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HomeMy WebLinkAboutReso 93-025 - Approve & Authorize mayor to execute Land Lease Agreement between COR & George R Osborn for pasturing of Livestock on City-Owned property on Eastside Rd I i RESOLUTION NO. '73 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING APPROVING AND AUTHORIZING THE MAYOR TO EXECUTE THE LAND LEASE AGREEMENT BETWEEN THE CITY OF REDDING AND GEORGE R. OSBORN FOR PASTURING OF LIVESTOCK ON CITY-OWNED PROPERTY ON EASTSIDE ROAD. IT IS HEREBY RESOLVED by the City Council of the City of Redding as follows: 1 . That the City Council of the City of Redding hereby approves the above- mentioned Land Lease Agreement between the City of Redding and George R. Osborn, a true copy of which is attached hereto and incorporated herein. 2. That the Mayor of the City of Redding is hereby authorized and directed to sign said Agreement on behalf of the City of Redding; and the City Clerk is hereby authorized and directed to attest the signature of the Mayor and to impress the official seal of the City of Redding thereto. I HEREBY CERTIFY that the foregoing Resolution was introduced and read at a regular meeting of the City Council of the City of Redding on the 19thday of January, 1993, and was duly adopted at said meeting by the following vote: AYES: COUNCIL MEMBERS: Anderson, Arness, Dahl, Kehoe & Moss NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None ABSTAIN: COUNCIL MEMBERS: None CHARLIE MOSS, Mayor City of Redding ATTEST: d , CONNIE STR HMAYER, ColClelk FORM APPROVED: RA ALL A. HAY , Citof Attorney 27 SH:\A:OSBORN.CC {� LAND LEASE AGREEMENT THIS LEASE AGREEMENT is made and entered into this 19th day of January, 1993, by and between the CITY OF REDDING, a Municipal Corporation and General Law City, hereinafter referred to as "Lessor" and GEORGE R. OSBORN of 5061 Eastside Road, Redding, California 96001, hereinafter referred to as "Lessee"; WITNESSETH: WHEREAS, Lessor owns certain land and premises along Eastside Road, Redding, California, generally described as 90.5 acres of pasture land immediately south of Wood Gulch, adjacent to the Clear Creek Waste Water Treatment Plant; and WHEREAS, Lessee wishes to lease said land for the purpose of pasturing cattle and/or horses; and WHEREAS, it has been determined that this matter is categorically exempt from the provisions of the California Environmental Quality Act (CEQA); NOW, THEREFORE, IT IS AGREED by and between the parties hereto as follows: I. Term. Lessor, for and in consideration of the covenants, conditions, and agreements herein set forth to be kept and performed by Lessee, does hereby grant, demise, and lease unto Lessee, subject to all of the conditions, covenants, terms, and agreements hereinafter set forth, all that certain real property described in Exhibit "A" and depicted in Exhibit "B" attached hereto and incorporated herein by reference (hereinafter called "Premises"). This Lease Agreement shall be for a period of five (5) years commencing on January 20, 1993, and terminating January 19, 1998. II. Rent. The rent to be paid by Lessee to Lessor under this Lease Agreement shall be the greater of the following: A minimum charge of Fifteen Dollars ($15.00) per month for each month or part of the month that the pasture is utilized by the Lessee; or An amount based upon the actual level of use of the Premises by the Lessee according to the following schedule: For two years, January 20, 1993 through January 19, 1995, rent shall be computed at a rate of $1.00 per Animal Unit (A.U.) occupying the Premises per month. For each subsequent year, the rent will be as follows: A) Third year, 1/20/95 - 1/19/96, $2.00 per A.U. per month; B) Fourth year, 1/20/96 - 1/19/97, $4.00 per A.U. per month; and C) Fifth year, 1/20/97 - 1/19/98, $7.00 per A.U. per month. The term "Animal Unit" shall mean a single animal over seven (7) months of age, or one cow-calf pair, consisting of an adult animal and a calf under seven (7) months of age. Said rent shall be payable on the first day of each and every month commencing February 1, 1993, during the term of this Lease Agreement in the manner herein provided without any deductions therefrom whatsoever and free and clear of any claim or demand against Lessor of any kind. The amount of rent paid each month shall be calculated based upon the greater of the minimum monthly charge or the actual previous month's occupancy per A.U. Any rentals, fees, and charges more than thirty (30) days past due shall be subject to a service charge of one and one-half percent (11/2%) per month, based on an annual rate of eighteen percent (18%). Without prejudice to any other remedy which otherwise might be used for non-payment of rent, fees, and charges, or other breach of this Lease Agreement, if Lessor is required or elects to pay any sum or sums or incurs any obligations or expense by reason of a failure, neglect, or refusal of Lessee to perform any one or more of the terms, conditions, and covenants of this Lease Agreement, or as the result of any act or omission of Lessee contrary to said terms, conditions, or covenants, the sum or sums so paid by Lessor, including all interest, costs, damages, or penalties, may be added, after thirty (30) days' written notice by Lessor to Lessee, to any installment or rent thereafter due hereunder, and each and every day thereafter the same shall be and become additional rent recoverable by Lessor in the same manner and with like remedies as though it were originally a part of the rent as set forth hereinabove. III. Use of Premises. Lessee hereby covenants and agrees that the Premises shall be used solely for pasturing livestock and activities incident to such operations. Lessee hereby covenants and agrees that no irrigation of the Premises will occur without prior, specific written approval from Lessor. IV. Condition/Maintenance. It is expressly covenanted and agreed that Lessee has inspected the Premises and accepts it in an "as is" condition. Any and all maintenance of the demised Premises shall be at the sole cost and expense of Lessee, which expressly includes the cost of any and all water obtained from the Anderson Cottonwood Irrigation District or any other source. Lessee expressly agrees that he will erect and maintain any and all fences required to hold his livestock within the pasture herein let and demised unto him. In addition, Lessee expressly agrees to perform any work necessary to control the berry vines growing within the pasture area that interfere with Lessee's operation. Control of the berry vines shall be accomplished by tractoring or use of herbicides approved by the California State Department of Food and Agriculture only. - 2 - If Lessee desires to place any improvements on the subject Premises or to demolish and remove any existing dilapidated and substandard improvements, Lessee covenants and agrees that he will first obtain the consent in writing of Lessor as to any such improvement, alteration or demolition. V. Utilities. Lessor shall pay all costs necessary to install a permanent power pole, according to electric utility provider specifications, adjacent to the existing well upon the Premises. Such pole shall be in place no later than March 1, 1993. Lessee shall pay any costs associated with subsequent utility connection to this pole and well, including any permits which may be required. Lessee shall pay the cost for any utility service that is furnished to him at said Premises. VI. Taxes. Lessee shall pay promptly any taxes and/or special assessments assessed against the land and existing improvements and/or Lessee's personal property, and any possessory interest tax levied by reason of Lessee's use and/or occupancy of the subject Premises. VII. Compliance with Law. Lessee covenants and agrees to comply with all statutes, laws, ordinances, regulations, orders, judgments, decrees, directions, and requirements of Lessor, and of all Federal, State, County, and City authorities now in force or which may hereafter be in force applicable to said leased Premises. VIII. Waste; Ouiet Conduct. Lessee shall not commit nor suffer to be committed any waste upon said Premises, nor any nuisance or other act or thing which may disturb the quiet enjoyment of any other occupant or use of Lessor's adjoining Premises. IX. Hold Harmless: Insurance. A. This Lease Agreement is granted upon the express condition that Lessor, its officers, agents, and employees, shall be free from any and all liability and claims for damages for personal injury, death, or property damage in any way connected with Lessee's use of the Premises hereunder leased, including claims of Lessee, its officers, agents, employees, members, or invitees. Lessee shall indemnify and save harmless Lessor, its officers, agents and employees, from any and all liability, loss, cost, or obligation on account of or arising out of any such injury, death, or loss relating to Lessee's operations on the Premises let and demised unto Lessee herein, and in this consideration Lessee expressly covenants and agrees to keep in good repair and maintain the fences around the entire perimeter of any portion of the demised Premises which Lessee uses for pasturing cattle and/or horses. B. It is specifically understood and agreed as a condition of this Lease Agreement that Lessee shall procure and maintain from a company authorized to do business in the State of California, at Lessee's sole cost and expense and at all times during the term of this Lease Agreement, a policy of commercial general liability insurance in the - 3 - amount of One Million and 00/100 Dollars ($1,000,000.00) combined single limits. Said insurance shall be in form and content sufficient and adequate to save Lessor, its officers, agents, and employees, harmless from any and all claims arising out of the use and occupancy of said Premises. A Certificate evidencing such insurance shall be approved by the Risk Manager of Lessor and filed with him, naming Lessor, its officers, agents, and employees, as additional insureds and guaranteeing at least ten (10) days' advance notice to Lessor, in writing, before any cancellation or reduction of such insurance coverage. Lessor reserves the right to reevaluate the insurance requirements under this Lease Agreement on an annual basis. C. It is further understood and agreed as a condition of this Lease Agreement that should Lessee hire an employee or employees, Lessee will provide worker's compensation insurance on its employees as required by the Labor Code, and shall furnish Lessor with a Certificate evidencing such insurance. To obtain an exemption from this requirement should Lessee have no employees, Lessee shall provide the Risk Manager of Lessor with a letter stating that it is not employing any person or persons in any manner so as to become subject to the workers' compensation laws of California; provided, however, that should Lessee later become subject to the workers' compensation provisions of the Labor Code, it will forthwith comply with the insurance requirements set forth above. X. Assignment or Subletting. Lessee shall not assign this Lease Agreement or any interest therein, and shall not sublet the Premises or any part thereof, nor any right or privilege pertinent thereto, nor suffer any other person (the officers, agents, employees, members, and invitees of Lessee excepted) to occupy or use said Premises, or any portion thereof, without the written consent of Lessor first had and obtained. A consent by Lessor to one assignment, subletting, occupancy, or use by another party shall not be deemed to be a consent to any subsequent assignment, subletting, occupancy, or use by the same or another party. Any such assignment, subletting, occupancy, or use without such consent shall be void and shall, at the option of Lessor, terminate this Lease Agreement. This Lease Agree- ment or any interest therein shall not be assignable as to the interest of Lessee by operation of law, without the written consent of Lessor. XI. Inspection and Notice. Lessor hereby reserves the right for its agents and employees to go upon and/or travel over the demised Premises at any time to inspect the condition of the Premises, or for engineering and construction purposes and other activities of Lessor. Lessee hereby agrees and consents to Lessor's agents and employees coming upon the Premises for any and all purposes required for the operation of the Clear Creek Wastewater Treatment Plant and City of Redding Electric Utility facilities in the vicinity thereof. Lessor shall have the right to post any notices provided in Section 1183.1 of the Code of Civil Procedure of the State of California, or any other section of the Code of Civil Procedure of the State of California, or any other notice or notices that may at any time be required or permitted by law. - 4 - XII. Material Breach. Upon written notice from Lessor to Lessee that Lessee is committing a material breach of a term, covenant, or condition of this Lease Agreement, Lessee shall forthwith cure such breach. In the event that Lessee has not commenced good faith efforts to cure said material breach within sixty (60) days following the date of mailing such written notice thereof to Lessee by Lessor, Lessor shall have the right to enter and take over the demised Premises and exclude Lessee therefrom or Lessor may elect to exercise any legal or equitable right accruing to it as a result of such breach. XIII. Waiver. No delay or failure by any party to exercise any right, power, or remedy with regard to any breach or default by such party under this Lease Agreement, or to insist upon strict performance of any of the provisions hereof, shall impair any right, power, or remedy of such party, and shall not be construed to be a waiver of any breach or default of the same or any other provision of this Lease Agreement. The waiver by Lessor of any breach or default of any term, covenant, or condition herein contained shall not be deemed to be a waiver of such term, covenant, or condition, or any subsequent breach of the same, or any other term, covenant, or condition herein contained. XIV. De ault. If Lessee shall be in arrears in the payment of rent for thirty (30) days or more, or if the transfer or assignment, voluntarily or involuntarily, of this Lease Agreement or any interest therein is attempted, except as herein provided, or if Lessee violates or neglects or fails to keep, observe, and perform any of the covenants, promises, or conditions herein contained which are on their part to be kept, observed, and performed, Lessor may, at its election, give Lessee written notice of such default. If such default shall continue for sixty (60) days, and Lessee has failed to commence good faith efforts to cure such default within said period, Lessor shall have the right at any time thereafter and while such neglect or default continues to enter into or upon said Premises, or any part thereof, and repossess the same, and expel the defaulting party and remove their effects, forcibly if necessary, without prejudice to any remedies which might otherwise be invoked by Lessor. XV. Eminent Domain. In the event the Premises shall be appropriated or taken under the power of eminent domain by any public or quasi-public authority, this Lease Agreement shall terminate and expire as of the date of such taking, and Lessee shall thereupon be released from any liability thereafter accruing hereunder. XVI. Bankruptcy or Insolvency. If Lessee shall be adjudged bankrupt, either by voluntary or involuntary proceedings, or should be the subject of any proceedings to stay the enforcement of obligations against it in the form of reorganization or otherwise under and pursuant to any existing or future laws of the Congress of the United States, or if Lessee shall discontinue business or fail in business, or abandon or vacate said real property, or make an assignment for the benefit of creditors, or if said real property should come into possession and control of any trustee in bankruptcy, or if any receiver should be appointed in any action or proceeding with power to take charge, possession, control, or care of said property, Lessor shall have the option to forthwith terminate this Lease Agreement, and re- enter the property and take possession thereof. In no event shall this Lease Agreement be deemed an asset of Lessee after adjudication in bankruptcy. - 5 - XVII. Cancellation. This Lease Agreement may be canceled by either party at any time during the term of this Lease Agreement upon giving proper written notice one hundred twenty (120) days in advance of such cancellation. In this connection, it is covenanted and agreed that if this Lease Agreement is canceled by either party pursuant to this paragraph, there shall be no obligation upon Lessor to save and protect or conserve any crop or crops growing upon the demised Premises which have been planted thereon by Lessee, but that it shall be the obligation of Lessee to harvest said crop or crops by the date of cancellation or to abandon said crop or crops; Lessee shall remove any and all other improvements or personal property of Lessee from the Premises on or before said date of cancellation. XVIII. Surrender. At the termination of this Lease Agreement by lapse of time or otherwise, Lessee shall surrender possession of the Premises to Lessor; deliver all keys to the Premises and all locks therein to Lessor; and make known to Lessor the combination of all combination locks on the Premises. XIX. Administration by Lessor. Whenever Lessee is required to secure the approval or consent of Lessor under this Lease Agreement, "Lessor" shall mean the City Manager of the City of Redding. However, at the option of any of the parties to the Lease Agreement, any such questions may be referred to the City Council of the City of Redding, whose decision thereon shall be final. XX. Entire Agreement. This Lease Agreement sets forth the entire agreement between the parties hereto. Modifications or additions to this Lease Agreement shall be considered valid only when mutually agreed upon by the parties in writing. XXI. Invalid Provisions. In the event any covenant, condition, or provision herein contained is held invalid by any Court of competent jurisdiction, the invalidity of the same shall in no way affect any other covenant, condition, or provision herein contained, provided that the validity of any such covenant, condition, or provision does not materially prejudice either Lessor or Lessee in their respective rights and obligations contained in the valid covenants, conditions, and provisions of this Lease Agreement. XXII. Notice. Any notices or demands that may be given by any party hereunder, including notice of default and notice of termination, shall be deemed to have been fully and properly given when made in writing, enclosed in a sealed envelope, and deposited in the United States Post Office with postage prepaid, certified mail, addressed as follows: To Lessor c/o City Manager, City Hall, 760 Parkview Avenue, Redding, California 96001-3396; and to Lessee at 5061 Eastside Road, Redding, California 96001. XXIII. Attorney's Fees. In case suit or action is instituted to enforce any of the provisions of this Lease Agreement, the prevailing party therein shall be entitled to attorney's fees and other sums as may be adjudged reasonable and necessary at trial and on appeal. - 6 - XXIV. Binding on Successors. Subject to the provisions respecting assignment, underletting or subletting herein, all terms, covenants, and conditions herein contained shall extend to and bind the successors and assigns of the respective parties hereto. XXV. Time of Essence. Time is of the essence of this Lease Agreement and of each and every provision thereof. IN WITNESS WHEREOF, the parties hereto have executed this Lease Agreement on the day and year set forth above. ATTEST: CITY OF REDDING By: CONNIE STROHMAYER, City Clerk HARLIE MOSS, Mayor FORM APPROVED: By: . EORGr R. OSBORN RANDALL A. HAYS, City Attorney a:\osborn.lse - 7 - 1 HIBIT "A" \\4/ INDICATES NORTH rad� Z"4-54= 1® EXHIBIT "B" LEGAL DESCRIPTION A.P.N 050-050-10 Commencing at the corner common to Sections 31, 32, 33 and 34 of the P.B. Reading Grant of the Rancho Buenaventura as per plat map on file in Book 13 of Land Surveys at page 10, Shasta County Records, and running thence North 43°45'50' East, 426.33 feet; thence North 42°31' East, 259.12 feet to the true point of beginning of this parcel; thence from said point of beginning North 43°48'55" West, 204.45 feet; thence North 69°48'10" West, 194.47 feet; thence North 49°45' West, 201.93 feet; thence North 51'28'10 West, 158.80 feet; thence North 86°56'40" West 33.50 feet; thence South 59°25'30" West, 155.81 feet more or less to the easterly right-of-way of Eastside Road; thence following along said right-of- way North 48'24' West, 1451.51 feet more or less; thence North 18'12' East, 40.56 feet; thence North 89°06' East, 248.03 feet; thence North 86°46' East, 566.38 feet; thence North 20°58' East, 64.26 feet; thence North 79°31' East, 54.92 feet; thence South 58°20' East 281.96 feet; thence South 89°45' East, 503.34 feet; thence South 42°30' West, 84.50 feet; thence South 65°10' East, 141 feet; thence North 70°05' East, 300 feet; thence North 86°45' East, 386 feet; thence South 71' East, 176 feet; thence North 83°55' East, 130 feet more or less; thence North 44°05'30" East, 460 feet more or less, to the bank of the Sacramento River; thence along said bank of the Sacramento River South 35°45'20" East, 159.99 feet; thence South 56°36'30" East, 323.48 feet; thence South 80°31'10" East, 281.33 feet; thence North 88°24' East, 123.15 feet; thence South 76°09' East, 217.60 feet; thence North 87°03'30" East 112.61 feet; thence South 44°05' West, 1948.50 feet; thence North 48°24' West, 380.30 feet; thence South 42°30' West, 476.93 feet; North 39°14'30" West, 60.63 feet; thence North 46°01'30" West, 311.83 feet to the point of beginning.