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HomeMy WebLinkAboutResolution - 2020-R0193 - Cash Farm Lease Agreement, Blake Petree - Contract 2020-15361 - 06/23/2020Resolution No. 2020-R0193 Item No. 7.6 June 23. 2020 [CONTRAGT'# 2020-1536J RKSOLU'llON BE IT UESOI.VEl) BY THE CITY COUNCIL OF I HE C1 PY OF LUBBOCK: THAT the Mayor of the City of Lubbock is hereby authorized and direeled to execute for and on behalf of the City of Lubbock. a Cash i-'arm Lease Agreement by and between the City of Lubbock and Blake Pelree. of Slaton. Texas, and related documents. Said Lease Agreement is attached hereto and incorporated in this resolution as if fully set forth herein and shall be included in the minutes of the City Council. Passed by the City Council on June 23,2020 L—f\^ DANll-L M. POP!-;. MAYOR ATTEST: Rebacea Garza. City Seen APPROVED AS TO CONTHN'f; . Wood Frafri^, P.E., Division Director of Public Works Helen Gomez. Right-ol-Way Age APPROVED AS fO FORM: e. Assistant City Attorney RES.Cash Farm Lease Agrint-Blakc Pclrcc 6.3.20 Resolution No. 2020-RO193 CASH FARM LEASE AGREEMENT 'rHE STATE OF TEXAS § COUNTY OF LUBBOCK § This Cash Farm Lease Agreement ("Lease") is entered into this 23rd day of June 2020, by and between the CITY OF LUBBOCK, a Home Rule Municipal Corporation, in Lubbock County, Texas, hereinafter called "Lessor", and BLAKE PETREE, 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, 2020, unless terminated earlier as provided in this Lease, The following lands and premises located in Lubbock County, Texas are made subject to this Lease: Approximately 100 acre tract of land out of Section 12, Block B, Lubbock County, Texas and more specifically described in Exhibit "A" attached hereto. This Lease may be extended by mutual agreement of Lessor and Lessee for up to four (4) one (I) year terms. Lessee shall request such extension(s) in writing at least thirty (30) days prior to the end of the tens. For each one (1) year term extension, the rent as set forth in paragraph 2 shall increase two percent (2%). 2. Rent. Upon final execution of this Lease, Lessee will pay rent to Lessor an amount equal to FORTY-ONE N0/100 DOLLARS ($41.00) per acre, in a form acceptable to Lessor. The parties agree that the amount due at the inception of this Lease shall be FOUR THOUSAND ONE HUNDRED NO/100 DOLLARS ($4,100.00). All monies due, including rent, shall be payable to The City of Lubbock and mailed to: Attn: Belen Gomez, Right -of -Way Agent 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 oithout 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) 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 shall comply with all federal. state and local laws and regulations, including but not limited to, all loxas Commission on Environmental Quality (I'CEQ) regulations concerning irrigation, fertilizer and chemical use. 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, or in the event Lessor requires possession or use of the premises for any purpose. 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-rala basis by the Lessor, 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 31 of the year the damage is incurred or the portion of land rendered unusable, 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 casements 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. 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. 'Termination. Lessor may terminate this Lease, for any reason or convenience, upon thirty (30) days written notice to Lessee. In the event this Lease is so terminated, 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. 7. Notice of Pending. If the need arises for the Lessor to use the Leased land for any public purpose, Lessor shall give the Lessee written notice to vacate the Leased land and Lessee shall have three (3) months to cease its operations and leave the Leased land. In such a case, Lessor shall not be liable to Lessee for any crop damage. 8. No Arbitration Clause. The City reserves the right to exercise any right or remedy available to it by law, contract, equity, or otherwise, including without limitation, the right to seek any and all forms of relief in a court of competent jurisdiction. Further, the City shall not be subject to any arbitration process prior to exercising its unrestricted right to seek juridical remedy. The remedies set forth herein arc cumulative and not exclusive, and may be exercised concurrently. To the extent of any conflict between this provision and another provision in, or related to, this document, this provision shall control. 9. Notice. All notices to be given under this agreement shall be given by certified mail or registered mail, addressed to the proper party, at the following addresses: LESSOR: LESSEE: City of Lubbock Blake Petree Attn: Right -of -Way Agent 9321 E CR 7120 P.O. Box 2000 Staten, Texas 79364 Lubbock, Texas 79457 10. 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. II. Insurance. 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. 12. Lessee Warranties. Lessee warrants that it is in compliance and will remain in compliance wish the following State law during the term of the Lease: (a) The Lessee warrants that it complies with Chapter 2270, Subtitle F, Title 10 of the Texas Government Code by verifying that: 1. The Lessee does not boycott Israel; and 2. The Lessee will not boycott Israel during the term of the Lease. (b) Texas Senate Bill 252 prohibits the Lessor from entering into a contract with a Lessee that is identified by The Comptroller as a company known to have contracts with or provide supplies or service with Iran, Sudan or a foreign terrorist organization. LESSEE: LESSOR: By: By: . 1-1�mnA B a e Petree - - DANIEL M. POPE, MAYOR 9321 E CR 7120 Slaton,'rexas 79364 ATTEST: 41111P.11-11 'ity §ecre try APPROVED AS TO CONTENT: Wood Fran clij� .E., Division Director of Public Works / elen Gomez,'Right-of-Wa L APPROVED AS TO FORM: Rya 6Bre, Assistant City Attomey Cash Farm Lease Agrint-Blake Peirce 6.3.20 EXuHpIBIT Proposed Farm Lease in SE 1/4 of Section 12, Block B 0 2 3 4 Miles