HomeMy WebLinkAboutResolution - 6087 - Lease Agreement - WPHL Inc & SPPHC Ltd - LMC, Profesional Ice Hockey - 11/12/1998Pemlutian Nb. 6087
Itan No. 54
ftaber 12, 1998
RESOLUTION
WHEREAS, the City Council of the City of Lubbock deems it to be in the best
interest of the citizens of the City of Lubbock to establish an economic development
program pursuant to Chapter 380 of the Local Government Code to bring professional ice
hockey to the Lubbock Municipal Coliseum; and
WHEREAS, the Western Professional Ice Hockey League has agreed to bring a
professional ice hockey team to Lubbock for an initial five-year period; and
WHEREAS, said professional ice hockey program will promote local economic
development and stimulate business and commercial activity in Lubbock; NOW
THEREFORE:
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
SECTION 1. THAT the City Council of the City of Lubbock hereby establishes
an economic development program of the City of Lubbock pursuant to Chapter 380 of the
Local Government Code for professional ice hockey to be played at the Lubbock
Municipal Coliseum in order to promote local economic development and stimulate
business and commercial activity in Lubbock.
SECTION 2. 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 Lease
Agreement with the Western Professional Hockey League, Inc., a Texas corporation, and
South Plains Professional Hockey Club, Ltd., for the lease of the Lubbock Municipal
Coliseum for professional ice hockey, which Lease Agreement is attached hereto and
which shall constitute and be a part of this Resolution as if fully copied herein in detail.
Passed by the City Council this 12th day of kwe w , 1998.
kDY01 , MAYO
-A EST:
kat Darnell, City Secretary
APPROVED AS TO CONTENT:
J
Tommy GoAalez, NfAnagiQg Director
of Civic Services
APPROVED AS TO
Odfiald G. Vandiver, First
City Attorney
DGV:ccdocs/Hockey.res.doc
November 2, 1998
Resolution No. 6087
Item No. 54
November 12, 1998
LEASE AGREEMENT
LUBBOCK MUNICIPAL COLISEUM
THE STATE OF TEXAS §
COUNTY OF LUBBOCK
This Agreement is made and entered into this 12th day of November , 199B_,
in the City of Lubbock, Lubbock County, Texas, by and between the City of Lubbock, a
municipal corporation of the State of Texas, (hereinafter called "CITY") acting by and through
its Mayor and other designated representatives, South Plains Professional Hockey Club, Ltd., a
Texas limited partnership, 320 South Polk Street, Suite 320, Amarillo, Texas 79101 (hereinafter
called "LESSEE"), and the Western Professional Hockey League, a Texas Corporation having its
principal office at 14040 North Cave Creek Road, Suite 100, Phoenix, Arizona 85022
(hereinafter called "LEAGUE").
Whereas, it is a public purpose of the CITY to operate the Coliseum and to have regularly
scheduled events therein for the public; and
Whereas, the LESSEE and LEAGUE desire the use of the Coliseum to conduct
professional ice hockey games, practices, recreational ice programs, camps and other related ice
events at the Coliseum, which events will provide an economic development benefit to the CITY
by bringing sports visitors to Lubbock and the surrounding area; and
Whereas, the CITY believes that a professional ice hockey team will promote state and
local economic development and will stimulate business and commercial activity in the
municipality as part of an economic development program established pursuant to Chapter 380
of the Local Government Code; and
Whereas, the LESSEE and LEAGUE are willing and able to make a sufficient financial
investment to modify the Coliseum to accommodate professional ice hockey, recreational ice
programs, camps and other related ice events; and
Whereas, the LESSEE and LEAGUE will commit to the use of the Coliseum for a
minimum of thirty-five (35) hockey games each season for five (5) years and CITY desires to
create an economic development program for professional ice hockey:
NOW THEREFORE THE PARTIES HERETO AGREE AS FOLLOWS:
1) PREMISE. That upon the terms and conditions herein expressed and in consideration
of the covenants and agreements herein expressed and of the faithful performance by the
LESSEE of all such covenants and agreements, the CITY does hereby grant unto the LESSEE
the right to use and occupy the CITY of Lubbock, Texas Municipal Coliseum (hereinafter called
the "Coliseum""), for the purpose of professional ice hockey games, practices, recreational ice
programs, camps and other related ice events and for no other purpose without the written
consent of the CITY. "Coliseum" shall be deemed to include use of associated available dressing
rooms. Storage areas will be available to LESSEE on an "as available basis" as determined by
the Civic Centers Manager. This is a non-exclusive agreement and is subject to the Operational
Policies hereto attached as Exhibit A. The CITY reserves the right to schedule other ice -related
events during the hockey season, however the LESSEE will have the exclusive right to present a
professional hockey season in the Coliseum.
2. TERM.
a. The term of this Agreement shall be for a period beginning September 1, 1999
and ending April 30, 2004, which shall be hereafter referred to as the "PRIMARY TERM".
LESSEE shall have the use of the Coliseum for professional ice hockey games and practices
during the term of this Agreement beginning September 1, and ending March 30, of each year,
which time period shall be hereafter referred to as the "SEASON," and, if necessary for playoffs,
an extended time period beginning March 30, and ending April 30, of each year, hereafter
referred to as "POST SEASON." LESSEE'S use of the Coliseum for professional ice hockey
games and practices during a SEASON or POST SEASON shall be subordinate to any pre-
existing Agreement of the Coliseum for any time period during a SEASON or POST SEASON.
CITY shall make every reasonable effort to guarantee a minimum of thirty-five (35) game dates
during a SEASON, the specific dates being subject to availability of the Coliseum as noted
above.
b. If the LESSEE fails or suffers the loss of its franchise or changes its location
before the end of the five-year primary term, then the LEAGUE shall assume the LESSEE's total
responsibilities under this Agreement and shall pay the rentals for all remaining games during the
primary term of this Agreement, regardless of whether such games are actually played, but
LEAGUE may, with the CITY's written consent, have the option of substituting another
LESSEE as franchise holder, so long as the new LESSEE assumes all contractual liability of the
original LESSEE by written agreement with the CITY. The CITY is secured in this performance
by its right to retain and become the exclusive owner of the ice rink, all associated equipment,
the refrigeration equipment and any other equipment used for the ice rink in the event of default.
3. OPTION TO RENEW. If no event of default on the part of LESSEE exists
hereunder and if the CITY determines that the Coliseum will remain operational, LESSEE shall
have the option to renew and extend the term of this Agreement for an additional five (5) seasons
beginning September 1, 2004, and ending April 30, 2009, under the established terms and
conditions of this Lease Agreement in effect at the time of the exercise of such options, except as
provided below. Said option shall be exercised by LESSEE by way of written notice to CITY
not less than six (6) months prior to September 1, 2004, and each year thereafter of its intent to
renew and extend for an additional period. It is specifically understood and agreed to by the
parties that LESSEE'S option to renew the Lease Agreement by CITY also shall be contingent
upon the re -negotiation and agreement by the parties upon the terms of Sections 6 (Rent), 21
(Ticketing), 28 (Novelties), and 35 (Indemnity and Insurance) hereof. In the event the parties are
unable to agree upon the re -negotiation of said Paragraphs then LESSEE'S option to renew shall
be null and void and of no effect and this Lease Agreement shall terminate on April 30, 2004.
4. CONDITIONS PRECEDENT. All of the LESSEE'S rights under this agreement
(including but not limited to the construction of the improvements described in Section 5 below)
are conditioned upon and subject to the LESSEE satisfying the following:
a. Plans and Specifications for Construction of Ice Arena and other improvements
by LESSEE at the Lubbock Municipal Coliseum. The Lessee shall, as soon as possible, but in no
event later than January 1, 1999, provide the plans and specifications for construction of the ice
arena and other improvements (listed in Section 5 below) at the Coliseum and obtain written
approval of the Civic Centers Manager and the CITY's Facility Manager (in charge of
construction in CITY facilities). Said plans and specifications shall be in sufficient detail, format
and quality so as to be acceptable to those persons referred to in this paragraph and to comply
with the Building, Electrical, Mechanical, Plumbing and Health Codes of the CITY of Lubbock
and the laws and codes of the State of Texas.
b. Equipment Owned by LESSEE at End of Agreement. The LESSEE shall provide,
as soon as possible but in no event later than the first WPHL hockey game to be played in the
Coliseum, a list of equipment to be used for hockey events, paid for and owned by the LESSEE.
The list shall become an Exhibit B to this Agreement and is incorporated by this reference.
C. Construction Contract. The LESSEE shall provide to the CITY a copy of the
construction contract for the improvements referenced in Section 5, which contract shall be
satisfactory to the CITY. The construction contract shall be in a form acceptable to the CITY
and shall meet the requirements set forth in Section 5 and shall name the CITY as a third party
beneficiary on the contract, including any section authorizing payment of liquidated damages for
a breach of the contract.
d. Construction Bond. The LESSEE shall provide a construction bond for the
improvements referenced in Section 5, in a form and in an amount satisfactory to the CITY.
5. FACILITY IMPROVEMENTS. Upon the execution of this Agreement, CITY will
provide LESSEE access to the Coliseum, for a mutually agreed upon time frame, for the sole
purpose of permitting LESSEE to make the following improvements to the Coliseum at the
LESSEE's sole cost and expense:
a. LESSEE agrees and covenants to remove the existing Coliseum concrete floor in
preparation for the permanent ice floor and design, build, permanently construct, complete, fully
equip, and furnish, pursuant to approval of plans and specifications as outlined in 4(a) above, a
permanent indoor ice arena as agreed upon, which shall include, but not be limited to, an ice
floor, associated refrigeration equipment, piping and controls, hockey dasherboards and glass
with appropriate number of carts, ice resurfacing machine, edger, ice covering material, and any
other requirements or modifications required to present hockey in the facility.
b. LESSEE will provide, at its sole cost and expense, appropriate ice floor coverings
with carts that will make the Coliseum floor presentable and usable for the presentation of non -
hockey related events.
C. LESSEE will provide, at its sole cost and expense, necessary electrical power
system and controls along with the demolition and proper removal and disposal of the existing
Coliseum concrete floor and any asbestos materials or products.
d. If required, LESSEE will provide, at its sole cost and expense, for the relocation
of existing electrical wiring and telephone lines to an acceptable location as agreed upon by the
CITY and the LESSEE.
e. LESSEE agrees that the refrigeration equipment installed by LESSEE or
LESSEE'S contractor will be located outside the Coliseum in a location mutually agreed to by
the LESSEE and the CITY.
f. LESSEE agrees to provide, at its sole cost and expense, the installation of a
separate and isolated electric meter, water and drainage to meet additional loads. LESSEE shall
pay for separately metered electricity required and utilized for the refrigeration equipment.
Exception: Should the Coliseum schedule another ice event i.e. Disney on Ice, that is not
sponsored or co-sponsored by LESSEE, the Coliseum will reimburse LESSEE for the actual cost
of electricity used on the separate meter for the refrigeration equipment.
g. LESSEE agrees to provide, at its sole cost and expense, all equipment necessary
for the proper maintenance of the ice floor, to include, but not be limited to, a new ice resurfacing
machine. LESSEE will provide for back up equipment.
h. LESSEE agrees to provide, at its sole cost and expense, paint tank, pump, hoses,
paint, decals/logos, and stencils for painting of the ice floor by LESSEE.
i. In the event the use of the refrigeration equipment and maintenance of the ice rink
requires the installation of de -humidification or other special equipment in order to maintain the
Coliseum in a safe and,dry manner, LESSEE agrees to pay the cost of such equipment.
j. LESSEE agrees to provide, at its sole cost and expense, any building renovations
required for:
1) Storage of hockey related equipment;
2) Home or visiting team dressing rooms;
3) Lighting renovations or upgrades to lighting required for the presentation
of hockey; and
4) Scoreboard renovations required for the presentation of hockey.
k. LESSEE may, at its option, convert space inside the Coliseum for use as
designated office space by LESSEE. This conversion would be at the sole cost and expense of
LESSEE and in a location designated and approved by the Civic Centers Manager. Any
conversion of space for office space would require LESSEE to install a separate HVAC system at
LESSEE's sole cost and expense. Should LESSEE elect to convert space for office space,
LESSEE shall pay to the City an amount of $500 per month for the use of the space, which
amount shall be rebated and credited against LESSEE's documented expenses for LESSEE's
initial facility improvements as described in Section 5 of this Agreement.
1. Upon completion of construction, LESSEE, at its sole cost and expense, shall
remove any temporary construction facilities and debris and leave the entire area in a clean
condition satisfactory to the CITY. LESSEE, at its sole expense, shall dispose of all debris in a
lawful manner.
in. CITY agrees that LESSEE may mortgage or finance the items listed on Exhibit B.
n. All of the permanently installed improvements shall become the property of the
CITY upon installation, inspection and acceptance by the Civic Centers Manager and the CITY's
Facility Manager free and clear of all encumbrances. These shall include, but not be limited to,
Item 1, the complete ice floor, Item 3, any dressing room modifications, Item 6, any storage
modifications, and Item 7, any office space modifications. Lessee shall execute all necessary
documentation to effect the transfer of such property to the City before the LESSEE begins to
use the facility for ice hockey. Individual owners will sign personal guarantees in proportion of
their share of ownership to the CITY personally guaranteeing payment of any debt on these items
prior to the transfer to the CITY.
o. Due to financing requirements, Items 2, 4, 5, 8, 9 and 10 on Exhibit B shall not be
required to be signed over to the CITY free of all liens and encumbrances until termination of
this Agreement or at such time as LESSEE has received ticket rebate revenues equaling the
amount of LESSEE's actual documented initial investment in the permanent improvements plus
LESSEE's documented initial investment on each of the said items in any order selected by the
CITY, whichever comes first.
P. Maintenance of any of the equipment during the term of this Agreement shall be
the responsibility of the LESSEE, until the ownership of the equipment is turned over to the
CITY, when all maintenance and service to the equipment becomes the responsibility of the
CITY. LESSEE will provide all replacement parts and/or all maintenance to all dasher panels
and tempered glass that becomes damaged during the time Coliseum is utilized by events
sponsored/co-sponsored by LESSEE. The Coliseum shall furnish manpower for maintenance of
the ice floor, conditioned upon the LESSEE providing adequate training for at least three (3)
CITY maintenance personnel.
q. All precautions shall be taken in making the improvements to insure the structural
integrity of the Coliseum to the satisfaction of the CITY's Facility Manager. Any damage to the
Coliseum or any portion of the premises or any equipment owned by the CITY caused by
LESSEE or LESSEE'S contractors shall be repaired promptly by LESSEE. All piping, conduit,
refrigeration equipment and other improvements shall be installed in manner to minimize
conflicts with other uses of the Coliseum
r. LESSEE shall be responsible to ensure and guarantee the effectiveness of all
warranties, warranty commitments and warranty work applicable to and required to be performed
on LESSEE installed improvements and equipment.
S. LESSEE agrees to utilize only experienced qualified and reputable contractors,
suppliers, and vendors for the performance of the above-described work and shall utilize local
contractors, vendors and suppliers when available.
t. CITY shall have the exclusive right to review and approve or disapprove all
LESSEE sponsored proposals, plans, specifications, and arrangements for facility and associated
equipment improvements. Written approval of the Civic Centers Manager shall be required prior
to authorization for LESSEE to proceed with improvement work and the purchase and
installation of associated equipment. CITY will be furnished free of charge with a complete set
of contract plans and specifications.
U. LESSEE agrees to fund and reimburse the CITY for any costs to employ and
utilize professional ice arena/facility consultants and other professional consultants such as
registered professional engineers and architects to advise the CITY in evaluating LESSEE's
improvement proposals, plans and specifications and provide required on-site inspection and
oversight of LESSEE funded facility and associated equipment improvements.
V. LESSEE hereby agrees and acknowledges that all improvements are to be
completed during the mutually agreed time frame which is to end no later than September 1,
1999. In the event LESSEE is unable to complete the improvements within the established
period, LESSEE hereby agrees to defend, indemnify and hold CITY harmless from any and all
claims relating to LESSEE's failure to complete said improvements within the required time
period, including, but not limited to, claims which may be asserted against CITY for its failure to
make the Coliseum available pursuant to any pre-existing lease agreements with third parties.
LESSEE further agrees to reimburse CITY for any lost revenues suffered by CITY as a result of
LESSEE's failure to complete the improvements to the Coliseum within the required period.
W. Pursuant to Chapter 2253 of the Texas Government Code, LESSEE shall deliver
to CITY a Performance Bond and a Payment Bond in the amount of the contract as bid for
improvements to the Coliseum prior to the CITY's issuance of authorization to proceed. Said
bonds are required in order to guarantee the installation of the improvements and equipment
listed above within the period of time provided and to guarantee payment to those supplying
labor, materials and equipment to the improvements. Upon completion of the improvements to
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the satisfaction of the Civic Centers Manager, and upon receipt of evidence of payment to all
those supplying labor, materials and equipment to the improvements the CITY agrees to release
the bonds to LESSEE.
X. The Performance and Payment Bonds shall be executed by a solvent corporate
surety or corporate sureties duly authorized to do business in the State of Texas and acceptable to
the CITY. If the surety upon any bond furnished in connection herewith becomes insolvent, or
otherwise not authorized to do business in the State, LESSEE shall promptly furnish equivalent
security to protect the interests of the CITY and of persons supplying labor, materials and
equipment in the prosecution of the work contemplated by this Agreement. Failure to furnish the
Performance and Payment Bonds will result in the termination of this Agreement. .
y. The improvements contemplated by this Agreement shall be undertaken by
LESSEE, at LESSEE's sole risk, and expense, and LESSEE shall, defend, indemnify and hold
CITY harmless from any and all claims relating to the installation and construction of such
improvements, including, but not limited to, those that may be asserted against LESSEE, CITY,
the Coliseum, or the above-described improvements, and also including without limitation, all
lien rights or claims created or permitted by LESSEE, its employees, agents or contractors, in
exercising LESSEE's access and possessory rights as set forth in this Agreement relating to the
installation and construction of such improvements.
Z. LESSEE shall furnish to CITY written evidence of public liability insurance
coverage in amounts, coverages and companies satisfactory to CITY, and naming CITY as an
additional insured, with the right to 30 days' prior written notice of cancellation, protecting
CITY, its agents and employees, from and against personal injury and property damage as the
result of the installation and construction of improvements on the Coliseum as provided in this
Agreement.
aa. During the term of this Agreement, LESSEE shall not do or permit anything to be
done upon the Coliseum which in any way shall violate any federal, state or municipal law,
ordinance or regulation including but not limited to laws, ordinances or regulations concerned
with labor, equal opportunity, safety and minimum wages or which may create a nuisance, or
injure the reputation of the Coliseum, nor shall LESSEE commit waste on the Coliseum and
surrounding premises. .
bb. The parties agree that if the improvements to the PREMISES that are being made
by LESSEE are not completed by the time of the first scheduled hockey game of the 1999-2000
season no allowance to LESSEE for rent or damage shall be made by reason of the PREMISES
not being ready for occupancy on such date and LESSEE shall pay the rental fee for any
scheduled games not played in the PREMISES.
6. RENT.
a. LESSEE hereby covenants and agrees to pay to CITY, without demand at its
office in the Civic Center, for the use of said Coliseum, the sum of $3,000 per game for all
hockey games (including exhibition games, regular season games, and play-off games).
However, all of such rent shall be credited to LESSEE during the initial term of this Agreement
until such time as one hundred percent (100%) of LESSEE's documented expenses for
LESSEE's initial facility improvements as described in this Agreement in Section 5 have been
recovered. LESSEE further covenants and agrees to pay to CITY on demand any and all sums
which may be due to CITY for additional services. LESSEE understands and agrees LESSOR
has the right and privilege to alter rates for services, per its discretion and established policy.
LESSEE agrees that the Civic Centers Manager, in case of failure to pay any additional sum due
to CITY, may deduct from the box office receipts belonging to LESSEE, a sufficient amount to
pay said additional sums to CITY.
b. LESSEE may operate a youth or amateur ice hockey program, skating school,
public skating or practice for other Western Professional Hockey League teams. Rent for use of
the facility will be charged at $50 per hour, or any portion thereof, for these activities. Days and
times shall be agreed upon between the LESSEE and the Civic Centers Manager and shall be
subject to building availability.
C. Practices will be subject to building availability. On non -game days, LESSEE
will be given full access to the Coliseum at an additional utility charge of $50 per hour for itself
and for practice purposes for other WPHL teams. If, however, the practice occurs on a day on
which a WPHL game will be played, the utility charge of $50 per hour shall not be required.
d. LESSEE may wish to present and promote other events, including but not limited
to, ice related touring events, other than ice hockey, public skating, or amateur/youth hockey
events or concerts. Use of the Coliseum will be subject to availability and will be subject to the
established rental rates and ticketing fees charged to other promoters and that are in effect at the
time the event is scheduled. The standard facility contracts will be executed in these instances.
The CITY reserves the right to schedule, promote, or produce other professional ice events such
as "Disney on Ice", "Ice Capades", or other skating on ice shows.
e. LESSEE may use the Auditorium Stage for VIP receptions on an "as available"
basis at no charge. Should the Coliseum have the opportunity to lease the Auditorium for
another event, that event shall take precedence and the Auditorium stage would not available for
LESSEE'S use.
f. LESSEE may obtain office space, if available, at the Coliseum at the rental rate of
$500 per month,
g. Rent and all other sums due to the CITY shall be paid no later than the 5`'
business day following the use of the Coliseum by LESSEE.
7. GAME REQUIREMENTS.
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a. LESSEE shall file with the Civic Centers Manager's office at least one hundred
twenty (120) days prior to the beginning of each SEASON, a full and detailed outline of all dates
the facilities will be requested, and such other information as may be required by the Civic
Centers Manager concerning LESSEE's activities. LESSEE will work with all parties in a
cooperative manner in scheduling dates. LESSEE will make every effort to file date requests
with the Civic Centers Manager as early as possible so that the CITY can maximize its utilization
of the Coliseum for other events.
b. LESSEE acknowledges that there are certain annual events which will continue to
take place in the Coliseum and shall have priority scheduling. The CITY reserves the right to
rent the Coliseum for these events during the term of this agreement provided such Lessees
reserve their dates at least one (1) year in advance. The CITY reserves the right to bump
practices, other than game day practices, should a major event be scheduled. The CITY will
define what constitutes a major event.
8. SCHEDULE DATE. A minimum of thirty-five (35) home games shall be
scheduled between October 1 and March 15 during each SEASON this Agreement is in force or
during any extension thereof. Existing holds for events scheduled prior to the date of this
Agreement or an extension thereof will not be released by the Coliseum. Pre -season game dates
shall be scheduled after September 1 each season and post season playoff dates for each year, as
appropriate, will be held between March 15 and April 30. The Coliseum shall tentatively reserve
available playoff game dates pending notification of non -necessity. LESSEE agrees to advise as
soon as practicable each year if these reserved playoff game dates are unnecessary. LESSEE
may not use the ice floor for any other purpose than the presentation of professional hockey
games and practices unless written permission is given by the Civic Centers Manager.
9. PRACTICE SCHEDULE.
a. The PREMISES will be made available to LESSEE not later than 2:00 p.m. on
each non -game day for practice and will be made available earlier if practicable.
b. Any additional practice days shall be in accordance with the following guidelines:
1) Due to the extremely heavy event schedule, practice time other than on
day of game will be limited. Availability shall be determined by the Civic Centers
Manager who shall consider the impact on the Coliseum schedule as it relates to meeting
program schedules in a cost effective manner and minimizing operational problems and
adverse relationships with other Coliseum users.
2) All requests for available practice sessions for a home or visiting team at
the Coliseum shall be submitted to the Civic Centers Manager or his/her authorized
representative for review and written approval at least 7 days in advance, Monday
through Friday - 8:00 a.m. to 5:00 p.m. NO UNAUTHORIZED PRACTICES WILL BE
PERMITTED.
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C. The Coliseum shall provide (in addition to the standard ice hockey set-up) heat,
water and light reasonably necessary during practices. LESSEE shall provide personnel who may
be needed to handle LESSEE's athletic equipment, Zamboni, ice edger and ice paint operations.
d. No additional charge shall be made for practice time other than as outlined in
Paragraph 6(c) above.
e. If the Coliseum is required to make an ice hockey set-up for any special practice
when the set-up would not ordinarily have been in place, an additional charge of the actual costs
to change from non -ice to ice and back to non -ice will be made.
10. SPECIAL PROGRAMS. Subject to prior written approval of the Civic
Centers Manager for each special program, LESSEE shall have the right to engage in special
programs, if in its judgment, such efforts will be mutually beneficial and may significantly
increase gross ticket sales, total attendance, or be advantageous from an advertising, goodwill,
and publicity point of view. Written notification as to the details of such special programs shall
be submitted to the Civic Centers Manager at least ten (10) days prior to the promotion. Any and
all costs associated with presenting the programs shall be at the LESSEE's expense.
11. GAME DAY ACTIVITIES. To assure proper sequencing of activities on game
days, LESSEE shall present a game day schedule forty eight (48) hours in advance of the game
starting time to assist in providing optimum operational services required wider this Agreement.
LESSEE shall have access to the ice floor from 9:00 a.m. to Midnight on game days for practice
and the game.
12. QUIET ENJOYMENT.
a. CITY shall permit LESSEE to peaceably and quietly have and
enjoy the use of the Coliseum hereinabove specifically described for the purpose and for the
term aforesaid, including corridors necessary to accommodate patrons, and restroom
conveniences customarily open to the general public. LESSEE understands and agrees that other
ice programs may take place on the PREMISES.
b. Neither the halls nor ramps of the building or surrounding premises, nor the
sidewalks, entrances or lobby thereof shall be obstructed by LESSEE nor used for any other
purposes than ingress or egress, and LESSEE will not permit any chairs, movable seats or other
obstructions to be or remain in the passageways, and will keep such passageways clear at all
times.
13. CONTROL OF PREMISES. CITY, through its Civic Centers Manager, police
officers, fire fighters, and other designated representatives, shall have the right at any time to
enter any portion of the Coliseum for any purpose whatsoever and the entire building, including
the Coliseum expressly covered by this Agreement, shall at all times be under the charge and
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control of the Civic Centers Manager.
14. ASSIGNMENT. LESSEE shall have the right to transfer and assign this
Agreement to a purchaser of LESSEE's hockey club upon condition that said purchaser shall
agree in writing to be bound by all of the provisions of this Agreement just as though said
purchaser had been the original Lessee. Upon assignment of this Agreement, LESSEE shall give
written notice to the WPHL and the CITY of such assignment and shall provide copies of such
assignment, including the purchaser's agreement to be bound by the terms of this Agreement to
WPHL and the CITY. For the purposes of this Agreement, assignment shall mean assumption of
the assets of LESSEE by any person, association or entity by any means.
15. DELAY IN DELIVERY OF POSSESSION. If CITY is unable to deliver
possession of the Coliseum by the date specified for the commencement of any PRE SEASON,
SEASON, POST SEASON or any option period as a result of causes beyond CITY's reasonable
control, CITY shall not be liable for any damage caused for failing to deliver possession, and this
Agreement shall not be void or voidable. The term of this Agreement shall not be extended by
any such delay.
16. FAILURE TO TAKE POSSESSION. If the LESSEE, being entitled to
possession hereunder, shall fail for any reason to take possession of or use the Coliseum, without
the prior written consent of CITY, no rent refund shall be made and any payment made to CITY
shall be taken by CITY as liquidated damages; and the full rent called for by this Agreement,
including any disbursements or expenses incurred by CITY in connection herewith, shall be
payable by the LESSEE to the CITY.
17. LOCKS: KEYS. No additional locks or bolts of any kind shall be placed on any
of the doors or windows by LESSEE. LESSEE shall, on the termination of LESSEE'S tenancy,
deliver to CITY all keys to any space within the Coliseum, either furnished to or otherwise
procured by LESSEE, and in the event of the loss of any keys furnished, LESSEE shall pay to
CITY the cost of the keys.
18. OPENING HOURS. LESSEE must open the doors for activities and games as
scheduled. unless otherwise agreed upon as necessity indicates. One hour prior to Professional
Hockey Game time shall serve as a minimum for opening doors.
19. CONDUCT OF PLAYERS. Conduct of players should not be such as to
deliberately incite or entice patrons to leave their seats, or tend to create hazardous,
uncontrollable crowd situations.
20. EQUIPMENT ENTRANCE. All articles, equipment, fixtures, materials, etc., of
LESSEE shall be brought into or out of the building and surrounding premises only at such
entrances as may be designated by the Civic Centers Manager.
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21. TICKETING..
a. LESSEE agrees to utilize the CITY's ticketing service (Select -a -Seat) in
connection with the sale of tickets to all events sponsored, co-sponsored or produced by the
LESSEE. Terms of such use will be outlined in a separate box office agreement, which will be
executed prior to the beginning of each season.
b. LESSEE shall be responsible for and pay all state sales tax on tickets used in
connection with its games. Sales tax on all tickets sold through the Select -a -Seat box office or its
outlets will be submitted to the state by Select -a -Seat. LESSEE will be responsible for payment
of all sales tax on tickets sold by LESSEE through their office as they become due and in
accordance with the required filing by the State Comptroller's office. Failure to pay such taxes
shall automatically cancel this Agreement without resort to the default and notice requirements in
Section 40 of this Agreement.
C. A service charge of $1.00 will be added to the price of each ticket sold over the
counter through the Select -a -Seat ticketing service, its outlets and any and all season tickets and
group sales tickets sold through LESSEE's office.
1) The amount of $ .75 per ticket sold (single sales, season and/or group
sales), less taxes will be retained by the CITY up to an amount of the first $120,000 per
season for the initial term of this Agreement.
2) The amount of $.25 per ticket sold (single sales, season and/or group
sales), less taxes, will be rebated to LESSEE for the initial term of this Agreement.
3) The $120,000 per season is based on the maximum number of games
played in a hockey season (40 games).
4) Any handling fees or commissions collected by Select -a -Seat for non -
hockey events presented, promoted or produced by LESSEE will not be included in the
equation for the rebate calculation.
d. In addition, LESSEE shall pay to Select -a -Seat a ticket commission of four percent
(4%) of the net ticket sales sold by Select -a -Seat through its box office or its outlets. Season and
group sales sold and handled by LESSEE through its office shall be excluded from the four
percent (4%) ticket fee. A printing fee of $.10 per ticket for each complimentary ticket issued by
Select -a -Seat as approved by LESSEE and/or dead wood on pre -pulls printed by Select -a -Seat
shall be paid to CITY by LESSEE.
e. Ticket prices will be set by the LESSEE at the beginning of each hockey season and
may be changed annually prior to the start of each hockey season. Ticket prices may also be
changed during a season for special promotional events and/or to accommodate special group
events. Written notification of ticket prices shall be given to Coliseum management prior to
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ticket going on sale.
f. LESSEE will handle their season and group sales through their office as follows:
1) LESSEE will lease one terminal and one BOCA ticket printer with cutter
from Select -a -Seat at a cost of $125 per month. The $125 per month includes
maintenance on the equipment.
2) A charge of $3.00 per season account will be assessed by Select -a -Seat for
space on the Select -a -Seat system.
3) If requested, Select -a -Seat will print labels or reports at $50 per hour.
4) There will be an annual fee of $500 paid by LESSEE to Select -a -Seat for
building the season on the system.
5) LESSEE will provide the required modem and phone lines to access the
system for season and group sales.
6) LESSEE will provide their own thermal ticket stock, as approved by
Select -a -Seat, to be used with the BOCA printer.
7) LESSEE is authorized to sell advertising on the back of the ticket stock
that they purchase for season and group sales sold from their office.
g. CITY reserves the right to sell advertising on ticket envelopes and tickets printed
by Select -a -Seat. Revenue derived from the sale of this advertising is the sole property of the
CITY.
22. SEATING. Seating capacity for ice hockey in the Coliseum is established at
7,209 seats. No additional seating may be added without prior approval of the Civic Centers
Manager. LESSEE shall not sell or distribute or permit to be sold or distributed tickets or passes
in excess of seating capacity of the Coliseum
23. SMOKING NOTICE. In accordance with Laws governing smoking in public
places, LESSEE shall take reasonable and prudent care that its patrons, players, and other
employees are informed of the NO SMOKING rule. Smoking in any interior portion of the
Coliseum including seating areas and public restrooms will not be permitted. LESSEE's Public
Address Announcer will make periodic and appropriate Public Address Announcements and
LESSEE's security personnel and ushers shall be responsible for monitoring these areas.
24. TELEVISION/R.ADIO. All broadcast rights for the LESSEE's ice hockey games
are granted to LESSEE. Any costs associated with the production of such broadcasts shall be
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paid by the LESSEE.
25. GAME DAY SET-UP. The CITY will provide at no cost to the LESSEE the
standard ice hockey set-up in the Coliseum as determined by the Civic Centers Manager.
26. INTERRUPTION OR TERMINATION OF GAME. CITY shall retain the right
to cause the interruption of any game in the interest of public safety, and to likewise cause the
termination of such performance when in the sole judgment of CITY, exercised in good faith,
such act is necessary in the interest of public safety.
27. SCOREBOARD. LESSEE understands and agrees that the Coliseum only
contains a basketball scoreboard and does not have a specific scoreboard for the purpose of ice
hockey. It shall be the sole responsibility of the LESSEE to retrofit the existing scoreboard for
hockey or provide an ice hockey specific scoreboard, if necessary, at its own cost. Any person(s)
who operates the scoreboard and game timekeeping equipment shall be provided by the
LESSEE. If LESSEE provides a new ice hockey specific scoreboard(s), any advertising
appearing on the scoreboard shall be consistent with existing CITY advertising policies and
receive prior approval of the Civic Centers Manager. Revenue generated by signage on a new
ice hockey specific scoreboard(s) shall be subject to the terms outlined in a separate Advertising
Agreement between the CITY of Lubbock and the LESSEE. .
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28. NOVELTIES. Commissions and income from novelty and souvenir items sold or
offered for sale by LESSEE on Coliseum property may be retained by the LESSEE. LESSEE
will be responsible for payment of all federal, state, and local sales taxes. LESSEE shall be
responsible for all labor costs involved with sale of novelty and souvenir items. The Coliseum
will provide novelty area(s) for team sales at no cost to LESSEE and at locations determined by
the Coliseum management.
29. DRESSING ROOMS. LESSEE agrees that dressing rooms at the Coliseum are
not designed for ice hockey teams. LESSEE may, with the approval of the Civic Centers
Manager, alter the dressing rooms for a hockey SEASON at LESSEE's sole expense. Due to
extensive scheduled usage of the Coliseum, LESSEE understands CITY cannot provide
exclusive use of any dressing room throughout each SEASON for the home team to keep its
equipment and gear. There shall be no charge for use of the dressing room space. For liability
and security reasons and with the exception of scheduled practices or games, admittance to the
Coliseum will not be permitted without advance prior notification to and subsequent approval by
the Civic Centers Manager.
30. PHYSICAL ALTERATION/SIGNAGE.
a. LESSEE will not cause or permit any nails or other fasteners to be driven into or
affixed to any portion of the building, nor any signs to be affixed either to the exterior thereof,
nor cause or permit any changes, alterations, repairs, painting or staining of any part of the
building or the furnishings or equipment thereof, nor permit to be done anything which will
damage or change the finish or appearance of the building or the furnishings thereof. LESSEE
shall pay the cost of repairing any and all injury and damage which may be done to the building
or any of the fixtures, furniture or furnishings thereof by any act of LESSEE or any of LESSEE's
employees or agents or anyone visiting the building upon the invitation of LESSEE including the
patrons of the ice hockey games for which LESSEE is hereby renting the Coliseum. It is
expressly agreed that the Civic Centers Manager shall determine whether any such damage has
been done, the amount thereof and the reasonable cost of repairing the same, and whether it is
one for which, under the terms of this Agreement, LESSEE is to be held responsible. The
decision of the Civic Centers Manager shall be final.
b. If in connection with the purpose or use for which LESSEE is renting the
Coliseum any of the permanent seats, any portion of the stage or floor or any other furniture is
moved or removed, LESSEE agrees to pay the cost of replacing the same or putting it back in the
same condition and place as it was before such removal.
C. Except as provided in (d) below, LESSEE will not post or exhibit, nor allow to
be posted or exhibited signs, advertisements, show bills, lithographs, posters or cards of any
description, inside or in front, or on any part of the building, except upon the regular billboards
provided by the CITY for that purpose. Any exceptions to the foregoing requirement shall be in
writing from the Civic Centers Manager, and LESSEE shall take down and remove forthwith all
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signs, advertisements, show bills, lithographs, posters or cards of any description not in
compliance herewith.
d. LESSEE shall have the ability to sell advertising, programs, dasher board
signage, signage on the side of the ice resurfacing machine and other signage in the Coliseum as
outlined in a separate Advertising Agreement and subject to the terms contained therein.
31. CONCESSION SALES. CITY reserves unto itself or its assigned agents the sole
right to sell or dispense soft drinks, candies, food, alcoholic beverages and related concessions
commonly sold or dispensed in the Coliseum. All revenues associated with such sales shall
remain with the CITY or its assigned agents.
32. UTILITIES AND SERVICES.
a. CITY shall furnish, at CITY's expense, heat, water, lights and air conditioning
necessary for LESSEE's use during the term of this Agreement and all necessary custodial
service deemed necessary by the Civic Centers Manager, and cause the Coliseum to be kept
clean and generally cared for during the term of this Agreement, except that: CITY shall not be
responsible for or liable to LESSEE for any loss resulting from any lack of heat, water, lights or
air conditioning due to an act of God or the failure of equipment to operate or function properly
through no fault or act of CITY. All utilities will be furnished from present openings in the
Coliseum and no petroleum products, oil flashlights or any other artificial lighting or light plants
or electrical equipment shall be permitted.
b. CITY agrees to provide janitorial and maintenance services for the facility and
agrees to keep and maintain all areas in a reasonably good and tenantable condition and
appearance, and further agrees to keep said Premises in a reasonably neat, clean and respectable
condition by prompt removal of all trash, litter, debris and junk. That standard for janitorial and
maintenance services shall be on the same basis as performed by the City prior to this
Agreement.
C. CITY, however, shall not be responsible for maintenance and upkeep of the ice
arena, including the concrete, piping, the chiller, the ice surface, dasher boards, glass or other
equipment related to the playing of hockey games or ice skating. These are the responsibilities
of the LESSEE.
d. LESSEE shall pay Coliseum for all electrical charges for the separately metered
chiller that is required to retain the ice surface, through the term of this Agreement. Exception:
Should the Coliseum schedule another ice event i.e. Disney on Ice, that is not sponsored or co-
sponsored by LESSEE, the Coliseum will reimburse LESSEE for the actual cost of electricity
used on the separate meter for the refrigeration equipment.
e. Unless otherwise authorized by the Civic Centers Manager, all plumbing,
electricity or carpenter work to be done in the Coliseum in connection with the use authorized
16
herein and all electrical current or domestic gas required shall be done or furnished by CITY, or
its approved representative, for which LESSEE shall pay CITY on the basis of the rates set forth
in the schedule of rates on file in the office of the Civic Centers Manager.
f. LESSEE shall provide for its own telephone, cable or any similar service
including any connection fees that LESSEE may require for the presentation of hockey or any
other ice -related events that LESSEE presents.
g. CITY will place LESSEE'S events on the Civic Center marquee, located at 8`' and
Avenue Q in Lubbock, Texas, at no charge.
33. PARKING LOTS.
a. CITY reserves the right to maintain and operate the Coliseum parking lots located
within the area under the supervision and control of the Civic Centers Manager. LESSEE
acknowledges that the parking lots are shared with the Municipal Auditorium and Jones Stadium
(operated and owned by Texas Tech University) and events held in each of the facilities have
access to the lots. There is an existing agreement with the University which governs the use of
the lot and which remains in force as of the date of this Agreement.
b. LESSEE may reserve a VIP parking area on the Coliseum lot for its hockey
games, not to exceed 100 parking spaces, and charge and collect a parking fee for that area.
LESSEE will inform CITY of specific parking fees and CITY shall have the right of approval or
disapproval of the amount of such fees. All such parking fees shall be distributed as is hereafter
stated. LESSEE will be responsible for all costs and expenses associated with securing the VIP
parking area as well as conformity with all codes, ordinances and regulations. LESSEE will be
responsible to remitting any sales tax due on revenues collected.
C. The CITY and LESSEE agree that there will be a fee assessed for patron parking
on the Auditorium -Coliseum parking lot for hockey games and other events sponsored and%r
produced by LESSEE. The amount of such parking fees will be mutually agreed upon by the
CITY and LESSEE. Parking fees shall be collected by LESSEE. All sales tax associated with the
parking revenue shall be remitted to the State Comptroller by LESSEE in accordance with the
laws of the State of Texas. LESSEE shall have the obligation to hire and pay all parking lot
attendants and have sufficient supervisory personnel to insure safe and efficient operation of the
parking areas. LESSEE will pay to the CITY fifty percent (50%) of all parking revenues received
by LESSEE, less sales tax and documented operation expenses (labor and materials). Payment to
the CITY shall be made monthly. CITY shall have a right to audit said parking fees at any
reasonable time during regular business hours or when parking activities are being conducted by
LESSEE.
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34. PERSONNEL.
a. LESSEE shall arrange for and provide the following personnel for each game at
LESSEE's cost through the Civic Centers Manager and its contracted agencies:
1) Ticket takers, door guards, and ushers in numbers approved by the Civic
Centers Manager to assure safety and control of patrons attending the games.
2) Uniformed Security Personnel in numbers sufficient to control the seating
area, concourse areas, and control access/egress points. The actual number of Security
Personnel may increase or decrease depending on anticipated crowd size or a developing
pattern of crowd management problems at the discretion of the Civic Centers Manager.
All personnel shall be on duty until the Coliseum is cleared of the general public.
3) Game personnel, including, but not limited to: Public Address Announcer,
message center operator, scoreboard operator, scorekeeper, timekeeper, referees, goal
attendants, Zamboni and ice edger/ice paint operators, etc. Exception: Coliseum
maintenance staff will serve as back up drivers for the ice resurfacing machine
(Zamboni), with costs for Coliseum personnel being reimbursed by LESSEE when they
are used for games or practices.
4) Sound or stage technicians as required to operate any Coliseum sound or
lighting systems.
5) For special programs of the LESSEE, the LESSEE may be required to
provide additional security, ushers, door guards and other personnel necessary in numbers
approved by the Civic Centers Manager to assure safety and control of the public
attending the functions.
6) LESSEE shall hire and pay for any medical equipment, services and
attendants they may deem necessary, including, but not limited to, physicians, physician
assistants, trainers, paramedics, emergency medical technicians and ambulance attendants
during the hockey games and other ice related event scheduled by LESSEE.
7) CITY reserves the right at all times to control the ushers, doormen, ticket
takers, grounds, security personnel and all other employees of LESSEE. CITY shall have
the right to remove from the Coliseum any and all such employees of LESSEE and the
right, with its officers and agents, including its police officers, to eject any objectionable
person or persons from the building and surrounding premises. In the event of the
exercise of this authority, LESSEE hereby waives any and all claims for damages or
contribution against the CITY and its officers and employees on account thereof.
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35. INDEMNITY AND INSURANCE.
a. LESSEE as a material. part of the consideration to be rendered to CITY under this
Agreement, hereby covenants and agrees to hold CITY harmless and relieve and discharge
CITY, its officers and employees, from any and all liability for loss, injury, or damages to any
person or persons for personal injuries or death of any person or persons, or loss or damage to
property occasioned by or sustained by reason of the occupancy and use of the Coliseum and the
facilities thereof without regard to the cause of such loss or whether the loss was caused in whole
or in part by the negligence of the CITY, its officers and employees.
b. LESSEE hereby covenants and agrees to pay for any and all damage to the
Coliseum and damage to or loss of any of the property or equipment of the Coliseum or to any
other CITY property, resulting, either directly or indirectly from such occupancy or use of the
Coliseum, by or through the negligence or other acts of LESSEE, its agents, employees or any
person or persons participating in or attending the game in connection with or during said use
and occupancy.
C. CITY shall not be liable to LESSEE for any damage by or from any act or
negligence of any other occupant of the Coliseum. LESSEE agrees to pay for all damages to the
building, as well as all damage to other occupants of the Coliseum, caused by LESSEE's misuse
or neglect of the Coliseum, its apparatus, or appurtenances.
d. LESSEE shall secure at its own expense and provide CITY with evidence that it
has comprehensive public liability insurance for bodily injury or death in the minimum amount
of Two Hundred Fifty Thousand and No/100 ($250,000.00) Dollars for injury to one person, and
Five Hundred Thousand and no/100 ($500,000-00) Dollars for one accident, and property
damage insurance in an amount of not less than One Hundred Thousand and No/100 .
($100,000.00) Dollars, written and issued by a B+ or better Best rated insurance company
authorized to do business in the State of Texas. CITY shall be named as a named insured in said
policy of insurance.
e. LESSEE shall procure Worker's Compensation Insurance protecting the agents
and employees of LESSEE. Worker's Compensation coverage shall include a waiver of
subrogation in favor of CITY.
36. DAMAGE OR DESTRUCTION.
a. In case the Coliseum covered by this Agreement, or the building of which such
Coliseum are a part be totally destroyed or damaged by fire or any other cause, of if any other
casualty or unforeseen occurrence or other causes herein specified shall render fulfillment of the
contract by CITY impossible, then the term of this Agreement shall end and LESSEE shall be
liable for partial rent only up to the time of such termination and LESSEE hereby waives and
releases the CITY from any claim for damages or compensation on account of such termination.
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b. In the event that the Coliseum should be partially damaged by fire, or other cause,
but only to such an extent that it can be rebuilt or repaired within ninety (90) days after the date
of such destruction, the Agreement shall be void or voidable, but not terminated except as
otherwise provided herein. If the CITY intends to rebuild or repair the Coliseum, it shall within
thirty (30) days after the date of such damage give written notice to LESSEE of the intention to
rebuild or repair and shall proceed with reasonable diligence to restore the Coliseum to
substantially the same condition in which it was immediately prior to the destruction. However,
CITY shall not be required to rebuild, repair or replace any improvements or alterations made by
tenant within the Coliseum. During the period of rebuilding or repairing, there shall be no
diminution of rent. If, after rebuilding or repairing has commenced, such rebuilding or repairing
cannot be completed within ninety (90) days after the date of such partial destruction, the CITY
may either terminate the Agreement or continue with the Agreement with a proportional rent
rebate to LESSEE. If CITY undertakes to rebuild or repair, LESSEE shall, at its own expense,
restore all work required to be done by such LESSEE under this Agreement.
37. EXPIRATION OF LEASE AGREEMENT.
a. At the expiration of this Agreement and in accordance with all applicable
provisions of this Agreement, LESSEE shall quit the Coliseum and return to the Civic Centers
Manager the facilities in as good condition and repair as when acquired, except for ordinary wear
and use.
b. CITY reserves the right after the expiration of the time for which the said
Coliseum is leased by this Agreement to remove from the Coliseum all effects remaining therein
and to store the same wherever it sees fit in its name, or at its option, in the name of LESSEE but
at the cost, expense and risk of LESSEE, and CITY shall not be liable in any way to LESSEE on
account of so removing and storing any such effects. For such additional period beyond the term
of this Agreement as any effects of LESSEE may so remain in the Coliseum, CITY shall be
entitled to charge LESSEE a reasonable fee for storage.
38. LICENSES AND LAWS.
(a) LESSEE shall comply with all laws of the United States, and the State of Texas,
all ordinances of the City of Lubbock, and all rules and requirements of the Police and Fire
Departments, or other municipal authorities of the CITY, and will obtain and pay for all
necessary permits and licenses, and will not do, nor suffer to be done, anything on said Coliseum
during the term of this Agreement in violation of any such laws, ordinances, rules or
requirements; and if the attention of LESSEE is called to any such violation. on the part of said
LESSEE, or of any person employed by or admitted to the said Coliseum by said LESSEE, such
LESSEE will immediately desist from and correct such violations.
(b) LESSEE shall comply with the Federal Copyright Act of 1976 and assure that
all copyrighted music played or caused to be played during the time period and in the area
covered by this Agreement is played with the permission of the copyright owner. LESSEE
20
agrees to pay all the obligations under the copyright license, and will hold harmless and
indemnify the CITY and its employees from any such claims or obligations.
(c) Any violation of such laws and ordinances by LESSEE shall, at the discretion of
the Civic Centers Manager, subject LESSEE to immediate expulsion from the Coliseum and the
forfeiture of all rents, percentages, or other fees heretofore paid, and without releasing in any
manner any obligations for the payment of the rent, percentages, or other fees required to be paid
for the full term thereof.
39. CANCELLATION. LESSEE shall give written notice of intent to cancel this
Agreement by December 31 of each year that this Agreement is in force. In the event LESSEE
cancels, the parties hereby agree that all monies paid by the LESSEE any time prior to the date of
cancellation are presumed to be liquidated damages sustained by the CITY due to the
impracticability and extreme difficulty in fixing actual damages and such monies shall become
the property of the CITY and shall not be refunded. All installed permanent equipment,
modifications and or improvements to the Coliseum shall become the property of the CITY.
40. DEFAULT AND TERMINATION.
a. In the event LESSEE shall fail to keep and perform or shall materially violate the
terms, covenants and conditions of this Agreement and LESSEE shall not have cured or
corrected such violation or is not diligently taking action to cure or correct such violation within
ten (10) days after written notice thereof shall have been received by LESSEE, LESSEE shall be
considered to be in default hereunder.
b. Upon the occurrence of any one or more event(s) of default LESSEE's right to
possession of the Coliseum shall terminate, and LESSEE shall surrender possession thereof to
CITY immediately. In such event, LESSEE hereby grants to CITY full and free license to enter
into and upon said Coliseum, or any part thereof, to take possession thereof with process of law,
and to expel and remove LESSEE therefrom, or any person who may be occupying the said
PREMISES, or any part thereof, and CITY may repossess itself of the said Coliseum as of its
former estate. In addition to terminating this Agreement, CITY may sue for and recover all
damages. CITY may, if it so elects, pursue any other remedy or remedies provided by law for
the breach of this Agreement or any of its terms, covenants, conditions or stipulations. No right
of entry or remedy herein conferred upon or reserved by CITY is intended to be exclusive of any
other right or remedy.
C. CITY's acceptance of rent following an event of default hereunder shall not be
construed as CITY's waiver of such event of default. No waiver by CITY of any violation or
breach of any of the terms or provisions and covenants herein contained shall be deemed or
construed to constitute a waiver of any other violation or default. The loss or damage that CITY
may suffer by reason of LESSEE's default shall include the reasonable expense of repossession
and any reasonable repairs or remodeling undertaken by CITY following repossession.
21
d. LESSEE covenants that if LESSEE shall make an assignment for the benefit of
creditors, or if a petition shall be filed to have it adjudicated a bankrupt, whether voluntary or
involuntary, or if an execution issue against LESSEE and it shall fail to procure a stay thereof
within thirty (30) days after the entry of same or otherwise fail to satisfy a judgment against it,
then and in such event this Agreement, at the option of the CITY shall cease and terminate. In
the event of such termination, the entire unpaid portion of the total rental as set forth in this
Agreement shall thereupon immediately become due and payable.
41. STORAGE. CITY assumes no responsibility whatsoever for any property placed
in or on said Coliseum, and said CITY is hereby expressly released and discharged from any and
all liabilities for any loss, injury or damages to person or property that may be sustained by
reason of the occupancy of said Coliseum under this Agreement.
42. THIRD PARTY AGREEMENTS. CITY shall not be responsible in any way for
any third -parry agreements entered into by LESSEE for supplies, services or any other items,
whether in writing or verbal. LESSEE shall be solely responsible for all such agreements and
any payments due thereon.
43. INDEPENDENT CONTRACTOR. LESSEE, in the performance of its functions,
duties and obligations herein, shall at all times be and act as an independent contractor. Nothing
in this Agreement shall be construed as creating a partnership or joint venture between the parties
hereto, or as constituting LESSEE as an agent or employee of CITY in any manner whatsoever,
nor shall any part of this Agreement be construed as giving LESSEE any authority whatsoever to
bind CITY in any manner whatsoever. LESSEE hereby agrees and covenants that CITY shall
not be liable for any salaries or sums of money due employees of LESSEE nor for any expense
incurred by LESSEE, nor for any debt contracted by LESSEE.
44. NON-DISCRIMINATION. LESSEE agrees that in conducting its operation
hereunder it will not discriminate against any employee, applicant for employment, customer or
patron due to age, sex, race, color, handicap, religion or national origin.
45. AMERICANS WITH DISABILITIES ACT. LESSEE agrees that it will comply
with all applicable requirements of the Americans with Disabilities Act of 1990, 42 U.S.C. S
12101, et. seq.
46. FIRE HAZARDS. LESSEE shall not bring or permit anyone to bring into said
building or surrounding premises or keep therein anything that generates any hazardous materials
or wastes, LESSEE will obey all will cause a fire hazard.
47. HAZARDOUS MATERIALS. If lessee uses, stores, or Federal, State, and Local
laws governing such materials. In the event that hazardous materials are discharged on CITY
property, LESSEE will be responsible for all costs and activities related to proper clean-up, and
will provide the Civic Centers Manager with proper documentation evidencing that a complete
clean-up has occurred. LESSEE shall be responsible for all liabilities related to the use, storage,
22
disposal, and clean-up of all hazardous materials on the PREMISES.
48. ATTORNEY'S FEES. If either party should commence legal proceedings to
enforce the terms and conditions of this Agreement, the prevailing party will be entitled to
reimbursement of all such legal fees and cost incurred, including the legal fees and costs incurred
in any appellate proceeding.
49. EXTENT OF AGREEMENT. This Agreement represents the entire and
integrated Agreement between the parties hereto and supersedes all prior negotiations,
representations or agreements either written or oral, and this Agreement may be amended only by
written instrument signed by both parties.
50. TAXES. All property taxes assessed by any governmental body upon LESSEE's
personal property and LESSEE's improvements shall be paid by LESSEE. Should these taxes be
applied in any manner to the real property taxes, LESSEE, upon demand, will pay such personal
property taxes to CITY who in turn will pay them to the proper tax collector.
51. PROHIBITION AGAINST NUISANCE OR UNLAWFUL USE. LESSEE shall
not create or allow any nuisance to exist on the PREMISES, or use or allow the Coliseum to be
used for any unlawful purpose.
52. CONSENTS. CITY and LESSEE agree that whenever in this Agreement their
consent is required to be obtained such consent will not be unreasonably withheld or delayed.
53. LEGAL CONSTRUCTION. If any clause or provision of this Agreement is
illegal, invalid or unenforceable under present or future laws effective during the term of this
Agreement, or any extension thereof, then it is the intention of the parties hereto that the
remainder of this Agreement shall not be affected thereby, and it is also the intention of the
parties to this Agreement that in lieu of each clause or provision of this Agreement that is illegal,
invalid or enforceable, there be added as a part of this Agreement a clause or provision as similar
in terms to such illegal, invalid or unenforceable clause or provision as may be possible and be
legal, valid or enforceable.
54. PARTIES BOUND. Each and every provision of this Agreement shall bind and
shall inure to the benefit of the parties to the Agreement and their legal representatives.
55. NOTICES. Any notice required hereunder shall be in writing and shall be
deemed received by the party to be notified whenever a letter containing such notice is deposited
with the United States Postal Service, certified mail, return receipt requested, with proper postage
axed thereto and addressed to the party to be notified in the following manner:
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CITY:
Civic Centers Manager
15016' Street
Lubbock, Texas 79401
LESSEE:
South Plains Professional Hockey Club, Ltd.
320 South Polk Street
Suite 800
Amarillo, Texas 79101
Western Professional Hockey League, Inc.
14040 North Cave Creek Road
Suite 100
Phoenix, Arizona 85022
Or at such other address as CITY, LESSEE or LEAGUE may designate in writing.
56. CAPTIONS. The captions contained in this Agreement are for convenience of
reference only, and shall in no way limit or enlarge the terms and conditions of this Agreement.
57.EXHIBITS AND ATTACHMENTS. All exhibits referred to in this Agreement are
incorporated into this Agreement and made a part hereof for all intents and purposes.
58. CHOICE OF LAW. The formation, operation, construction and enforcement of
this Agreement shall be governed by the laws of the State of Texas.
59. CITY COUNCIL APPROVAL. CITY represents and warrants that this LEASE
AGREEMENT has been approved by the City Council of Lubbock, Texas. It is understood and
acknowledged by CITY and LESSEE that any extensions of this LEASE AGREEMENT as
provided for above, are subject to the approval of the Lubbock City Council.
IN WITNESS WHEREOF, we have hereunto set our hands as date first above written.
CITY OF LUBBOCK:
A EST:
kaytVi4 Darnell, City Secretary
24
SOUTH PLAINS PROFESSIONAL
HOCKEY CLUB, Ltd:
APPROVED AS TO CONTENT:
Jowyou bill',
Tommy Gonzaez, Mar9ging Ibirector of
Civic Services
APPROVED AS TO FORM:
Attorney
WPHL, INC.:
RICK KO ACK, PRESIDENT
ACKNOWLEDGEMENTS
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
This instrument was acknowledge before me on the %_ day of '-hQjV#JkA
1998, by Windy Sitton, Mayor of the City of Lubbock, a Texas municipal corporation, on behalf
of said corporation.
My commission expires QL.
THE STATE OF TEXAS §
L"f j•
. Azle4'
NotaPy Public in and for Me State of Texas
SYLVIA H. REYES
Notary Public, State of Texas
►..,. My Commissicm Expires
04.23.0:2
COUNTY OF POTTER §
This instrument was acknowledged before me on the IM day of NaG M6 er ,
1998, by Mark Adams on behalf of South Plains Professional Hockey Club, Ltd., a partnership.
Lj W'Z
Notary Public in and for the State of Texas
` My commission expires (A1031X01
25
THE STATE OF TEXAS §
COUNTY OF POTTER §
This instrument was acknowledged before me on the 19t day of .tr ,
1998, by Rick Kozuback, president of Western Professional Hockey League, Inc., a Texas
corporation, on behalf of said corporation.
My commission expires IWO Ago
Ddcon/hockey.doc
26
,J . WLQA")
Notary Public in and for the State of Texas
EXHIBIT
LUBBOCK MEMORIAL CIVIC CENTER
AND
MUNICIPAL AUDITORIUM -COLISEUM
GENERAL OPERATING POLICIES AND PROCEDURES
It is understood and agreed by the Lessee that this booklet, which includes Section I through
41, is in fact a part of the contract between the Lessee and the Facility. The Lessee is
charged with the responsibility of knowing and abiding by the policies and procedures
contained herein.
Acknowledged and Received:
Signature of Lessee
Date
This top page should be signed by the Lessee and returned attached to the pink copy of the
Facility Contract.
LUBBOCK MEMORIAL CIVIC CENTER
AND
MUNICIPAL AUDITORIUM -COLISEUM
GENERAL OPERATING POLICIES AND PROCEDURES
It is understood and agreed by the Lessee that this booklet, which includes Section I through
41, is in fact a part of the contract between the Lessee and the Facility. The Lessee is
charged with the responsibility of knowing and abiding by the policies and procedures
contained herein.
TABLE OF CONTENTS
SECTION TOPIC
PAGE #
1
Definitions.................................................................................. 1
2
Authority....................................................................................
1
3
Lease or Rental Agreement........................................................
2
4
Booking Policy..........................................................................
2
5
Conventions...............................................................................
3
6
Rehearsals and Move-In/Outs....................................................
3
7
Reletting and Sub-Leasing.........................................................
3
8
Payment of Fees.........................................................................
4
9
Authorized Refunds...................................................................
4
10
Insurance Requirements.............................................................
4
11
Liability for Lessee's Property ...................................................
5
12
Box Office and Ticketing Procedures ........................................
5
13
Advertising of Events................................................................
6
14
Broadcast or Telecast.................................................................
6
15
Crowd Control and Security Personnel ......................................
6
16
Catering and Concessions..........................................................
6
17
First :did Services.......................................................................
7
18
Machinery, Flammable Liquids, and Electricity ........................
7
19
Obstruction of Doors, Passageways, Corridors or Lobbies .......
7
20
Equipment Usage.......................................................................
8
21
Signs. Posters, Literature, Decorations and Balloons ................
8
22
Animals in the Building.............................................................
8
23
Display Advertising Rights in Facility ......................................
9
24
Alterations of Leased Premises ...................................................
9
25
Abandoned Equipment or Property ...........................................
9
26
Observance of Laws and Regulations ........................................
9
27
Permits and Licenses..................................................................
9
28
Intermissions..............................................................................
9
29
Public Address Announcements ................................................
9
30
Parking......................................................................................10
31
Recreational Vehicle Hook-ups................................................10
32
Facility Capacity.......................................................................10
33
Non-Discrimination..................................................................10
34
Objectionable Conduct..............................................................10
35
Photographers...........:...............................................................11
36
Copyright Infringement............................................................11
37
Solicitations..............................................................................11
38
Right to Alter Policies and Procedures and Rental Rates .........11
39
Facility Smoking Policy............................................................
11
40
Facility Staff
..............................................................................12
41
Special Rates and Services........................................................12
INDEX
TOPIC
PAGE #
Abandoned Equipment or Propert................................................. 9
Advertising of Events.....................................................................
6
Alterations of Leased Premises....................................................... 9
Authority.........................................................................................
1
AuthorizedRefunds........................................................................
4
BookingPolicy............................................................................... 2
Box Office and Ticketing Procedures .............................................
5
Broadcast or Telecast......................................................................
6
Catering and Concessions...............................................................
6
Conventions....................................................................................
3
Copyright Infringement.................................................................11
Crowd Control and Security Personnel ...........................................
6
Definitions.......................................................................................
1
Display Advertising Rights in Facility ...........................................
9
EquipmentUsage............................................................................
8
FacilityCapacity............................................................................10
Facility Smoking Policy.................................................................1
l
FacilityStaff...................................................................................12
FirstAid Services............................................................................
7
Insurance Requirements..................................................................
4
Intermissions...................................................................................
9
Lease or Rental Agreement.............................................................
2
Liability for Lessee's Property ........................................................
5
Machinery, Flammable Liquids, and Electricity .............................
7
Non-Discrimination.......................................................................10
Objectionable Conduct...................................................................10
Observance of Laws and Regulations .............................................
9
Obstruction of Doors, Passageways, Corridors or Lobbies .............7
Parking...........................................................................................10
Paymentof Fees..............................................................................
4
Permitsand Licenses
.......................................................................
9
Photographers................................................................................11
Public Address Announcements..................................................... 9
Recreational Vehicle Hook-ups.....................................................10
Rehearsals and Move-in/outs.......................................................... 3
Reletting and Sub-Leasing.............................................................. 3
Right to Alter Policies and Procedures and Rental Rates ..............11
Signs, Posters, Literature, Decorations and Balloons ..................... 8
Solicitations...................................................................................11
Special Rates and Services.............................................................12
SECTION 1- Definitions
(a) The Lubbock Civic Centers of the City of Lubbock and County of Lubbock, Texas hereinafter called
Facility, means any hall, theater, meeting room, or other area designated in the Lubbock Civic Center and Municipal
Auditorium -Coliseum falling under the jurisdiction of the City of Lubbock.
(b) Lease as used herein means the written contract issued to an applicant by the Manager of the Facility under
the authority and condition as herein provided, including any amendment or supplement to such a contract.
(c) Lessee as used herein includes any person, association, public organization, partnership, business trust.
company or corporation that contracts to use any part of the Facility in accordance with the provisions of these
regulations.
(d) Non-Commercial/Non-Profit Events - A non-commercial or non-profit event is a function sponsored by any
of the following categories when the majority of the net proceeds are bestowed on or retained by the sponsoring
organization. Organizations claiming non-profit status must present proof of their non-profit status as issued by the
Internal Revenue Service prior to contracts being executed.
Examples:
1. Local non-profit chartered civic organizations.
2. Local non-profit fraternal organizations.
3. Local governmental organizations.
4. Local non-profit educational organizations.
5. Local non-profit religious organizations.
6. Local chartered charitable organizations.
7. Local organizations qualifying under section 501 of the Internal Revenue Service Code.
(e) Gross receipts as used in these regulations shall mean income from sales minus excise taxes or sales taxes
levied by the City, County, State or Federal Government. Any deductions from the gross receipts shall be
substantiated by submission of a statement of such deductions.
(f) Concessions as used herein shall mean the use and occupancy of any part of the Facility for the: (1) sale or
dispensing of programs, records. periodicals, books, magazines, newspapers, soft drinks, alcoholic beverages, flowers.
tobaccos, candies, food, novelties or related merchandise and souvenirs; (2) renting and/or sale of opera glasses.
cushions, photographs or other such articles; (3) the term concessions shall not include the sale, donation, or giving
away of merchandise or products which are a part of or directly related to an authorized convention or trade show for
which a fixed rental for booth space is otherwise charged.
SECTION 2 -Authority
The Civic Centers Manager. as referred to in these regulations, shall have full responsibility for the operation of
the Facility and shall act on behalf of the City of Lubbock in all matters pertaining to the Facility. The Manager
shall be authorized to enter into rental contracts subject to the prevailing rental rates. The right is reserved by the
Manager or other duly authorized representatives of the Facility to enter the Facility and all parts thereof at all times.
SECTION 3 - Lease or Rental Agreement
All rental contracts shall be in written form and executed by the City of Lubbock. No oral agreement for the use
of the Civic Centers shall be valid.
Federal regulations require reporting of all payments in excess of $600.00 during a calendar year. 1099's will be
issued at the end of the calendar year to any Lessee or Vendor where payments for show settlements have exceeded
this amount. In order to comply with these regulations, the taxpayer identification number is required before
payments can be issued to the Lessee or Vendor.
Basic rental rates for actual event days/performances include available heat and/or cooling, available lighting and
water, normal janitorial cleaning services, and the initial chair or chair/table set-up. However, failure to furnish any
of the foregoing utilities or services resulting from circumstances beyond the control of the Facility shall not be
considered a breach of contract. Additional charges will be assessed for extraordinary or overnight utility usage.
Changes made in the initial set-up may require payment of an additional charge. Major changeovers (from one set-
up to another) made within a single working day (7:00 a.m.-1 a.m.) will require payment of an additional set-up
charge. This includes set-up changes of tables, chairs, risers, stage, head tables, etc. Pre -event and post -event
charges are covered under Section 6.
The Lessee may be required to furnish in writing any information requested by the Manager to determine which
facilities, arrangements, and special services and/or equipment might be necessary to the staging and proper
management of their event. For exhibitions or conventions, Lessee must furnish drawings as to locations, and
dimensions of all exhibit booths and equipment indicating utility requirements. These requirements must be
approved by the Manager. At no time, can exhibit booths. tables, chairs, or any other set-up created by an event
block entrances and/or exits. There must be at least an 8 foot clearance between an entrance/exit and any exhibit
booth or set-up. Should Facility Management determine that exhibits or any portion of an event setup is in violation
of proper fire and safety code restrictions, Lessee will insure that the violation is corrected immediately. Any
exception must be approved by the City of Lubbock Fire Marshall.
All set-up information, in and out times and actual event times must be submitted, in writing, at least two (2)
weeks prior to the event. Due to staff scheduling requirements, these times must be adhered to by the Lessee or else
an overtime fee will be charged. (See Section 39 for charges.)
The Lessee will appoint one (1) individual to coordinate all activities and setup information with the Facility
Staff.
SECTION 4 - Booking Policy -I
The Manager may deny rental of any of the Civic Centers facilities if, in his/her judgment, a booking conflict
appears imminent. A three (3) day protection period between similar events will be exercised at the discretion of the
Manager and coordinated between both the Civic Center and the Auditorium -Coliseum. The Manager reserves the
right to increase the number of protection days between similar events. This is in accordance with the usual
procedures of public assembly facilities management concerning adequate protection or unfair competition between
similar events.
Tentative Dates will be held until a contract is issued or a request by another party has been received. A
contract must then be signed and deposit made or the date/dates will be released. However, should a second request
be received for tentative dates, a contract must be signed and the required deposit made within forty eight (48) hours
of notification or the date/dates will be released.
SECTION 5 - Conventions
The Convention and Tourism Bureau of Lubbock may negotiate to lease any of the Civic Centers facilities to
any corporation, association, club. or society during any international, national, state, or regional seminar or
session thereof, which is a convention of record. meeting
Where any special service or equipment is required, the
convention shall pay the costs associated with same. The scheduling of conventions by the Convention and Tourism
Bureau of Lubbock and/or the Civic Centers shall receive high priority at the Civic Center. Therefore the Civic
Center Booking Calendar will be kept open within reason. When unfilled dates are 18 months or less, other events
may be scheduled.
SECTION 6 - Rehearsals and Afove-lns/Outs
The rates listed herein entitle a Lessee to use the space specified in the rental contract for rehearsal and/or move -
in purposes of up to four consecurive hours prior to the event without additional cost. The hours shall be approved
by the Manager and shall be subject to cancellation by the Manager upon 24 hours notice to the Lessee. The cost of
any special labor, equipment, or services in connection with such a rehearsal and/or move-in/out will be charged to
the Lessee based upon the prevailing rates at the time of the event.
Move -ins and rehearsals prior to the date of the event and move -outs specified in the rental contract shall be
subject to additional rental which will be fifty percent (50%) of the established rental rate plus the cost of any
additional services. Rehearsal and move-in/out dates are available only when the facility is not scheduled for use by
another Lessee. Times for more -ins, move -outs, and/or set-ups and for tear -downs may be negotiated at the
discretion of the Manager. Energy conservation is of prime concern and minimum levels of lighting, ventilation,
heat and air conditioning will be maintained during move -in and move -out periods. A utility charge, in addition to
the basic rental fee, may be assessed for special lighting and comfort level requirements during move -in, move -out
or rehearsal periods.
SECTION 7 - Reletting and Sub -Leasing
The City of Lubbock reserves tate right to relet any portion of the Lubbock Civic Centers which becomes vacant
during the lease of any other contract. If the City of Lubbock relets because of Lessee's fraud, no refund will be due
such Lessee. No Lessee shall assign any lease without approval of the Manager of the Lubbock Civic
Center/Auditorium-Coliseum.
SECTION 8 - Payment of Fees - I
Fifty percent (501/6) of the base rental fee shall be paid upon execution of the contract and must be paid upon
execution of the contract and must be returned with the signed rental agreement within ten (10) days. The balance
of the rental shall be required on week prior to the event. Fees for any special services and equipment needed shall
be paid prior to the completion of the final event. Any exception to this policy shall be approved by the Manager.
The Manager, if deemed necessary, may request that full rental and other fees be paid in advance for use of any
facilities. In the event of cancellation by the Lessee, without the written approval of the Manager., all moneys
previously paid by the Lessee as a deposit or a rental shall become property of the City of Lubbock and shall not be
refundable. All rental fees shall be paid in lawful money of the United States by cash, certified check, or money
order.
Payment of all Federal, State, County, or City taxes and licenses in connection with nay attraction shall be the
responsibility of the Lessee. The Manager may, on occasions, for the protection of the Lubbock Civic Centers,
collect all such taxes and directly pay them over to the proper Federal, State, or other government units.
When contracts are initiated less than 30 days in advance of event dates, the deposit will be the total amount of
the rental rate. Extra charges will be due on the last day of the event.
SECTION 9 - Authorized Refunds
Refund of advance rental deposit may be authorized where:
(A) Lessee gives written notice of cancellation at least six months (180 days) prior to the date reserved.
(B) Where the scheduled performance is canceled under any of the terms of the regulations governing the
management of the Facility.
(C) Where the performance is otherwise canceled at the request of the Manager and with the consent of the
Lessee.
Deposits made due to a date challenge, as described in Section 8, are not refundable.
SECTION 10 - Insurance Requirements
The Lessee shall be required, at its sole cost and expense, to secure and maintain during the term of this contract,
public liability and property damage insurance against losses or claims relating to or arising out of the holding or
presentation of the Event and any use or occupancy of the Facility by the Lessee and its agents, contractors and
employees. Insurance policy must be issued by companies authorized to do business in the State of Texas. Said
Lessee must also provide certificates of insurance (liability) naming the City of Lubbock as as additional
insured. The certificate of insurance provided to the Facility should include the following information and limits:
A. Name of your Insurance Company/Name and Telephone Number of contact person.
B. Your Name/Company Name and Address as the Insured
C. Minimum Policy Limits as follows:
General Liability:
General Aggregate $1,000,000
Products $ 500,000
Personal & Adv Injury $ 500,000
Each Occurrence $ 500,000
Fire Damage $ 50,000
Medical Expense $ 5,000
D. Description of Operations/Locations/Restrictions/Special Items
Name of Event, Date of Event, Exact Location of Event (Facility)
Additional Insured: City of Lubbock
E. Certificate Holder: City of Lubbock
c/o Lubbock Memorial Civic Center/Auditorium/Coliseum
1501 6th Street
Lubbock, TX 79401
The insurance policies shall contain an endorsement providing contractual liability coverage to insure the
liability assumed herein. The Manager shall be notified by the Lessee of any exclusions to the insurance policy
provided for the event contracted. The Manager shall be provided with a certificate evidencing all such insurance
as specified herein and any other insurance which the Manager may require. This certificate shall be submitted
with this signed contract, unless otherwise approved by Facility Management, but no less than two (2) weeks prior
to the event.
The Manager may waive or reduce the insurance requirement in certain instances where the general public will
not be in attendance at the particular program or event involves limited exposure to liability. A waiver or reduction,
however, in no way decreases the Lessee's liability should an incident occur during the use of the facilities.
The Manager may also, at his/her discretion, increase the amount of insurance coverage required for high risk
events.
SECTION 11- Liability for Lessee's Property
Neither the City of Lubbock nor their employees shall be liable for any loss, damage, or injury to properties of
any kind that are shipped or otherwise delivered to or stored in or on the premises. Due to limited storage space in
the Facility, Lessees must first obtain permission from the Manager or Event Coordinator prior to shipping small
quantities of property/merchandise to the Facility. It is the responsibility of the Lessee, when using a Decorator, to
insure that vendors send their shipments directly to the Decorator. Failure to do so may result in Facility assessing
an appropriate storage/handling fee to the Lessee. Rodeos, circuses and other events involving animals shall not
leave animals unattended in the Facility and therefore the Lessee shall bear the cost of overnight security, with said
security being arranged for by the Facility.
SECTION 12 - Box Office and Ticket Procedures
Tickets to all events for which there is an admission charge shall be sold through the Facility's computerized
ticketing system. The Manager may, at his/her discretion, authorize non-profit organizations to handle their own
ticket sales. These organizations will be required, however, to furnish the facility with a ticket manifest showing the
number of tickets printed and a record of attendance at the conclusion of their event. All events where admission is
charged at the door will be required to give the Facility an attendance count. At no time shall the number of tickets
sold exceed capacity. It is also the Lessee's responsibility to insure that attendance does not exceed capacity when
no admission is charged.
SECTION 13 - Advertising of Events —1
All advertising of paid attractions must state total admission prices. The Lessee shall not announce events
scheduled at the Facility until contracts and deposits have been properly approved and executed by the Manager.
SECTION 14 - Broadcast or Telecast —�
It will be the responsibility of the Lessee to inform the Manager when telecasts or broadcasts will be conducted
in conjunction with the contracted event at the Facility. The Manager shall have the authority to negotiate charges
for these events. It will be the responsibility of the Lessee to insure that either Lubbock, Texas or the name of the
Facility is mentioned during the telecast, broadcast or filming of the event.
SECTION 15 - Crox�d Control and Security Personnel
Lessees are responsible for the security of all areas utilized and covered under their contract. It shall be the
responsibility of the Manager to determine the number of crowd control and/or security personnel required for each
event. It shall be the responsibility of the Lessee to pay for the crowd control and security personnel. Security shall
be required at any event where alcoholic beverages are served and is encouraged when admission is charged at the
door or at the Box Office. Lessees are also encouraged to arrange for overnight security during multiple day events
when Lessee's or Exhibitor's items will be left in the building overnight. Lessee shall coordinate all security with
the Manager or designated representative.
SECTION 16 Catering and Concessions
Concessions: The Facility reserves and retains the sole right to conduct and/or control either directly or through
separate contracted vendors all catering and concessions including but not limited to the items listed and defined in
Section 1 under "Definition, Concessions". The sale or dispensing of any items must first have prior approval.
All sales requiring the payment of additional fees and/or percentages of sales shall require the Lessee to certify
the amount of said sales in writing. Said fees and/or percentages shall be paid at the closing of the event unless
otherwise approved by the Manager.
It is the Lessee's responsibility to insure that no food or beverages are brought into the facilities unless prior
approval is obtained from the Management.
Catering: Caterers must be approved by the Manager. Caterers are required to sign a catering agreement and
provide proof of insurance to catering an event in the Facility. Only those caterers on the Facility's approved list of
caterers will be eligible to cater on the premises. This facility is a tax supported municipal facility. Caterers are
provided with the building, kitchen and scullery, warmers, sneeze guards, tables, chairs, utilities, etc. For these
benefits and to cover these operating costs, the caterer is assessed a 15% catering fee, which is a percentage to their
total bill charged to the Lessee. Caterers who are delinquent in their payment of the catering fee shall be prohibited
from catering additional events in the Civic Centers until full payment is made. Lessees are encouraged to check
with the Facility's Food and Beverage Department to insure that the desired caterer is in good standing -
6
Services that are available through the Facility's Food and Beverage Concessionaire include, but are not limited
to, hot cold beverages and continental breakfasts (danish, donuts, pastries) for coffee breaks.
SECTION 17 -First Aid Services
Fi1st Aid services are available through approved organizations at a cost to the Lessee. The Lessee shall be
responsible for payment of any and all fees for these services and it shall be the responsibility of the organization
providing the service to collect said fees. A list of approved organizations providing first aid services is available
upon request through the Facility Management. The Lessee shall notify the Facility Management prior to the event
when these services will be utilized. The Facility is not responsible for the services provided by any of the approved
organizations.
SECTION 18 - Machinery, Flammable Liquids and Electricity
No person shall use any engine, motor or other type of machinery within the Facility, or use any gas or other
flammable liquid or chemical without the approval of the Manager. All electrical connections of any kind must be
approved by the Manager. No gas or internal combustion vehicle shall be allowed to remain in the Facility without
the approval, in advance, of the Manager. No open flamed devices shall be permitted without the approval of the
Manager. Any candles used for table decorations, must be fully covered by an appropriate flame guard that is
higher than the flame of the candle.
Vehicles on display or left in the facility must comply with Section 9-4.4.4 of the Life Safety Code:
a. All fuel tank openings shall be locked and sealed in an approved manner to prevent the escape of
vapors. Fuel tanks shall not be more than one-half (1/2) full or contain more than 10 gallons of fuel,
whichever is less.
b. At least one battery cable shall be removed from the batteries used to start the vehicle engine. The
disconnected battery cable shall then be taped.
C. Vehicles shall not be moved during show hours.
In accordance with Section 11, item 84 of the City of Lubbock Code of Ordinances, "No person may
manufacture, sell, or give away fireworks, or store, possess, or use fireworks" unless Lessee secures proper permit
from the City of Lubbock Fire Marshall.
Any electrical tie-in requiring 600 amps or more shall be performed, at the Lessee's expense, by a bonded,
licensed electrician. Electrician must be approved in advance by the Management.
SECTION 19 - Obstruction of Doors, Passageways, Corridors or Lobbies
No portions of the sidewalks, entries, plaza walkways, passageways, doors, aisles, elevators, vestibules or other
ways of access to the public utilities of the premises shall be permitted to be obstructed, nor shall any windows,
vent2ators or lighting fixtures be obstructed. No vehicles or other driveable equipment shall be driven onto or
parked on any sidewalk or entry into the Facility without prior approval of the Facility Management.
7
SECTION 20 - Equipment Usage
No person may use or transport any equipment, furniture or other articles which are the property of the Facility's
without the approval of the Manager. As used in this section, the word "equipment" is to include all items of
inventoried equipment which are moveable or portable, such as ladders, tables, chairs, etc. A limited number of
carts are available for rent from the Facility to move in Lessee's or Exhibitor's merchandise or equipment.
SECTION 21- Signs, Posters, Literature, Decorations and Balloons
Posters and/or signs may only be posted on bulletin boards provided for such use within the Facility. All such
advertisements must relate to the event to be held on the premises. The hanging of pictures, banners, or other items
must have the approval of the Manager.
The Lessee shall not distribute, circulate or permit to be circulated any advertising matter or programs at the
entrance to any part of the premises that does not pertain completely to the immediate attraction. Such material
must have the approval of the Manager. At no time shall any such advertising matter be distributed or circulated on
parking facilities or walkways adjacent to the facility.
Decorations, signs, banners and similar materials may not be taped, nailed, pinned, bolted, tacked, stapled
or otherwise fastened to ceilings, doors, walls, glass, columns, painted surfaces, fabric or decorative walls.
Easels are available to use for signage. Signage found taped or otherwise attached to walls or doors will be taken
down immediately by the Civic Center Management and the Lessee will be financially responsible for any damage
that is caused. Any floor tape to be used on carpeted areas must be approved in advance by Facility Management
and Lessee will insure that their contracted decorator removes all floor tape used in laying carpet, etc. from all floor
surfaces immediately following the event. Acceptable types of floor tape are cloth and gaffer's tape. Duct tape is
NOT acceptable. Glitter, confetti and/or sequins are highly discouraged and an additional clean up fee may
be charged when used. Lessee may be required to put plastic under decorations that are to be set on carpet
i.e. bales of hay.
The Lessee, after required approval, may elect to hang banners, posters, or pictures themselves, provided Lessee
provides the required equipment, i.e. ladders, pipe and drape, etc. Otherwise, the Stage Department will provide a
crew of no less than two (2) people to hang Lessee's materials and Lessee shall pay the cost for such labor. It will
be the responsibility of the Lessee to insure that banners are affixed in an appropriate manner. The approved
method is using pipe and drape provided through a decorator.
In order to abide by the sign ordinance in effect within the City of Lubbock, approval by the Manager will be
required prior to any signstbanners of any type being placed on Civic Centers property outside of the building.
SECTION 22 —Animals in the Building
Animals will not be allowed on the carpeted areas of the Civic Center or in the Pedestrian Mall. Animals
associated with the performance of an event or event activity will not be allowed to remain in the facility overnight
without the Manager's approval. If approval is given, security may be required with the cost borne by the Lessee.
Lessees will not be allowed to remain in the building overnight with guard dogs unless they arrange for additional
security approved by the Civic Centers management.
SECTION 23 - Display Advertising Rights in Facility
The Facility retains all rights to advertising signage within the Facility and its premises. The Lessee or any of
Lessee's agents, employees or representatives, shall not obstruct, cover or remove any installed advertising signage
or portion thereof, that is under contract with the Facility at the time of the event. The hanging of .temporary
banners and/or signage by the Lessee as well as the hanging location within the Facility and its premises must be
approved in advance by the Manager.
SECTION 24 - Alterations of Leased Premises
If alterations of the Facility are required, said alterations must first be approved by the Manager.
SECTION 25 - Abandoned Equipment or Articles
The Facility shall not be held responsible for articles left on the premises. The Facility shall assume no
responsibility for losses when such losses were caused by theft or disappearance.
SECTION 26 - Observance of Laws and Regulations
The Lessee shall comply with all City, County, State, and Federal laws, and with regulations pertaining to the
Facility. Violations by the Lessee or its agents or employees may result in cancellation of the lease and/or
discontinuation of use of the facility.
SECTION 27 - Permits and Licenses
It is the responsibility of the Lessee to obtain the appropriate permits or licenses, alien applicable, prior to
leasing the Facility.
SECTION 28 - Intermissions
Lessee agrees that for ticketed events lasting one and one-half hours or more there be an intermission of not less
than 20 minutes. This intermission requirement may be waived at the discretion of the Manager.
SECTION 29 - Public Address Announcements
The Facility Management reserves the right to make public address announcements during public attractions and
intermissions. These messages and announcements will usually pertain to future attractions and such other
announcements relating to the welfare and safety of those attending events.
SECTION 30 - Parking
The City of Lubbock, delegating the authority to the Manager of the Facility, shall maintain and control parking
on city -owned property - on and about the Facility site - excluding parking on city streets. At all times, parking for
Facility events shall have priority over parking for any other purpose. A parking fee will be charged to patrons
attending events at the Municipal Auditorium -Coliseum and wishing to park in the primary lots. This fee will be a
per vehicle charge and shall be on a first come -first serve basis. It should be noted that these lots may be shared
when events are held at Jones Stadium.
All event -related vehicles will maintain a clear and accessible fire lane around the Facility at all times. This lane
shall provide adequate clearance for emergency vehicles. It is the Lessee's responsibility to insure that this access is
maintained.
It is the responsibility of the Lessee to insure that exhibitors loading and unloading for events adhere to
Americans with Disabilities Act regarding use of designated parking spaces. These areas are patroled regularly by
the Lubbock Police Department's Parking Control and tickets are issued to vehicles in violation.
SECTION 31- Recreational Vehicle Hook-ups
A fee will be charged for available recreational vehicle hook-ups on the premises of the Civic Center. Hook-ups
are not available at the Auditorium -Coliseum. Only electrical services shall be provided for this fee. Fees should be
paid in the Civic Center Administrative Office upon arrival on the premises. All hook-ups are on a first-come first-
served
rstserved basis. Facility is not responsible for any damages caused by overloading circuits or fluctuations in supply.
SECTION 32 - Facility Capacity
The maximum capacity of the Facility is determined by the egress (exit) capacity. The maximum capacity of the
Auditorium -Coliseum shall be determined by the City of Lubbock Fire Marshall. Lessee shall not permit tickets to
be sold or distributed, including complimentary tickets, nor attendance at non -ticketed events to exceed the
maximum seating capacity for that space. The Facility reserves to right to determine when capacity has been
achieved and to control access at that point.
SECTION 33 - Nan Discrimination
No person, group, or association shall be excluded from use of the Facility because of handicap, race, color,
creed, or national origin and no rules or regulations may be promulgated by the Lessees of the Facility which will
discriminate against any person, group, or association or exclude them from use of the facilities or participation in
the facility activities.
SECTION 34 - Objectionable Conduct
Any performer, person or persons attending events at the Facility whose conduct becomes disorderly or
disruptive shall be subject to ejection from the premises. The Lessee shall hold the City of Lubbock harmless from
any claim for such action.
10
SECTION 35 - Photographers
Commercial photographers, acting in conjunction with events held in the Facility, will be subject to a $50.00/day
flat fee which should be paid prior to the event. This fee will apply when either orders are taken or funds collected
for photographs. It is the responsibility of the Lessee to inform the photographer of this charge when souvenir
photographs or videos are to be taken. It is also the responsibility of the Lessee to insure that photographers provide
for their own special electrical needs i.e. extension cords, power strips, etc.
SECTION 36 - Copyright Infringement
Lessee must accept all responsibility for and will assume all costs arising from the use of patented, trademarked,
franchised, or copyrighted music, materials, devices, processes or dramatic rights used on or incorporated in the
event. Lessee specifically warrants that all copyrighted material to be performed has been duly licensed or
authorized by the copyright owners or their representatives. Further, it is agreed that Lessee defend, indemnify and
hold the City of Lubbock and the Facility harmless for any claims, losses or expenses arising from non-payment to
licensing agencies, including but not limited to ASCAP, BMI and SESAC or damages growing out of Lessee's
infringement or violation of Federal Copyright Laws and/or Regulations. The Facility expressly assumes no
obligation to review or obtain appropriate licensing, and all such licensing shall be the exclusive obligation of
Lessee.
SECTION 37 - Solicitations
No collections or donations shall be allowed at the Civic Centers without the approval of the Management.
SECTION 38 - Right to Alter Regulations & Rental Rates — I
The City of Lubbock reserves the right, within reason, to change, alter, amend or cancel any and all of the
regulations contained herein with 30 days notice to Lessee. Rental rates are subject to change when new contracts
are issued.
SECTION 39 - Facility Smoking Policy
The Civic Center is basically a non-smoking facility. The only area where an exception can be made is the
Exhibit Hall. The Lessee can determine if events held in the Exhibit Hall are to be smoking or non-smoking.
The Municipal Auditorium is a non-smoking facility.
The Municipal Coliseum - designated smoking areas are located on the northeast and northwest outer concourse.
Smoking is not permitted in the seating areas, restrooms, etc. As an exception, events which are using primarily the
arena floor, (i.e. a dance) can allow smoking in the seating area. These exceptions will be considered by Facility
Management on a case by case basis. Lessees can designated the entire Coliseum as non-smoking for their event if
they wish.
11
SECTION 40 - Facility Staff
To insure that the Lessee receives the best possible service and information regarding the various services
required for the event, the Lessee should contact the section supervisor in each specific area and provide the
necessary event requirements and set-up information. The positions listed below will be available to provide advice
and consultation regarding your set-up needs and requirements.
Lubbock Memorial Civic Center Lubbock Municipal Auditorium/Coliseum
1501 6th Street 2720 6th Street
Lubbock, Texas 79401 Lubbock, Texas 79417
Telephone (806) 775-2243
Fax 806-775-3240
Manager: 775-2236
Assistant Manager: 775-2237
Event Coordinators: 775-2244/775-2255
(Booking information - available dates, contracts, rates, room set-ups, etc.)
Marketing and Promotion: 775-2231
Food and Beverage Coordinator: 775-2238
(Concessions, catering, bar, tablecloths, coffee and water set-ups)
Technical Coordinator: 775-2258
(Audio visual equipment, stage, sound, lighting)
Boz Office Manager: 795-1750
(Computerized ticketing services, event staffing (ushers, ticket takers, etc.) )
Accounting: 775-2265
SECTION 41- Special Rates and Services
General Information:
Building rental rates may be obtained upon request.
Major Change -over Charges are as Follows:
Single Meeting Rooms: $35.00
Double Meeting Rooms, Room 107, Terrace Suite: $50.00
1/3 Banquet Hall: $75.00
2/3 Banquet Hall: $125.00
Full Banquet Hall: $200.00
Exhibit Hall: $500-$750
12
A major change -over is defined as changing the room from one complete setup to another. For example,
changing a room set-up for a banquet, with table and chairs to room set auditorium -style. Minor changes will be
subject to a per table and/or per chair charge.
13
Overtime Rental Charees:
If actual event concludes after 1:00 a.m. or if move -in begins prior to 7:00 a.m. or if event continues past
contracted out time, the following charges will apply:
Exhibit Hall -
$250.00 per hour or portion thereof
Banquet Hall -
$150.00 per hour or portion thereof
Theater -
$150.00 per hour or portion thereof
Meeting Rooms -
$50.00 per hour or portion thereof
Other Areas -
One-half the regular rental rate per hour or portion
thereof
Holiday Rental:
Available for major events only.
Rate is I %2 times the base rental, i.e. base rental $100.00, holiday base rental $150.00. Holidays include New
Year's Day, Martin Luther King, Good Friday, Easter Sunday, Memorial Day, July 4th, Labor Day, Thanksgiving
Day, Christmas Eve (after 5:00 p.m.k Christmas Day. Holiday overtime rate - 1% times the regular overtime rates.
Base rental rates do not include the event staffing, box office, event production, food/beverage, and other specified
charges. All labor charges will be V/2 times the current wage scale. Over time labor charges on holiday will be 1
times the holiday rate.
Contingency Rate:
To hold any portion of the Facility as a backup in case of rain will require a non-refundable block out fee,
payable within 10 days of placing the date on hold. This fee would apply to the full rental, should the facility
actually be used. Should the date be challenged by another event, the person/organization holding the block out date
shall lose the date and the fee shall be reimbursed.
Event Staffing:
The following personnel are arranged for upon request by the Facility or approved ticket agency. Charges for
these services are available upon request.
• Ticket Sellers
• Ticket Takers
• Door Guards
• Security for Crowd Control
• Ushers
• Extra Labor
• Coat Check Personnel
• Merchandise/Novelty/Program Sales person - 10% of Gross Sales
• Merchandise/Novelty/Program Sales - 25% of Gross Sales
• Approved Food/Concession Sales - 15% of Gross Sales
(Items to be sold must have the approval of the Food & Beverage Coordinator. Lessee will insure that
participants will not sell items sold by facility concessionaire)
Box Office Services:
Select -a -Seat, the Facility's in-house computerized ticketing agency, operates and/or controls all ticketing
functions for events held in the facilities. In addition to the usage fee to the Lessee, there will be a handling fee
added to the price of each ticket. These fees are available upon request. It is the responsibility of the Lessee to
include all handling fees in any and all advertising placed by the Lessee.
14
Facility Improvement Fee:
In addition to the ticket handling fee, a facility improvement fee of $ .25 per ticket will be collected. This fee will
be used to offset costs for maintenance and upkeep of the facilities.
Security Guards:
Security may be required, based on the type of event, number and/or age of participants, etc. Security shall be
required for any event where alcoholic beverages are served. The number of Security Officers required shall be
determined in accordance with Section 15 of this manual.
Event Production Services:
Stage technicians, including sound, spotlight operators, stagehands, riggers, forklift operators, etc. are arranged
for by the Facility. The Lessee shall be responsible for the payment of the services. Labor charges are provided
upon request. Note: A 17% charge will be added to the total labor bill for event production. This charge covers
expenses for Social Security, unemployment tax, and payroll administration. Time and a half after 12:00 a.m. will
be charged on all production personnel. Any work schedule exceeding 6 hours shall require a paid meal break of at
least I hour or a meal shall be furnished. Food and/or drinks (soft drinks, coffee, etc.) shall be furnished or one 15
minute break every three hours.
Penalties: Break - $5.00/Stagehand
Meal - $10/Stagehand
Note: - Any event in the Theater, Banquet Hall, Exhibit Hall, Coliseum or Auditorium which requires use of the
house sound system will normally require a sound technician at the current wage scale. Any exceptions to this
requirement must be approved in advance by the Technical Coordinator. Use of concert staging will require
stagehands for set-up and take-down at the Lessee's expense at the current wage scale.
Sound is not available in single meeting rooms.
Lessee must confirm stage size, and other requirements such as followspot operators, one week prior to the
event. Absolutely no changes in stage size or configuration will be permitted within 48 hours notice prior to the day
of the event.
Band/DJ Polices
Bands not using house stagehands will have one (l) hour after an event's "contracted out time" to remove
equipment from the building.
At the expense of the Lessee one (1) police officer will be required to remain on premises until the band is
out of the building.
• Banquet Hall
Any band not out of the building within the one (1) hour time frame will cause the Lessee to be billed for
building overtime charges. Overtime charges are $150.00 per hour or a portion thereof. A cash deposit of
$200.00 to cover these expenses is to be paid prior to the event. Any unused moneys will be refunded the
next business day following the event.
Exhibit Hall
Any band not out of the building within the two (2) hour time frame will cause the Lessee to be billed for
building overtime charges. Overtime charges are $250.00 per hour or portion thereof. A cash deposit of
15
$300.00 to cover these expenses is to be paid prior to the event. Any unused moneys will be refunded the
next business day following the event.
Food/Beverage Services:
Concessions:
The Facility has a contract with Civic Lubbock, Inc., a non-profit 501(c)3 corporation, to operate and/or control
all concessions stands and soft drink/coffee setups. Charges for food and beverage services are available upon
request. In the event that an exhibitor requests food/beverage services, the Lessee will be billed for these services
and the Lessee will be responsible for getting reimbursement from their exhibitors. Any exception to this policy
must be approved by the Facility management, the Lessee and the Exhibitor.
Alcoholic Beverages:
Civic Lubbock, Inc. operates and/or controls all alcoholic beverages sales. In accordance with the Texas
Alcoholic Beverage Commission rules and regulations, alcoholic beverages shall not be brought onto or removed
from the premises by any Lessee, participant, exhibitor, or patron. It will be the responsibility of the Lessee to
insure that the law is followed. The same policy applies as stated above in regard to exhibitors requesting alcoholic
beverage services.
There will be a charge for bartenders at the current wage scale with a 4 hour minimum (to include set-up and
clean-up) for open or cash bars for which sales do not exceed $200.00.
Proceeds generated by Civic Lubbock, Inc. from the sale of concessions are used to fund public art programs and
projects in or on City -owned property and provide educational, cultural and entertainment activities in the Civic
Center and Auditorium -Coliseum.
Tablecloths:
• Tablecloths can either be provided by the caterer or the Facility. If the Facility provides the tablecloths, prices
are available upon request.
Note: All labor charges are subject to the current wage scale at the time of the event.
16
Exhibit B
1. Complete Ice floor,
2. Ice Plant and Refrigeration equipment,
3. Dressing room modifications,
4. Scoreboard modifications,
5. Lighting renovations/modifications,
6. Storage modifications/additions,
7. Office space modification, if WPHL chooses this option,
8. Ice floor covering,
9. Complete dasher board system wlaccessories,
10. Zamboni machines, and
11. Any other items as mutually agreed upon by WPHL and City.
Tommy Gonzalez
City Of Lubbock
162513 1h Street
Lubbock, TX 79457
Dear Tommy:
June 18, 1999
Please find attached the necessary documents relating to the Performance and Payment
Bonds for the Lubbock Ice Rink project for the Lubbock Municipal Coliseum, pursuant to
the executed lease agreement between the City of Lubbock and South Plains
Professional Hockey Club, Ltd.
t.
Thank you for your help expediting the issuing of, the Notice to Proceed, K you haVe any
questions call me at 747-7825.
Sincerely,
Mark Adams
General Manager/Owner
cc: Bill Dehass
i
4405 Brownfield Highway • Lubbock, Texas 79407 • 806.747.7825 • Fax/806.792.8396 • wwwflubbockcotJonikings.con
If" k
OMC -0010290
STATUTORY PAYMENT BOND PURSUANT TO SECTION 2253.021(a)
OF THE TEXAS GOVERNMENT CODE
(CONTRACTS MORE THAN $25.000)
South Plains Professional Hockey Club, LTD.
KNOW ALL MEN BY THESE PRESENTS, that (hereinafter called the Principstl(s), as
Principal(s}, and
Mid -Continent Casualty Company
(hereinafter called the SureTf s), as Suretdy(s} held arxt r*b unto the City of Lubbock (hereinafter called the
Obligee), in the amount of lliree Hundred ousan pillars ($3ffl -W lawful money of the
United States for the payment whereof, the said Principal and Surety bind themselves, and their heirs, administrators,
executors. successors and assigns, Jointly and severally, firmly by these presents.
WHEREAS. the Principal has entered into e_perta j writterion act wlp the Obllgee, dated the 16 day of
Jtme . 19 99, to Complete the ice loor ro�ect n the
I.nbbnrk Municipal Coliseum
and said Principal under the law is required before commencing the work provided for in said contract to execute a bond in
the amount of said contract which contract is hereby referred to and made a part hereof as fully and to the same extent as
if copied at length herein,
NOW, THEREFORE, THE CONDITION OF THIS OBLIGATION IS SUCH, that If the said Principal shall pay all
claimants supplyN labor and material to him or a subcontractor In the prosecution of the work provided for in said
contra&, then, this obligation shall be void; otherwise to remain In full force and effect;
PROVIDED, HOWEVER. that this bond Is executed pursuant to the provisions of Section 225-2.021(a) of the
Texas Government Code. and all liabilities on this bond shall be determined In accordance with the provisions of said
Article to the sante extent as If It were copied at length herein.
IN WITNESS WHEREOF, the sold PVpal (a) and Surety (s) have signed and sealed this Instrument this
18 day of June 10
_Mid-['ontinent_ Casualty Company
Surety
t
.ey,
(Title) Brenda L. Smith
Attorney -In -Fact
Q.
'•.
South Plains Professional Hockey
Principal Club,
By:
JOHN R. NORWOOD,
SECRETARY /TREASURER
By: i i pi�w:pj)n�E; ^GY GReU , INC.
(Title) GENERAL PARTNER
By:
(Tice)
The undersigned surety company represents that it Is duly quallled to do business in Taxes, and hereby
designates Jerold Topliff an agent resident in Lubbock County to whom any requisite notices may be dafivered
and an whom service of process may be had in matters arising out of such suretyship.
Jerold Topliff Mid;Continent Casualty Company
9330 LBJ Freeway sure
Suite 1100 _�
Dallas TX 75243
B
r�tir y::+�7`5
�
.., e '<B�n,d"a ' ` mit li� ;
Approved as to form:
d`
City of VAU--
from'�'
C Note: tt signed by an officer of the Surety Company there must be on the a certified extracti: p'-tgw�hv5vrip
that this person has authority to sign such obligation. ff signed by an Attorney in fact, we must have co a' cho*r
attorney for our files.
No Text
4 a�
OMC -0010290
STATUTORY PERFORMANCE BOND PURSUANT TO SECTION 2253.021(a)
OF THE TEXAS GOVERNMENT CODE
(CONTRACTS MORE THAN $100,000)
South Plains Professional Hocks ,Club, LTD.
KNOW ALL MEN BY THESE PRESENTS, that (hereinafter called the Principuits), as Principel(s), and
Mid -Continent Cas
as Suretv(sh tans
unto
Obligee), in the amount of Three Hgndred Thousand*********Dollars ($,360, 000- 0-0iawtui money of the
United States for the payment whereof, the said Principal and Surety bind themselves, and their heirs, administrators,
executors, successors and assigns, jointly and severally. firmly by these presents.
WHEREAS, the Principal has entered into a certain written contract with the Obligee, dated the 16 day of
Jnnp , 19__S9t0 rnimnletp the Trp Wlnnr Prniont in
Lubbock Municival Coliseum
and said principal under the law Is required before commencing the work provided for in said contract to execute a bond in
the amount of said Contract which contract Is hereby referred to and made a part hereof as fully and to the same extent as
9 copied at length herein.
NOW, THEREFORE, THE CONDITION OF THIS OBLIGATION iS SUCH, that If the said Principal shall faithfully
perform the work in accordance with the pians, specifications and contract documents, then this obligation shell be void;
otherwise to remain In full force and effect.
PROVIDED. HOWEVER, that this bond Is executed pursuant to the provisions of Se,&Jon 2253.021(x) of the
Texas Government Code, and all liabilities on this bond shall be determined In accordance with the provisions of said
*We to the same extent as if It were copied at length herein.
IN WITNESS WHEREOF, the said Principal (s) and Surety (s) have signed and sealed this instrument this,
day Of Jung 18-22.
Mid -Continent Casualty Company
Surety
(Title) Brenda L. Smith
Attorneyo-In=Fact
t-,
e
.•-;`�
1
South Etalns ProfegginnAl Encupy Club,
Principal LTD.
By.
(T JOHN R. NORWOOD,
SECRETARY/TREASURER
By(Tltle)CROUP, INC.
GENERAL PARTNER
By:
(Title)
The undersigned surety company represents that It Is duly qualitted to do business In Texas, and hereby
designates Jerold Tovlifdn agent resident in Lubbock County to whom any requisite notices may be delivered and on
whom service of process may be had In matters arising out of such suretyship.
`a
Mid -Continent Casualty Company
Jerold Topliff
Surety
9330 LBJ Freeway
Suite 1100
Dallas T% 75243
.BY
(Tito)
Approved as to Form
Attorneysac
City of Lubbock
�: a
City Attomey
Note: If signed by an otficer of the Surety Company, there must be on tale a certified extract from the by4&i stwwing
that this person hes authority to sign such obligation.
If slgned by an attorney in Fact, use roust have copy of power of
attorney for our files.
`a
No Text
Beni: ~by: RCS/RMS 2058412106; 06/18/99 7:07AM;)ttFiz #932; Page 2
Abbreviated Form of Agreement Between Owner and
Contractor for Construction projects of Limited Scope
where the b is of payment Is the Cast of the; Work Plus a
Fewith a Guaranteed Maximum price
0PAIA Document Al 17 - Electronic Format
'fll1S IXX:UMEN'r IIAS IMPORTANT LEGAL. C'ONSEOLMENCES: CONSULTATION WIT11 AN A'n'OICNEY IS FNCOURAGED WITH RESPECT TO US
COMPLETION OR MODIFICATION. AUTHENTICATION OF THIS ELECTRONICALLY DRAFT213 AIA TIO(IUML.NT MAY HE MADE BY USING: AIA
JX)Ct1MENT 0801.
This document includes abbrevistcd General Conditions and should not be used with other enteral conditions. It ltss been approved and endorsed by TIS Associated
Cienerrl Contractors orArnerica.
Copyright 1979, 1987 by The American Institute of Arohitecu,1735 New York Avenue, N.W., Washington, D.C.., 20006.3292. Portions of this docurnem are derived
from AIA Document A 111, Standard Form of Agreement 19ctwecn Owner and Contractor where the basis of payment is the Cost of the Work Plus a Fee, copynght
1997 and earlier years. and AIA nocument A201, General Conditions of the Con= for Construction, copyright 1957 and earlier years. Reproduction of the matensl
herein or substantial quotation of its provisions without written permission Of the AIA violates the copyright laws of the United Stated and will he subject to legal
prosecution
AGRSEM5NT
made as of the = day of lune, in the year of Nineteen Hundred and Lonely -nine (6/161991,
BETWEEN the Owner:
(Name arod address/
SouthPins Profelosional Hockey Club, l.td
445 Browltfield Hwy
Lub arck, 'L7. 79407
and the Contractor:
(Name raid attdt*4
Refrig rated nnstructinn Service& Inc.
R ant
.Commerce Street
Birmingham AL 31217
The Project is:
(Name and location)
LuhhockIce Rink
Lubbock memorial Civic Centel
Municn-al Auditorium) Colassourn
1503 1Uh SMcet
Lubbock. TX 79401
The Architect is:
(Nalw and address/
AIA DOCUMENT A117 - ARBRUY1ATAn vOST•PI.-us OWNER -CONTRACTOR AGREEMFNT - SECOND EDIIION - AIA - COPYRtG11T 1987 • THE
AMFRICAN INSTITUTE OF ARMTECTS, 1735 NEW YORK AVENUE, N.W., WASHINGTON D.C., 20316.5291. WARNINGi Unlicensed photocopying
vsulatcs U.S. capyrisht htwe and is subject eo lesul prosecution, . Phis document was eloctrenically produced with porrttiaa:on of the AIA and can be reproduced
without violation usitil the data of expiration as noted below.
Plectronic For=t A117-15167
User Document: LUBBOCK.DOC — 611811999. AIA License Number 108996, which expires on 7/1611999 — Page 91
Sent -by: RCS/RMS 2058412106; 06/18/99 7:07AM•
,JAtFsx #932; Page 3/16
The Owner and C:oatrAC10f ague as set forth below.
AIA DOC'UMF.NT AIt7 - AREPEVIATED COST-PLUS OWNER -CONTRACTOR AGRI.-FMENT - SECOND FAIrwN - AIA - COPYRIGHT 1497 - THL
AMERICAN INSTI'T'UTE OF ARCHITECTS, 1733 NL'W YORK AVENUE, N.W., WASHINGTON D.C., 20006.529. WARNING: Unlicensed phowcopying
Violat $ U.S. copyright laws and to subject to legal putsecution.. This docunvat was elcctronically produced with permiasion or the AIA and can he rgvoduccd
without vtolution until the date of expiration as noted ix -low.
Electronic Format A t 17.19$7
User Document: LUBSOCK.DOC — 6/18/1999. AIA License Number 108996, which expires on 7/16/1999 -- Page
Sent by: RCS/RMS 2058412106; 08/18/99 7:08AM;jctFex #932;Pege 4/16
ARTICLE 1
THE WORK OF THIS CONTRACT
1.1 The Contractor shall execute the entire Work described in the Contract Documents, except to the extent
specifically indicated in the Contract Documents to be the responsibility of others, or as follows:
Al A2 Ml M2 3 Rt Et E2 F3 S.,Scgpe of Work. S1
ARTICLE 2
RELATIONSHIP OF THE PARTIES
2.1 The Contractor accepts the relationship of trust and confidence established by this Agreement and covenants with
the Owner to cooperate with the Architect and utilize the Contractor's best skill, efforts and judgment in furthering the
interests of the Owner; to furnish efficient business administration and supervision; to make best efforts to furnish at all
times an adequate supply of workers and materials; and to perform the Work in the best way and most expeditious and
economical manner consistent with the interests of the Owner, The Owner agrees to exercise best efforts to enable the
Contractor to perform the Work in the best way and most expeditious manner by furnishing and approving in a timely way
information required by the Contrector and making payments to the Contractor in accordance with the requirements of the
Contract Documents,
ARTICLE 3
DATE OF COMMENCEMENT AND SUBSTANTIAL COMPLETION
3.1 The date of commencement is the date from which the Contract Time of Paragraph 3.2 is measured, and shall be
the date of this Agreement, as first written above, unless a different date is stated below or provision is made for the date
to be fixed in a notice to proceed issued by the Owner.
rinsRrt the date of commencement, if if dyers ffarn the dale of this Agreement or, if epplicable, stale that the dair will he fitted in a notice to prwswi,;
!u en 16_L99-2
3,2 The Contractor shall achieve Substantial Completion of the entire Work not later than
t'lrttert the Palentitrr date or numoer of cditndar days after die date of remmencament. Also insert any requirements for earlier sukla itial !:t»npterion of cert,,,
p(M'rlaru of the Work if not staled elsewhere in the Contract Documents.)
AugustID, 99
, subject to adjustments of this Contract Time as provided in the Contract Documents.
ilesert provisim, if may, for liquidated datildres rekuiag to faiture to eamplele Ott time)
ARTICLE 4
CONTRACT SUM
4.1 The Owner shall pay the Contractor in current funds for the Contractor's performance of the Contract Sum the
Contract Sum consisting of the Cost of the Work as defined in Article 5 and the Contractor's Fee determined as follows:
(.Staid if hemp sum, percuuagr of Cosr of the Work or other prov sion for determining the Contractor's Fee, and etplain how the Contractor's Fee is ro be attrsted for
ck,ages is Me Work.)
cost plus " of to exceed" $300,000.00. This figure includes 1 "r fit and1(1°11% overhead
4.2 GUARANTEED MAXIMUM PRICE (IF APPLICABLE)
4.2.1 The sum of the Cost of the Work and the Contractor's Fee Is guaranteed by the Contractor not to exceed Three
AIA DOC'UMENT All? • ABBR$VIATEU COST-PLUS OWNER -CONTRACTOR AOREFMENT - SECOND EDITION - AIA - COPYRIGHT 1997 - 7HE
AMMKICAN INSTITUTi' OF ARCHITECTS., 11713 NFW YORK AVENUC, N.W., WASHINGTON D.C., 20006.5293. WARNING; Unlicensed photocopying
viulxtas U.S. copyright laws and is subject to legal protat:utinn. This document was electronically produced with pom'tission or the ATA and can be reptuduced
witlwut violation until the date of expiration as rioted below.
Electronic Format A117-1987
User Document: LUBBOCK.DOC -- 6/1a/1999. AIA License Number 106996, which expires on 7/1811999 -- Page t/3
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hundred thousand and 001100 Dollars ($300,00,00), subject to additions and deductions by Change Order as provided in
the Contract Documents. Such maximum sum is referred to in the Contract Documents as the Guaranteed Maximum
Price. Costs which would cause the Guaranteed Maximum Price to be exceeded shall be paid by the Contractor without
reimbursement by the Owner.
Onxe.►t specific provisions ff the Conrrarter is to partiripatt in any savings,)
4.2.2 The Guaranteed Maximum Price is based upon the Following alternates, if any, which are described in the
Contract Documents and are hereby accepted by the Owner.
(State the nuink'ri or other ideM(frCaiio4 of any accepted alternatrr, hai only ije Guaranteed Maxim win Price is inserted in Subparagraph 4.11. 11decisions on ether
alrernares an to be aMade by the Owner stihsepe i to the execution of 11ris Agreement, attach a schedule of such other alternates shawigg the amount fur each and Mr.
date wail which #liar amount is veins.)
4,2.3 The amounts agreed to for unit prices, if any, are:
(State. nnir prices only if a tivaranteed Maxltnum Price is inserted in Subparagraph 4.21)
ARTICLE 5
COSTS TO BE REIMBURSED
5.1 The term "Cost of the Work" shall mean costs necessarily incurred by the Contractor in the proper performance of
the Work. Such costs shall be at rates not higher than the standard paid at the place of the Project except with prior
consent of the Owner. The Cost of the Work shall include only the items set forth in this Article b.
6.1.1 Wages of construction workers directly employed by the Contractor to perform the construction of the Work,
Including welfare, unemployment compensation, social security and other benefits.
5.1.2 Costs, including transportation, of materials and equipment incorporated or to be incorporated in the completed
construction. All discounts for cash or prompt payment shall accrue to the Contractor.
5.1.3 Payments made by the Contractor to Subcontractors in accordance with the requirements of the subcontracts.
3.1,4 Cost of all materials, temporary facilities, equipment and hand tools not customarily owned by the construction
workers, which are provided by the Contractor at the site and fully consumed In the performance of the Work.
5.1.5 Reasonable rental costs for necessary temporary facillUes, machinery, equipment, tend hand tools used at the site
of the Work, whether rented from the Contractor or others. Rates and quantities of equipment rented shall be subject to
the Owner's prior approval.
5.1.6 That portion directly attributable to this Contract of premiums for insurance and bonds.
5.1.7 Losses and expenses, not compensated by insurance or otherwise, sustained by the Contractor in connection
with the Work, provided they have resulted from causes other than the fault or neglect of the Contractor.
6.1.8 Costs of removal of debris from the site,
AIA OWUMEN1' Al 17 • ARBREVIATED COST-PLUS OWNER -CONTRACTOR MiRF.EMENr - SECOND EDITION - AIA • COPY[tIGM 1987 • THE
AMERICAN INSTITUTE OF ARCHITE.c78, 1733 NEW YORK AVENUE, N.W., WASHINGTON D.C., 2t1W-IM. WARNING; Uniicenced phatuaupyLnJ
violatce U.S. copyright iiM't snd is subject to legel prosecution.. This doctnnont wtts olectimically produced with permission of the AIA and can he r+eproducvd
without violation unfit the data of expiration OX noted below.
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6.1.9 Costs incurred in taking action to prevent threatened damage, injury or loss In case of an emergency affecting the
safety of persons and property.
5.1.10 Other costs incurred in the performance of the Work if and to the extent approved in advance in writing by the
Owner.
Were javert awdiftcatiatts ur )iwiro ions to any oftia abase suhpaWrap.U.)
ARTICLE 6
COSTS NOT TO BE REIMBURSED
6.1 The Cost of the Work shall not include:
6.1.1 Salaries and other compensation of the Contractor's personnel stationed at the Contractor's principal office or
offices other than the site office, except as may be provided in Article 26.
6.1.2 Expenses of the Contractor's principal office and offices other than the site office.
6.1.3 Overhead and general expenses. except as may be expressly included in Article 5.
6.1.4 The Contractor's capital expenses, including interest on the Contractor's capital employed for the Work.
6.1.5 Rental costs of machinery and equipment, except as specifically provided In Subparagraph 5.1.5.
6.1.6 Except as provided in Paragraph 10.2 of this Agreement, costs due to the fault or negligence of the Contractor,
Subcontractors, anyone directly or indirectly employed by any of them, or for whose sets any of them may be liable,
including, but not limited to, costs for the correction of damaged, defective or nonconforming Work, disposal and
replacement of materials and equipment Incorrectly ordered or supplied, and making good damage to property not
forming part of the Work.
6.1.7 Any cost not specifics Illy and expressly described in Article 5.
6.1.8 Costs which would cause the Guaranteed Maximum Price, if any, to be exceeded.
ARTICLE 7
DISCOUNTS, REBATES AND REFUNDS
7.1 Cash discounts obtained on payments made by the Contractor shall accrue to the Owner if (1) before making the
payment, the Contractor included them in an Application for Payment and received payment therefor from the Owner, or
(2) the Owner has deposited funds with the Contractor with which to make payments; otherwise, cash discounts shall
accrue to the Contractor. Trade discounts, rebates, refunds and amounts received from sales of surplus materials and
AIA DOCUbar_rrr AI17 - ARSPEVIATED COST-PLUS OWNER -CONTRACTOR AGREEMENT - SECOND EDITION - AIA - COPYRIGHT 1987 - THE
AMERICAN INSTITUTE OF ARCHITECTS, 1735 KM YORK AVENUE, N.W., WASHINUTON D.C., 20M6-5292. WARNING; Unlicensed phuuxapyins
violates U.S. copyrISM laws aad is subject to legal prosecution.. This doeument was electronically produced with petmisbion of the AIA and can he (vproduced
without violation until the date of expiration as noted below,
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equipment shall accrue to the Owner, and the Contractor shall make provisions so that they can be secured.
7.2 Amounts which accrue to the Owner in accordance with the provisions of Paragraph 7.1 shall be credited to the
Owner as a deduction from the Cost of the Work.
ARTICLE 8
ACCOUNTING RECORDS
8.1 The Contractor shall keep full and detailed accounts and exercise such controls as may be necessary for proper
financial management under this Contract; the accounting and control systems shall be satisfactory to the Owner, The
Owner and the Owners accountants shall be afforded access to the Contractor's records relating to this Contract. The
Contractor shall preserve these records for a period of three years after final payment, or for such longer period as may
be required by law.
ARTICLE 9
PROGRESS PAYMENTS
9.1 Based upon Applications for Payment submitted to the Architect by the Contractor and Certificates for Payment
issued by the Architect, the Owner shall make progress payments on account of the Contract Sum to the Contractor as
provided in the Contract Documents. The period covered by each Application for Payment shall be one calendar month
ending on the last day of the month, or as follows:
r and of month. PzyMCnt wilt be_due l t w, rk'n i�ay of the following month, with n rctainaee held bvAb owner
-
9.2
the project is substantially complete.
9.2 Payments due and unpaid under the Contract shall bear interest from the date payment is due at the rate stated
below, or in the absence thereof, at the legal rate prevailing from time to time at the place where the Project is located.
(insert arty rare of iaterest agreed tepoe. #'agv.)
04ury laws and requirements under the Aederal %meth in Lending dci, similar state and local cotumer credit laws and ocher regnlatioxe at the: Owntir's and
r'oneraetar'r principal placer of businers, tit# loruiion of the Project am! elsewhane may ggfci the MAdity gf'tltis provision. Legal advi(m should be obtainerd wtth
respect to deletions or ,sod y7catio,ts. and also negan'fing rquie ttents sueh as wrisien disclosures or waivers.)
ARTICLE 10
FINAL PAYMENT
10.1 Final payment, constituting the entire unpaid balance of the Contract Sum, shall be paid by the Owner to the
Contractor when (1) the Contract has been fully performed by the Contractor except for the Contractor's responsibility to
correct nonconforming Work and to satisfy other requirements, if any, which necessarily survive final payment, and (2) a
final Certificate for Payment has been issued by the Architect.
10.2 It. subsequent to final payment and at the Owner's request, the Contractor incurs costs described In Article 5 and
not excluded by Article 6 to correct defective or nonconforming Work, the Owner shall reimburse the Contractor such
costs and the Contractor's Fee applicable thereto on the same basis as If such costs had been incurred prior to final
payment, but not in excess of the Guaranteed Maximum Price, if any. If the Contractor h€ls participated in savings as
provided in Subparagraph 4.2.1, the amount of such savings shall be recalculated and appropriate credit given to the
Owner in determining the net amount to be paid by the Owner to the Contractor.
AIA DOCUMENT Al 17 - ASSR2VIATED COST-PLUS OWNER -CONTRACTOR AGREEMENT - SGCc7NU ED111014 - AIA - COPYRIGHT 1987 - I'H!_
AMERICAN INSTITUTE. OF ARCHITECTS, 1733 NEW YURJL AVENUE, N.W., WASHINGTON D.C., 20WO-5292. WARNING, Unlicenwd phutucapying
violates U.S. copyright laws and is subject to local prosecution, , This document was clecttonically produced with Permission of the AIA and can he rq-4oduCed
without violation until the date of expimtion is noted below,
Flectronic Format A117-1987
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ARTICLE 11
ENUMERATION OF CONTRACT DOCUMENTS
11.1 The Contract Documents are listed In Article 12 and, except for Modifications Issued after execution of this
Agreement. are enumerated as follows:
11.1.1 The Agreement is alis executed Abbreviated Form of Agreement BeWmen Owner and Contractor, AIA Document
Al 17, 1987 Edition.
11 .1.2 The Supplementary and other Condltions of the Contract are those contained in tha Project Manual dated . and
are as follows'
Document
Title
Pages
11.1.3 The Specifications are those contained in the Project Manual dated as in Subparagraph 11.1.2, and are as
follows:
(8incur fist the Spec$calfans here or refer to an exhibit attached to This agreement.)
Section Title Pages
11.1.4 The Drawings are as follows, and are dated unless a different date is stated below:
184ther list the &ah*kgs here or rider to an exhibit attached to this Agreement.)
Number Title Date
11.1.5 The Addenda, if any, areas follows:
Number Date Pages
Portions of Addenda relating to bidding requirements are not part of the Contract Documents unless the bidding
requirements are also enumerated in this Article 11.
11.9.6 Other documents, if any, forming part of the Contract Documents are as follows:
/Lit, here any aViriunaf doewieats which twe intended to form part of A1W Contract Documents.)
AIA DOCUMENT All 7 - A13HR EVIA'I-ED COST-PLUS OWNER -CONTRACTOR AGREEMENT - SECOND EDITION - AIA - c:APYRIGHT' 198? . 'THE
AMMIC-4,N INSTITUTE OF ARCHITECTS, 1735 NEW YORK AVENUE, NV, WASHINGTON D.C. 20DOC-5292. WARNING, UrHicensed photmapyit>y;
violates U.S. copyright laws and is subject to IePl prosecution.. 'Phis document was clectrrmcally produced with permiss.on of the AIA and can he reprnduccd
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ARTICLE 12
CONTRACT DOCUMENTS
2058412106; 06/18199 7:10AM;kt&x_#932;Page 9116
GENERAL CONDITIONS
12.1 The Contract Documents consist of this
Agreement with Conditions of the Contract (General,
Supplementary and other Conditions), Drawings,
Specifications, addenda Issued prior to execution of this
Agreement, other documents listed in this Agreement
and Modifications issued after execution of this
Agreement. The intent of the Contract Documents is to
include all items necessary for the proper execution and
completion of the Work by the Contractor. The Contract
Documents are complementary, and what Is required by
one shall be es binding as if required by all;
performance by the Contractor shall be required only to
the extent consistent with the Contract Documents and
reasonably inferable from them as being necessary to
produce the intended results.
12.2 The Contract Documents shall not be construed
to create a contractual relationship of any kind (1)
between the Architect and Contractor, (2) between the
Owner and a Subcontractor or Sub -subcontractor or (3)
between any persons or entities other than the Owner
and Contractor.
12.3 Execution of the Contract by the Contractor is a
representation that the Contractor has visited the site
and become familiar with the local conditions under
which the Work is to be performed.
12.4 The term "Work" means the construction and
services required by the Contract Documents, whether
completed or partially completed, and includes all other
labor, materials, equipment and services provided or to
be provided by the Contractor to fulfill the Contractor's
obligations. The Work may constitute the whole or a
part of the Project.
ARTICLE 13
OWNER
13.1 The Owner shall furnish surveys and a legal
description of the site.
13.2 Except for permits and fees which are the
responsibility of the Contractor under the Contract
Documents, the Owner shall secure and pay for
necessary approvals, easements, assessments and
charges required for the construction, use or occupancy
of permanent structures or permanent changes in
existing facilities.
13.3 If the Contractor fails to correct Work which is
not in accordance with the requirements of the Contract
Documents or persistently falls to carry out the Work in
accordance with the Contract Documents, the Owner,
by a written order, may order the Contractor to stop the
Work, or any portion thereof, until the cause for such
order has been eliminated; however, the right of the
Owner to stop the Work shag not give rise to a duty on
the part of the Owner to exercise this right for the benefit
of the Contractor or any other person or entity.
ARTICLE 14
CONTRACTOR
14.1 The Contractor shall supervise and direct the
Work, using the Contractor's best skill and attention.
The Contractor shall be solely responsible for and have
control over construction means, methods, techniques,
sequences and procedures and for coordinating all
portions of the Work under the Contract, unless
Contract Documents give other specific instructions
concerning these matters.
14.2 Unless ottlerwise, provided in the Contract
Documents, the Contractor shall provide and pay for
labor, materials, equipment, tools. construction
equipment and machinery, water, heat, utilities,
transportation, and otheir facilities and services
necessary for the proper execution and completion of
the Work, whether temporary or permanent and whether
or not incorporated or to be incorporated in the Work.
14.3 The Contractor shaft enforce strict discipline and
good order among the Contractor's employees and
other persons carrying out the Contract, The Contractor
AIA DOCUMIENT Ali? - A8131tEVJATED COST -PUPS OWNER -CONTRACTOR AC'sREEMI l' - SECOND EDI11ON - AIA - COPYRIGHT 1987 - THE
A!uIRRICAN INSTITUTE OF ARC:HITIECTS. 173$ NF -W YORK AVENUE, N.W., WASHINCIMN n.C., 20006.5297 WARNING; Unlicensed photocopyltlg
violates U.S. copyright laws and is subject lu legal prosetvlion.. This dwunwnt was elecouniculiy produced with pemwssion of tete AIA pod can be repnxittned
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shall not permit employment of unfit persons or persons
not skilled in tasks assigned to them.
14.4 The Contractor warrants to the Owner and
Architect that materials and equipment furnished under
the Contract will be of good quality and new unless
otherwise required or permitted by the Contract
Documents, that the Work will be free from defects not
inherent in the quality required or permitted, and that the
Work will conform with the requirements of the Contract
Documents. Work not conforming to these
requirements, including substitutions not properly
approved and authorized, may be considered defective,
The Contractor's warranty excludes remedy for damage
or defect caused by abuse, modifications not executed
by the Contractor. improper or insufficient maintenance,
improper operation, or normal wear and tear under
normal usage. If required by the Architect, the
Contractor shalt furnish satisfactory evidence as to the
kind and quality of materials and equipment.
14.5 Unless otherwise provided in the Contract
Documents, the Contractor shall pay sales, consumer,
use, and other similar taxes which are legally enacted
when bids are received or negotiations concluded,
whether or not yet effective or merely scheduled to go
Into effect, and shall secure and pay for the building
permit and other permits and governmental fees,
licenses and inspections necessary for proper execution
and completion of the Work.
14.6 The Contractor shall comply with and give
notices required by taws, ordinances, rules, regulations,
and lawful orders of public authorities bearing on
performance of the Work. The Contractor shall
promptly notify the Architect and Owner if the Drawings
and Specifications are observed by the Contractor to be
at variance therewith.
14.7 The Contractor shall be responsible to the
Owner for the acts and omissions of the Contractor's
employees, Subcontractors and their agents and
employees, and other persons performing portions of
the Work under a contract with the Contractor,
14.8 The Contractor shall review, approve and
submit to the Architect Shop Drawings, Product Data,
Samples and similar submittals required by the Contract
Documents with reasonable promptness. The Work
shall be in accordance wit.', approved submittals. When
,professional eerlification of performance criteria of
materials, systems or equipment is required by the
Contract Documents, the Architect shall be entitled to
rely upon the accuracy and completeness of such
certifications.
14.9 The Contractor shall keep the premises and
surrounding area free from accumulation of waste
materials or rubbish caused by operations under the
Contract. At completion of the Work the Contractor
shall remove from and about the Project waste
materials, rubbish, the Contractor's tools, construction
equipment, machinery and surplus materials.
14.16 The Contractor shall provide the Owner and
Architect access to the Work in preparation and
progress wherever located.
14.11 The Contractor shall pay all royalties and
license fees; shall defend suits or claims for
infringement of patent rights and shall hold the Owner
harmless from loss on account thereof, but shall not be
responsible for such defense or loss when a particular
design, process or product of a particular manufacturer
or manufacturers is required by the Contract Documents
unless the Contractor has reason to believe that there is
an Infringement of patent.
14.12 To the fullest extent permitted by law, the
Contractor shall indemnify and hold harmless the
Owner, Architect, Architect's consultants, and agents
and employees of any of them from and against claims,
damages, losses and expenses, including but not limited
to attorneys' fees, arising out of or resulting from
performance of the Work, provided that such claim,
damage, loss or expense is attributable to bodily injury,
sickness, disease or death, or to injury to or destruction
of tangible property (other than the Work itself) including
loss of use resulting therefrom, but only to the extent
caused in whole or in part by negligent acts or omissions
of the Contractor, a Subcontractor, anyone directly or
indirectly employed by them or anyone for whose acts
they may be liable, regardless of whether or not such
claim, damage, loss or expense is caused in part by e
party indemnified hereunder. Such obligation shall not
be construed to negate, abridge, or reduce other rights
or obligations of Indemnity which would otherwise exist
as to a party or person described in this Paragraph
14.12.
ALA UOC'UMENT A117 - ABBREVIATED COST-PLUS OWN ER -CONTRACTOR AC}REEMFNT • SECOND GDITION - AIA - COMUG11T 14*7 - THF
AMERLCAN INSTITUTE OF ARL'HrrELTS, 1775 NEW YORK AVENUE, N.W„ WASIIINGTON D.C., 2EMM-3292• WARNING; Unlicensed phamopyigg
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1412.1 In claims against any person or entity
indemnified under this Paragraph 14.12 by an employee
of the Contractor, a Subcontractor, anyone directly or
indirectly employed by them or anyone for whose acts
they may be liable, the indemnification obligation under
this Paragraph 14.12 shall not be limited by a limitation
on amount or type of damages, compensation or
benefits payable by or for the Contractor or a
Subcontractor under workers' or workmen's
compensation acts, disability benefit acts or other
employee benefit acts.
14.12.2 The obligations of the Contractor under this
Paragraph 14.12 shall not extend to the liability of the
Architect, the Architect's consultants, and agents and
employees of any of them arising out of (1) the
preparation or approval of maps, drawings, opinions,
reports, surveys, Change Orders, Construction Change
Directives, designs or spec cations, or (2) the giving of
or the failure to give directions or instructions by the
Architect, the Architect's consultants, and agents and
employees of any of them provided such giving or failure
to give is the primary cause of the injury or damage.
ARTICLE 15
ADMINISTRATION OF THE CONTRACT
15.1 The Architect will provide administration of the
Contract and will be the Owner's representative (1)
during construction, (2) until final payment is due and (3)
with the Owner's concurrence, from time to time during
the correction period described in Paragraph 23.1.
15.2 The Architect will visit the site at intervals
appropriate to the stage of construction to become
generally familiar with the progress and quality of the
completed Work and to determine in general if the Work
is being performed
in a manner indicating that the Work, when completed,
will be in accordance with the Contract Documents.
However, the Architect will not be required to make
exhaustive or continuous on-site inspections to check
quality or quantity of the Work. On the basis of on-site
observations as an architect, the Architect will keep the
Owner informed of progress of the Work and will
endeavor to guard the Owner against defects and
deficiencies in the Work.
16.3 The Architect will not have control over or
charge of and will not be responsible for construction
means, methods, techniques, sequences or procedures,
or for safety precautions and programs in connection
with the Work, since these are solely the Contractor's
responsibility as provided in Paragraphs 14.1 and 21.1.
The Architect will not be responsible for the Contractor's
failure to carry out the Work in accordance with the
Contract Documents.
15.4 Based on the Architect's observations and
evaluations of the Contractors Applications for
Payment, the Architect will review and certify the
amounts due the Contractor and will issue Certificates
for Payment in such amounts.
15.5 The Architect will interpret and decide matters
concerning performance under and requirements of the
Contract Documents on written request of either the
Owner or Contractor, The Architect will make initial
decisions on all claims, disputes or other matters in
question between the Owner and Contractor, but will not
be liable for results of any interpretations or decisions
rendered in good faith. The Architect's decisions in
matters relating to aesthetic effect will be final if
consistent with the intent expressed in the Contract
Documents. All other decisions of the Architect, except
those which have been waived by making or acceptance
of final payment, shall be subject to arbitration upon the
written demand of either party.
15.6 The Architect will have authority to reject Work
which does not conform to the Contract Documents,
15.7 The Architect will review and approve or take
other appropriate action upon the Contractor's
submittals such as Shop Drawings, Product Data and
Samples, but only for the limited purpose of checking for
conformance with information given and the design
concept expressed in the Contract Documents.
15.9 All claims or disputes between the Contractor
and the Owner arising out of or relating to the Contract
Documents, or the breach thereof, shall be decided by
arbitration in accordance with the Construction Industry
Arbitration Rules of the American Arbitration Association
currently in effect unless the parties mutually agree
otherwise and subject to min initial presentation of the
claim or dispute to the Architect as required under
Paragraph 16.6. Notice of the demand for arbitration
shall be filed in writing with the other party to this
AIA DOCLIMENT A117 - ABBREVIATED COST-PLUS OWNER-CON7RACTOCt AGREEMPN'r - SeC:()Nn EDITION - AIA • COPYR(Gwr IcM7 - TI{F
AMERICAN INSTITUTE OF ARCHITECTS, 1733 NEW YORK AVENUE, NX. WASHINGTON D.C. 20006-3202. WARNING Unlicensed photwopying
vallatos U.S, copyright laws and is subject w IeEa1 prosceution.. This document was electronically produced with Permission of the AIA and can be reproduced
without violation until the elate ores piration as notrd below.
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Agreement and with the American Arbitration
Association and shall be made within a reasonable time
after the dispute has arisen. The award rendered by the
arbitrator or arbitrators shall be final, and judgment may
be entered upon it in accordance with applicable law in
any court having jurisdiction thereof. Except by written
consent of the person or entity sought to be joined, no
arbitration arising out of or relating to the Contract
Documents shall include, by consolidation, joinder or in
any other manner, any person or entity not a party to the
Agreement under which such arbitration arises, unless it
Is shown at the time the demand for arbitration is fled
that (1) such person or entity is substantial;y involved In
a common question of fact or law, (2) the presence of
such person or entity is required if complete relief is to
be accorded in the arbitration, (3) the interest or
responsibility of such person or entity in the matter is not
insubstantial, and (4) such person or entity is not the
Architect or any of the Architect's employees or
consultants, The agreement herein among the parties
to the Agreement and any other written agreement to
arbitrate referred to herein shall be specifically
enforceable under applicable law in any court having
jurisdiction thereof.
ARTICLE 16
SUBCONTRACTS
16.1 A Subcontractor is a person or entity who has a
direct contract with the Contractor to perform a portion
of the Work at the site.
162 Unless otherwise stated in the Contract
Documents or the bidding requirements, the Contractor,
as soon as practicable after award of the Contract, shall
furnish in writing to the Owner through the Architect the
names of the Subcontractors for each of the principal
portions of the Work. The Contractor shall not contract
with any Subcontractor to whom the Owner or Architect
has made reasonable and timely objection. The
Contractor shall not be required to contract with anyone
to whom the Contractor has made reasonable objection.
Contracts between the Contractor and Subcontractors
shall (1) require each Subcontractor, to the extent of the
Work to be performed by the Subcontractor, to be
bound to the Contractor by the terms of the Contract
Documents, and to assume toward the Contractor all
the obligations and responsibilities which the Contractor,
by the Contract Documents, assumes toward the Owner
and Architect, and (2) allow to the Subcontractor the
benefit of all rights, remedies and redress afforded to
the Contractor by these Contract Documents.
ARTICLE 17
CONSTRUC71ON BY OWNER OR
BY SEPARATE CONTRACTORS
17.1 The Owner reserves the right to perform
construction or operations related to the Project with the
Owner's own forces, and to award separate contracts In
connection with other portions of the Project or other
construction or Operations on the site under conditions
of the contract identical or substantially similar to these,
including those portions related to insurance and waiver
of subrogation. If the Contractor claims that delay or
additional cost is involved because of such action by the
Owner, the Contractor shall make such claim as
provided elsewhere in the Contract Documents.
17.2 The Contractor shall afford the Owner and
separate contractors reasonable opportunity for the
introduction and storage of their materials and
equipment and performance of their activities, and 6hall
connect and coordinate the Contractor's construction
and operations with theirs as required by the Contract
Documents.
17.3 Costs caused by delays, improperly timed
activities or defective construction shall be borne by the
party responsible therefor.
ARTICLE 18
CHANGES IW THE WORK
16.1 The Owner, without invalidating the Contract,
may order changes in the Work consisting of additions,
deletions or modifications, the Guaranteed Maximum
Cost, if any, and the Contract Time being adjusted
accordingly. Such changes in the Work shall be
authorized by written Change Order signed by the
Owner, Contractor and Architect, or by written
Construction Change Directive signed by the Owner and
Architect.
18.2 The Contract Sum and Contract Time; shall be
changed only by Change Order.
18.3 The cost or credit to the Owner from a change
in the Work shall be determined by mutual agreement.
AIA DOCUMENT A117 - A3BRFVIATFD COST-PLUS OWNL;K-COWRACTOR AGREEMENT - SECOND EDITION - AIA - COPYRIGHT 1981 • T11F
AMERICAN INSTITUTE OF ARC IITEC9'S, 1735 NEW YORX AVENUE, N.W., WASHINGTON 0,C, 20006-5392. WARNING; Unlicensed phowcopyint;
Violan U.S. copyright laws and Is suhicet to leral prusecwion.. This d=imcnt was 91CC7o11cally produced with permission of the AIA and can he rcprnducod
without violation until the data of exvirstion as noted below.
Irlactronic For=t A117-1987
User Document; LUBSOCK.DOC -- 611811999. AIA license Number 108996, which expires on 7/16/1999 -- Page #11
Sent" by: RCS/RIAS 2058412106;
ARTICLE 19
TIME
19-1 Time limits started in the Contract Documents
are of the essence of the Contract By executing the
Agreement the Contractor confirms that the Contract
Time is a reasonable period for performing the Work.
18.2 The date of Substantial Completion Is the date
certified by ft Architect in accordance with Paragraph
20.3.
19.3 if the Contractor is delayed at any time in
progress of the Work by changes ordered in the Work,
by labor disputes, fire, unusual delay in deliveries,
abnormal adverse weather conditions not reasonably
anticipatable, unavoidable casualties or any causes
beyond the Contractor's control, or by other causes
which the Architect determines may justify delay, then
the Contract Time shall be extended by Change Order
for such reasonable time as the Architect may
determine.
ARTICLE 20
PAYMENTS AND COMPLETION
20.1 Payments shall be made as provided in Articles
9 and 10 of this Agreement.
20.2 Payments may be withheld on account of (1)
defective Work not remedied, (2) claims filed by third
parties, (3) failure of the Contractor to make payments
properly to Subcontractors or for labor, materials or
equipment, (4) reasonable evidence that the Work
cannot be completed for the unpaid balance of the
Guaranteed Maximum Price, if any, (5) damage to the
Owner or another contractor, (6) reasonable evidence
that the Work will not be completed within the Contract
Time and that the unpaid balance of the Guaranteed
Maximum Price, if any, would not be adequate to cover
actual or liquidated damages for the anticipated delay,
or (7) persistent failure to carry out the Work in
accordance with the Contract Documents.
06/18199 7:13AM; JetFax #932; Page 13116
20A Final payment shall not become due until the
Contractor has delivered to the Owner a complete
release of all liens arising out of this Contract or receipts
In full covering all labor, materials and equipment for
which a lien could be filed, or a bond satisfactory to the
Owner to indemnify the Owner against such lien. If such
lien remains unsatisfied after payments are made, the
Contractor shalt refund to the Owner all money the
Owner may be compelled to pay in discharging such
lien, including all costs and reasonable attorneys' fees.
20.5 The making of final payment shall constitute a
waiver of claims by the Owner except those arising
from:
.1 liens, claims, security interests or
encumbrances arising out of the Contract
and unsettled;
.2 failure of the Work to comply with the
requirements of the Contract Documents; or
.3 terms of special warranties required by the
Contract Documents.
Acceptance of final payment by the Contractor, a
Subcontractor or material supplier shall constitute a
waiver of claims by that payee except those previously
made in writing and identified by that payee as unsettled
at the time of final Application for Payment
ARTICLE 21
PROTECTION OF PERSONS AND PROPERTY
21.1 The Contractor shall be responsible for
initiating, maintaining, and supervising all safety
precautions and programs in connection with the
performance of the Contract. The Contractor shall take
reasonable precautions for safety of, and shall provide
reasonable protection to prevent damage, injury or loss
to:
.1 employees on the Work and other persons
20.3 When the Architect agrees that the Work is who may be affected thereby;
substantially complete, the Architect will issue a
Certificate of Substantial Completion.
AIA DOCUMENT At 17 - ARHR1:VlA*nW COST -IMUS OWNER -CONTRACTOR AGREEMENT - SECOND EDITION - AIA • COPYRIGI17 1987 - 7}IL
AMERICAN INSTITUTE O ARCHITECTS, 1735 NFw YORK AVENM, N.W., WASHINGTON U.C., 20006-32112. WARNING; Unlicensed photacopytng
Vialklcs Q S. copyright laws and is subject to tegat pruse;utioe. , This document was electronically produced with pcfts;sion of the ArA and can be remroduced
without violation until the date of expiration ss nowd IN -'low.
Electronic Format A117-1987
User Document: LUSSOCK DOC -- 611811999. AIA License Number 108996, which expires on 7/16/1999 -- Page #12
Sent. by: RCS/RMS
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.2 the Work and materials and equipment to
be incorporated therein; and
.3 other property at the site or adjacent
thereto.
The Contractor shall give notices and comply with
applicable laws, ordinances, rules, regulations and
lawful orders of public authorities bearing on safety of
persons and property and their protection from damage,
Injury or loss. The Contractor shall promptly remedy
damage and loss to property at the site caused in whole
or in part by the Contractor, a Subcontractor, a
Sub -subcontractor, or anyone directly or Indirectly
employed by any of them, or by anyone for whose acts
they may be liable and for which the Contractor is
responsible under Subparagraphs 21.1.2 end 21.1.3,
except for damage or loss attributable to acts or
omissions of the Owner or Architect or by anyone for
whose acts either of them may be liable, and not
attributable to the fault or negligence of the Contractor.
The foregoing obligations of the Contractor are in
addition to the Contractor's obligations under Paragraph
14.12.
21.2 The Contractor shall not be required to perform
without consent any Work relating to asbestos or
polychlorinated biphenyl (PCB).
ARTICLE 22
INSURANCE
22.1 The Contractor shall purchase from. and
maintain in a company or companies lawfully authorized
to do business in the jurisdiction in which the Project is
located insurance for protection from claims under
workers' or workmen's compensatjon acts and other
employee benefit acts which are applicable, claims for
damages because of bodily injury, including death, and
from claims for damages, other than to the Work itself,
to property which may arise out of or result from the
Contractor's operations under the Contract, whether
such operations be by the Contractor or by a
Subcontractor or anyone directly or indirectly employed
by any of them. This Insurance shall be written for not
less than limits of liability specified in the Contract
Documents or required by law, whichever coverage is
greater, and shall include contractual liability insurance
applicable to the Contractor's obligations under
Paragraph 14.12. Certificates of such insurance shall
be tiled with the Owner prior to the commencement of
the Work.
22.2 The Owner shall be responsible for purchasing
and maintaining the Owner's usual liability insurance.
Optionally, the Owner may purchase and maintain other
insurance for self-protection against claims which may
arise from operations under the Contract. The
Contractor shall not be responsible for purchasing and
maintaining this optional Owner's liability insurance
unless specifically required by the Contract Documents.
22.3 Unless otherwise provided, the Owner shall
purchase and maintain, in a company or companies
lawfully authorized to do business In the jurisdiction in
which the Project is located, property insurance upon
the entire Work at the site to the full insurable value
thereof. This insurance shall be on an all-risk policy
form and shall include interests of the Owner, the
Contractor, Subcontractors and Sub-suboontractors in
the Work and shall insure against the perils of fire and
extended coverage and physical loss or damage
including, without duplication of coverage, theft,
vandalism and malicious mischief.
22.4 A loss insured under Owner's property
insurance shall be adjusted with the Owner and made
payable to the Owner as fiduciary for the insureds, as
their interests may appear, subject to the requirements
of any applicable mortgagee clause.
22.6 The Owner shall file a copy of each policy with
the Contractor before on exposure to loss may occur.
Each policy shall contain a provision that the policy will
not be cancelled or allowed to expire until at least 30
days' prior written notice has been given to the
Contractor.
22.6 The Owner and Contractor waive all rights
against each other and the Architect, Architect's
consultants, separate contractors described in Article
17, if any, and any of their subcontractors,
sub -subcontractors, agents and employees, for
damages caused by fire or other perils to the extent
covered by property insurance obtained pursuant to this
Article 22 or other property Insurance applicable to the
Work, except such rights as they may have to the
proceeds of such insurance held by the Owner as
fiduciary. The Contractor shall require similar waivers in
favor of the Owner end the Contractor by
AlA DOCUMENT A117 - ABBREVIATH) COST-PLUS OWNER -CONTRACTOR AGREEMENT - SKOND EDITION - AIA - C0PYRKiH7r 1987 THE
AMERICAN INSTITUTE OF ARCHITECTS. 1735 NEW YORK AVENUFI, N.W., WASHINGTON D.C, 20006-5292, WARNING; Unlicensed photocopying
violates U.S. copyright laws and is subject to legal prosecution.. This docutrnnt was electronically produced with permi-mon of the AIA and can he reproduced
without violation until the date or4vxpiratio3i as noted below.
Electronic: Format A117-1987
User Document: LUBBOCK. DOC -- 6/18/1999. AIA License Number 108996, which expires on 7/16/1999 -- Page #13
;�►
Sent -by: RCS/RMS 2058412106;
Subcontractors and Sub -subcontractors. The Owner
shall require simiiar waivers in favor of the Owner and
Contractor by the Architect, Architect's consultants,
separate contractors described in Article 17, if any, and
the subcontractors, sub -subcontractors, agents and
employees of any of them.
ARTICLE 23
CORRECTION OF WORK
23.1 The Contractor shall promptly correct Work
rejected by the Architect or failing to conform to the
requirements of the Contract Documents, whether
observed before or after Substantial Completion and
whether or not fabricated, installed or completed, and
shall correct any Work found to be not in accordance
with the requirements of the Contract Documents within
a period of one year from the date of Substantial
Completion of the Contract or by terms of an applicable
special warranty required by the Contract Documents.
The provisions of this Article 23 apply to Work done by
Subcontractors as well as to, Work done by direct
employees of the Contractor.
23.2 Nothing contained in this Article 23 shall be
construed to establish a period of limitation with respect
to other obligations which the Contractor might have
under the Contract Documents. Establishment of the
time period of one year as described in Paragraph 231
relates only to the specific obligation of the Contractor to
correct the Work, and has no relationship to the time
within which the obligation to comply with the Contract
Documents may be sought to be enforced, nor to the
time within which proceedings may be commenced to
establish the Contractor's liability with respect to the
Contractors obligations other than specifically to correct
the Work.
ARTICLE 24
MISCELLANEOUS PROVISIONS
24.1 The Contract shall be governed by the low of
the place where the Project is located.
24.2 As between the Owner and the Contractor, any
applicable statute of limitations shall commence to run
and any alleged cause of action shall be deemed to
have accrued;
.1 not later than the data of Substantial
Completion for acts or failures to act
06/18/99 7:15AM; t& #932; Page 15/16
occurring prior to the relevant date of
Substantial Completion;
.2 not later than the date of issuance of the
final Certificate for Payment for acts or
failures to act occurring subsequent to the
relevant date of Substantial Completion and
prior to issuance of the final Certificate for
Payment; and
.3 not later than the date of the relevant act or
failure to act by the Contractor for acts or
failures to act occurring after the date of the
final Certificate for Payment.
ARTICLE 25
TERMINATION OF THE CONTRACT
25.11 If the Architect fails to recommend payment for
a period of 30 days through no fault of the Contractor, or
if the Owner fails to make payment thereon for a period
of 30 days, the Contractor may, upon seven additional
days' written notice to the Owner and the Architect,
terminate the Contract and recover from the Owner
payment for all Work executed and for proven loss with
respect to materials, equipment, tools, and construction
equipment and machinery, including reasonable
overhead, profit and damages applicable to the Project,
provided that in no event shall such payment cause the
Guaranteed Maximum Price to be exceeded.
25.2 If the Contractor defaults or persistently fails or
neglects to carry out the Work In accordance with the
Contract Documents or fails to perform a provision of
the Contract. the Owner, atter seven days' written notice
to the Contractor :and without prejudice to any other
remedy the Owner may have, may make good such
deficiencies and may deduct the cost thereof, including
compensation for the Architects services and expenses
made necessary thereby, from the payment then or
thereafter due the Contractor. Alternatively, at the
Owner's option, and upon certification by the Architect
that sufficient cause existsi to justify such action, the
Owner may terminate the Contract and take possession
of the site and of all materials, equipment, tools, and
construction equipment and machinery thereon owned
by the Contractor and may finish the Work by whatever
method the Owner may deem expedient. If the unpaid
balance of the Contract Sum exceeds costs of finishing
the Work, including compensation for the Architect's
services and expenses made necessary thereby, such
AIA DOCUMENT A117 - ABBREVIATED COST-PLUS OWNL>:-CONTRACTOR AGREEMENT - SECOND CDtTION - AIA - COPYRIGHT 1987 - THE
AMERICAN INSTITUIV OF ARCHITECIN. 1733 NEW YORK AVFN1114 N.W., WASIUNGTON D.C. 24006-3292. WARNINQ unlicensed photocopying
%nolatcs U.S. capyrioa laws and is subject to le8.t1 pmecution.. This document was electronically produced with pemistion of the AIA and can he reproduced
wuhout violateon until the date of expiration as noted below.
Elcctronic Format 14117-19$7
User Document; LU660CK.DOC -- 6/16/1999. AIA License Number 106996, which expires on 7116/1999 -- Page *14
Sent -by: RCS/RMS 2058412106 06118/99 7:16AM'
u �• ,1>r:tFex #932; Page 16/16
excess shall be paid to the Contractor, but if such costs
exceed such unpaid balance, the Contractor shall pay
the difference to the Owner, provided that in no event
shall such payment cause the Guaranteed Maximum
Price, if any, to be exceeded.
ARTICLE 26
OTHER CONDITIONS OR PROVISIONS
This Agreement entered into as of the day and year first written sbove.
OWNER
ter a
H'rinled name add ride)
c0 OR
,2 5
(Printed name and title)
AIA DOCUMENT AI17 - ABBREVIATED COST-PLUS OWNER -CONTRACTOR AGRL:eMENT - SL:COND EurriON - AIA - COPYRIGHT 1987 . 'I'Hi:
AMFRIVAN INSTITUTE OF ARCHITECTS, 173: NEW YORK AVENUE, N.W., WASHIN(i'rC)N D.C., 1.0006.5292, WARNING; Unlicensed photocopying
violate* U.S Copyright laws and is *ubloct to legal prosecution., This document wat electtnnicaliy produced with permission of the AIA and eRn be mproduced
without violation until the date of espitatto" os Hated below.
Electronic Format A 117-1987
User Document: LUBROCK.DOC -- 6/18/1999. AIA License Number 108996, which expires on 7/16/1999 — Page #15