATMN BY Oy m- if the OWNER wishes for any reason to terminate this Contract, the OWNER may, by giving four (4) wccks prior notice to the G71Y, terminaze this Contract. OWNER shall have four (4) wooks sfror whiting notice of termination under this aubparagmph to remove the cattle remaltring an the property, CITY shall not have any responsibility for the condifwn of or care of the cattle of thtt OWNER which are the subject of ibis Contract. The OWNER iew to indamnify and hold the CITY harmless fxom liability for injury or death to the OWN EWS cattle during the term of this Conttuc4 provided, hmwcr, CITY shall be liable to OWNER for amml damages arising out of injury or doath to die OWNER'S cattle mmloncd by the negllgence ofM Y or CITY'S ages. officers or employs, CITY is not fiatbte to OWNER for loss of catue occasloaed by disease or nahnl uses, CITY shall not be liable to OWNER for loss of cattle dare to thtft. Each of the parties stall be responsible for maintaining liability insurance or self. Insurance against toes. liability or expense to third parties, Including prrsond lnjury and prppM damage, arising "of conduct pit to this Contract. CITY agnm to indemnify and bold OWNER harmless from cotlsequesuces of negligence of the ngt nts and employees of CITY resulting In loss or injury to third parties. OWNER agrees to indemnity+ and hold CITY harmiass from covoequen= of nagiigettce of agents and employees of OWNER resulting in loss or injury to third parties. OWNER tigr= to provide CITY with proof of liability insurance. This Contract may not be assigned or subcontracted by OWNER without the prior written approval of tht; CITY. Unless renewed or extended in accordance with the teams hereof, this Contract shall terminate at the cnd of the vinter grzing season in the spring of 2000. FIFEMMY-1-1,NW CITY shall maintain fences an the subject prgmrty during the term of this Contract_ 'doe CITY, in cooperation with the OWNER shall provide ressonabla oorrals. working pens and loedltng.facilities to accornmodate the need of the OWNER at locarinng rttututtliy approved by both panies. CATra ORAMG CONTRACT PAGE 3 KAR-11-97 TUE 16:37 KOCH AGRICULTURE F AX N0, 316 832 3892 P. 06/OB 80QTQZ108b Un APPLICATION s„s 3.17 BIN LNG FFFECT. This Conmct shall be binding on the parties hereto, the beirs, legal representatives, succrosors and assigns. 3.19 MJ lE. This Contract is performable in Lubbock, County, Um, where venue lies for any dispum &rising under this Contract. 3.19 > CttON OF smS. Bidder undmwds that the CITY has the right to rged any bids including the right to reject bids on feihne to coabibb an adequate lint of Credit and to waive any formality in the biddir%. 3.20 A,PPEML BY CITY 02UM& Bidder is notified that any Auctions, decisions and provisions of this Contract made herein are subject to City Council action and approval. SIGNED AND EXECUTED an this the day of _•T_, 1997. CITY OF LUDDOCK BY; WINDY SI'r'I'ON, MAYOR ATMST: OWNER BY: -1 WNCEW KATHIE DARNELI., CITY SECRETARY - -- - APPROVED AS TO CONTENT: JOHN HINOMAN. FARM MANAGER - APPROVED AS TO FORM. DON VANDri'13it, FIRST ASSISTANT CITY ATTORNEY CATTLE GRAM NO CONTRACT PAGE 4