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HomeMy WebLinkAboutResolution - 2009-R0115 - Cash Farm Lease Agreement - Gary Schaffner - 03/23/2009Resolution No. 2009-RO115 Mare 23, 2009 Item No. 5.18 RESOLUTION 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 ected to execute for and on behalf of the City of Lubbock, a Cash Farm Lease ;regiment, by and between the City of Lubbock and Gary Schaffner, and all related ruments. Said Agreement is attached hereto and incorporated in this resolution as if ly set forth herein and shall be included in the minutes of the City Council. by the City Council this (ATTEST: becca Garza, City Secre ary 'PROVED AS TO CONTENT: Adams, Deputy City Booher, Right -of -Way Agent :OVED AS TO FORM: Assistant City Attorney Farm Lease.Gary SchatTherses 23rd day of March '2009. TO MARTIN, MAYOR Resolution No. 2009--RO115 CASH FARM LEASE AGREEMENT THE STATE OF TEXAS § COUNTY OF LUBBOCK § This Cash Farm Lease Agreement ("Lease") is entered into this 23rd day of March , 2009,.by and between the CITY OF LUBBOCK, a Home Rule Municipal Corporation, in Lubbock County, Texas, hereinafter called "Lessor", and Gary Schaffner, hereinafter called "Lessee." 1. Term/Property. The term of this Lease shall commence on the date of execution hereof, and Lease shall expire on. December 31, 2009, unless terminated earlier as provided in this Lease. The following lands and premises located in Lubbock County, Texas are made subject to this Lease: All of the west half (319.81 acres) of Section 72, Block S, Lubbock County, Texas, further referenced as Lubbock County Farm Service Agency (FSA) Farm No.1980, and more specifically described in Exhibit "A" attached hereto. 2. Rent. Upon final execution of this Lease, Lessee will pay rent to Lessor an amount equal to THIRTY-FIVE AND NO/100 DOLLARS ($35.00) per acre, in a form acceptable to Lessor. The parties agree that the amount due at the inception of this Lease shall be ELEVEN THOUSAND ONE HUNDRED NINETY-THREE AND 35/100 DOLLARS ($11,193.35). All monies due, including rent, shall be payable to: Attn: Dave Booher, Property Manager City of Lubbock P.O. Box 2000 Lubbock, TX 79457 3. Covenants by Lessee. Lessee agrees and covenants as follows: (a) To prepare, plant, and cultivate all tillable land in a farmer -like manner in due time and season; to keep down all noxious weeds and grasses and prevent their seeding and spreading with the same precaution that any prudent farmer would exercise in the care of his own field. (b) As the crops are gathered from any of the Leased land during the term of this Lease, Lessee will surrender possession of such portions thereof, so that Lessor or any future tenant may enter upon the land and prepare it for cultivation for the following year. (c) No crops which would not ordinarily be harvested before the termination of this Lease shall be planted without the consent of the Lessor in writing signed by the City Manager of Lubbock, Texas, or her designee, and any crops growing on said property in violation of this provision shall revert to Lessor as its property, together with any plowing or other work done by Lessee without the written consent of Lessor. (d) Lessee agrees and covenants to keep all fences, windmills, buildings, wells, and other improvements if applicable in as good condition as they were at the time he received possession of the property, usual wear and tear, injury or damage by fire not the result of the negligence of Lessee or his agents, and acts of God excepted. If the buildings, as applicable, are destroyed or so damaged that they cannot be repaired except by substantially rebuilding them, Lessee shall be under no obligation to rebuild or repair the buildings. No alterations in buildings or improvements if applicable shall be made without the written consent of Lessor, it being agreed that any improvements placed upon the property shall become the property of the Lessor and shall not be removed by Lessee. (e) At the end of the Lease term, or as otherwise provided herein, Lessee agrees to give peaceable possession of the Leased premises to Lessor. (f) Lessor reserves the right to enter the premises at any time to survey, lay out contour lines, build terraces, drill wells, construct and maintain water and other utility lines, make any improvements necessary for the construction of the Lake Alan Henry water treatment plant, and perform any activity as it sees fit. It is agreed and understood that should Lessor enter upon said premises and make any improvements, the Lessee shall be entitled to such reasonable amount of compensation for damages suffered directly by him that resulted from such action by the Lessor. (g) Lessee will not allow the dumping of trash, debris, junk, oil, gas, chemicals or any foreign substance on the property. (h) Lessee agrees to comply with all applicable federal, state, and local laws and regulations in connection with Lessee's farming and other activities on the Leased property. 4. Covenants by Lessor and Lessee. Lessor and Lessee agree and covenant as follows: (a) In case of sale of said premises during the occupancy of Lessee hereunder and if the purchaser desires possession, Lessee agrees to surrender the same at once. In such a case, payment for crop damages shall be made to Lessee by Lessor after the crop harvest, for the crop acreage damaged or rendered unusable, Crop damages will be determined on a pro -rata basis by the Lessor, 2 based on the amount of crops harvested on the undamaged balance of the tract and the average price per pound, or bushel, as the case may be, received by Lessee from a bona fide purchaser, no later than December 30, 2009, for such balance of the crops harvested. (b) If the land covered by the contract be occupied by anyone other than Lessee at the time that he is taking possession, and the occupant refuses to deliver possession, then Lessor will use diligence to obtain possession as soon as it can be done, but if Lessor is delayed or defeated in gaining possession, Lessor shall not be liable to Lessee for any damages occasioned by Lessor's delay or failure to gain possession. (c) This Lease is made subject to all existing easements and all rights under mineral deeds and Leases heretofore granted or assigned and recorded in the records of Lubbock County and subject to the right of Lessor to develop and explore for oil, gas or other minerals on said Land. (d) At any time after thirty (30) days written notice to Lessee, Lessor may enter upon the property, or any part thereof and may repossess the same and expel the said Lessee, and those claiming under him and remove his effects, without being taken or deemed guilty of any manner of trespass; provided that Lessee shall be entitled to a reasonable amount of compensation of expenses incurred by him for the production of crops prior to the date of delivery of said written notice by Lessor. (e) It is understood by Lessor and Lessee that the property the subject of this of Lease shall in the future be used by the Lessor for water treatment plant purposes. It is understood and agreed by Lessee that as portions of the property are required by the Lessor for the construction of the water treatment plant or other related activities/purposes, that Lessee shall, upon proper notice, surrender such property for Lessor's use. Lessor agrees that Lessee may then continue to use the remaining property for farming purposes until such time as it is required for water treatment plant purposes. The determination as to when any given portion of the property is required for the water treatment plant purposes shall be made by Lessor, in its sole discretion. In no event shall Lessor be liable to Lessee for any damages, other than crop damages, for converting the property for water treatment plant uses, nor for any manner of trespass. Lessor will give Lessee advance notice when additional area being farmed by Lessee will be needed for construction. If Lessee will not be able to harvest the crops on the acreage notified by Lessor for additional construction purposes, crop damages in the form of a monetary amount will be paid to Lessor for the acreage damaged. Crop damages will be determined by Lessor based pro -rata on the amount of crops harvested on the balance of the tract and the average prices per pound received by Lessee from a bona fide purchaser, no later than December 30, 2009 for such balance of the crops N harvested. In the event Lessor needs part of the Leased property for water treatment plant purposes the Lessor will give Lessee sixty (60) days written notice, In the event Lessee shall fail or refuse to remove his property from the portion of the land then being required for water treatment plant purposes, Lessor shall have the right to enter upon the Lease premises and remove any such property. 5. Default. In the event Lessee or Lessee's agents violate any covenant in this Lease or any applicable federal, state, or local laws; or if Lessee abandons the property, in the sole determination of Lessor, then Lessor's representative may give Lessee a written notice of default; Lessee shall then be entitled to twenty (20) days in which to cure the default. In the event Lessee fails to cure the default then Lessor shall have the option to immediately terminate this Lease and Lessee shall have no further right to the property, or proceeds or crops therefrom. In the event Lessor shall waive any default in any covenant contained in this Lease, such waiver shall not be deemed to be a waiver of any other default. 6. Notice. All notices to be given under this agreement shall be given by certified marl or registered mail, addressed to the proper party, at the fallowing addresses: Lessor City of Lubbock Attn: property Manager Box 2000 Lubbock, Texas 79457 Lessee Gary Schaffner 4905 East Woodrow Road Slaton, Texas 79364 7. Time of the Essence. The parties hereto agree that TIME IS OF THE ESSENCE with respect to the performance of all terms, conditions, obligations, and covenants of this Lease agreement. S. Insuirance. Farm/Ranch Owners' Liability Insurance. Lessee shall have Farm/Ranch Owners' Liability Insurance with limits of $500,000 combined single limit in the aggregate and per occurrence. The Lessor shall be named as an additional insured in such policy. [THE REMAINDER OF THIS PAGE LEFT BLANK INTENTIONALLY] 2 LESSE : By: Gary Seafner 4905 t Wo drove Rd Slaton, Texas 79364 ms/Lease Agricultural Agrmnt-Schaffner 2127/09 LESSOR: By: !�Z�Am�f- TONf MARTIN, MAYOR ATTEST: Ct .� Rebecca Garza, City Secret APPROVED AS TO CONTENT: homas Adams, Deputy City Manager Dave Booher, Right -of -Way Agent APPROVED AS TO FORM: mot