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Home My WebLink AboutResolution - 2539 - Lease Agreement - Stoneville Pedigreed Seed Company - Sewage Effluent - 03/12/1987JWF:dw RESOLUTION Resolution #2539 March 12, 1987 Agenda Item #26 BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock BE and is hereby authorized and directed to execute for and on behalf of the City of Lubbock, an Agricultural Lease Agreement to be executed by and between said City (as Lessee) and Stoneville Pedigreed Seed Company, a corporation, (as Lessor) covering approximately 300 acres in cultivation out of a 317.924 acre tract of land located in the north part of Section 20, Block S, and the south part of Section 3, Block I, all in Lubbock County, Texas, the purpose of this lease is to allow the City of Lubbock to dispose of sewerage effluent upon the leased premises to irrigate crops compatible with such waste waters attached herewith, which shall be spread upon the minutes of the Council and as spread upon the minutes of this Council shall constitute and be part of this Resolution as if fully copied herein in detail. Passed by the City Council this _12th day of March , 1987. B. C. MCMINN, MAYOR s' Ranett ~Boyd, City Secretary APP AS CO 7�� 9a Wahl, Diredf£or of Water Utilities AP TO FORM. 771 Al _ J. W rth Fullingim, Assistant 04,ty Attorney Res 2539 AGRICULTURAL LEASE STATE OF TEXAS COUNTY OF LUBBOCK § Stoneville Pedigreed Seed Company, a corporation, being the owner of the property involved in this contract herein called "Lessor" does hereby contract and agree with the City of Lubbock, a home rule municipal corporation located in Lubbock County, Texas, herein called "City", as follows, to wit: I. Lessor agrees upon the terms and conditions as hereinafter set forth to lease and hereby does lease unto City approximately 300 acres of land located in Lubbock County, Texas described as approximately 300 acres in cultivation (excluding a caliche pit) described in a warranty from J. Frank Gray et al to Stoneville Pedigreed Seed Company dated February 25, 1980, recorded in Volume 1680, Page 99 et seq. of the Deed Records of Lubbock County, Texas reference to which deed is hereby made for a more complete description of a tract of land as being a 317.924 acre tract of land lying in the north part of Section 20, Block S and the south part of Section 3, Block I of Lubbock County, Texas. II. The term of this lease is for a term of three (3) years be- ginning March 12, 1987 and ending March 11, 1990. III. This is a cash payment lease, and the City shall make an an- nual payment to Lessor in consideration for this lease of $70.00 per acre, per year for the approximately 300 acres hereby leased for a total annual cash lease payment of $21,000.00. Said annual cash lease payments in the amount of $21,000.00 shall be made by checks from the City payable to Stoneville Pedigreed Seed Company, and such checks shall be mailed at P. 0. Box 67, Stoneville Mississippi 38776, or to the last known address of the said Lessor. The three lease payments of $21,000.00 shall be made as follows: (1) The first payment shall be made on or about March 12, 1987 contemporaneously with the execution of this lease (2) The second payment shall be made on or before January 1, 1988 and (3) The third payment shall be made on or before January 1, 1989. IV. City is allowed to sublease the property herein concerned to a farm operator on a share crop type lease or a cash lease basis, or the City shall have the option of hiring an operator to farm the property under a management type contract, it being under- stood that the property, which is the subject matter of this lease, shall be utilized for the growing of crops and other agri- cultural purposes which lend themselves to irrigation by sewerage effluent waters. City shall not construct any permanent improve- ments upon the leased premises unless consented to in writing by Lessor. V. Consistent with the purposes stated in numbered Section IV of this lease, City agrees to use its best efforts to farm the land herein involved or cause same to be done in a workmanlike manner, and to use its best efforts to maintain crop allotments in good order with the programs for agriculture as same exist with the United States Department of Agriculture during the life of this lease, and City shall return the leased premises, at the expiration of this lease, in a suitable condition for customary crop farming in this area. VI. City shall have the use of the five irrigation wells on the land herein involved, all of which are equipped with pumps. City shall maintain the wells and pumps so long as feasibly economi- cally maintainable, but neither City nor Lessor shall be under any duty to replace irrigation wells if they sand down, the water table drops, or they otherwise become inoperable, and neither the City nor Lessor shall be under any duty to replace pumps which are worn out or cannot be feasibly and/or economically repaired. City shall pay all electrical power expenses in connection herewith. -2- VII. Lessor and City understand and agree that the primary pur- pose of this lease is to allow the City the right to dispose of sewerage effluent upon the leased premises to irrigate crops com- patible with such waste waters. City shall dispose of such sew- erage effluent upon the leased premises of such quality and by such methods of application and operation of such disposal so as to comply with the rules and regulations of the Tex s a Commission\kin regafd to such disposal, including but no iiDted to the avoidance of placing any kind of toxic substances on the land involved in the premises hereby leased by the City. If the City fails to dispose of the sewerage effluent as agreed in this Section VII of this Lease, City shall be liable to Lessor for re- moval of toxic material and any reduction in value of the leased premises proximately caused by such failure to dispose of the sewerage effluent as agreed in this Section VII. City shall hold Lessor harmless from any and all claims, causes of action, and judgments arising out of the City's operations upon the leased premises. VIII. This lease shall be binding upon the heirs, successors, and assigns of Lessor and City. Executed in duplicate originals as of the 12th day of March, 1987. qeATi Boyd, City Secretary APP OVED TO CONT NT: � � a .Sam hl, Director of Water Utilities APPROV D AS TO FORM: E J. Orth Fu lingim, Assista Cif Attorney CITY OF LUBBOCK BY: -2f C. MCMINN, MAYOR -3- THE STATE OF TEXAS COUNTY OF LUBBOCK STONEVILLE PEDIGREED SEED COMPANY BY^ GEORG REA WALKER, JR. PRESIDENT 11 S BEFORE ME, the undersigned authority, a Notary Public in and for said County, Texas, on this day personally appeared B. C. McMINN, Mayor of the City of Lubbock, known to me to be the per- son whose name is subscribed to the foregoing instrument and ac- knowledged to me that he executed the same for the purposes and consideration therein expressed and in the capacity therein stated as the act and deed of said City. GIVEN UNDER MY HAND AND SEAL OF OFFICE this - `^ day of 1987. �/ �Zr:e e�_j�u,>� -� 1 ;c tEeC. - r �= ` zc rte✓ THE STATE OF MISSISSIPPI COUNTY OF 11 BEFORE ME, the undersigned authority, a Notary Public in and for said County, Mississippi, on this day personally appeared GEORGE REA WALKER, JR., President of Stoneville Pedigreed Seed Company, a corporation, known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he executed the same for the purposes and consideration therein expressed and in the capacity therein stated as the act and deed of said Corporation. GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of 1987. C Notary Public, County, Mississippi -4-