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HomeMy WebLinkAboutR-2013-154 J.M. Perry Soccer Complex Lease Agreement with Harriet I. Perry TrustA RESOLUTION RESOLUTION NO. R-2013-154 authorizing the City Manager to execute a Lease Agreement between the Harriet I. Perry Trust and City of Yakima regarding the J.M Perry Soccer Complex. WHEREAS, the City of Yakima (City) and the Harriet I. Perry Trust have previously entered into lease agreements concerning the use of soccer fields located upon property owned by the Perry Technical Institute (PTI), which soccer fields and complex have been used and operated to provide recreational opportunities for youth and the community; and WHEREAS, the current Lease Agreement expires by its terms on December 21, 2013, and the City and the Harriet I. Perry Trust have negotiated a new Lease Agreement for use of such soccer fields and complex; and WHEREAS, the City Council finds and determines that approval of such Lease Agreement is in the best interests of residents of the City of Yakima and will promote the general health, safety and welfare; therefore BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA: The City Manager is hereby authorized to execute and administer the "J.M. Perry Soccer complex Lease Agreement," a copy of which is attached hereto as Exhibit "A" and incorporated herein by this reference, now, therefore, ADOPTED BY THE CITY COUNCIL this 10th day of December, 2013. ST: Micah Cawley,/Mayor City Clerk i J.M. PERRY SOCCER COMPLEX LEASE AGREEMENT (Harriet I. Perry Trust and City of Yakima) THIS J.M. PERRY SOCCER COMPLEX LEASE AGREEMENT ("Lease") is made and entered into by the Harriet L Perry Trust, as "Lessor," and the City of Yakima, as "Lessee," effective as of the 21st day of December, 2013. I. RECITALS A. Lessor operates a nonprofit technical training school known as Perry Technical Institute ("PTI") at 2011 West Washington Avenue, Yakima, Washington 98903. Lessor is also engaged in character building of boys and girls under the age of eighteen through educational programs, and desires to continue such activity. Located on real property owned by Lessor, which is contiguous with the PTI campus, are fields and facilities that have been developed, operated and maintained, pursuant to a previous lease between Lessor and Lessee, as soccer fields for the benefit of PTI students and community youth, together with paved vehicle parking lots constructed by Lessor to serve the PTI campus and, incidentally, the soccer facilities. B. The Lessee is a municipal corporation duly formed and existing under the laws of the State of Washington, with City Hall located at 129 North 2nd Street, Yakima, Washington 98901. C. Lessor and Lessee previously entered into a "J.M. Perry Soccer Complex Lease Agreement" executed December 21, 1993 (the "1993 Lease"), for an initial term of ten (10) years, with two five-year terms of renewal. The 1993 Lease was renewed for the two five-year additional terms and expires on December 21, 2013. D. Pursuant to the provisions of the 1993 Lease, Lessee, in conjunction with the Yakima Youth Soccer Association and other community volunteers, developed, maintained and operated soccer fields, signage, sanitation facilities and an irrigation system upon Lessor's property, for the benefit of PTI students and members of the public, including community youth, who use the soccer complex facilities with the permission of Lessee granted through Lessee's Parks and Recreation Division. E. The soccer complex improvements were constructed, and the Lessee has operated and maintained the soccer complex facilities in accordance with the terms of the 1993 Lease. F. The parties modified the 1993 Lease by an Amendment of Soccer Complex Lease Agreement approved September 4, 2012 ("Amendment"). The Amendment added additional property to the description of Leased Premises, provided for C:\Users\kailal\ApoOata\Local\Microsoft\Windows\Temporary Internet Files Content Outlook\MCDAQISJ\Soccer Complex Lease Agreement 11-4-13 Final.docx64ADC\Perry landscaping of the new North Parking Lot adjacent to the soccer fields, provided parking regulations for use of such new parking facility, modified maintenance standards and litter control, and amended insurance requirements. G. The parties desire to enter into this Lease effective as of December 21, 2013, upon expiration of the 1993 Lease, as amended. H. Lessor will construct a new building to house its instrumentation program on a portion of the real property covered by the 1993 Lease. The real property on which the new building will be constructed is excluded from this Lease. The construction of the new building for the instrumentation program will require the reconfiguration of a portion of the irrigation system serving the soccer field complex. The location of the new building is depicted on the diagram attached hereto as Exhibit "B", which is incorporated herein by this reference. II. AGREEMENT WHEREFORE, in consideration of the mutual covenants, conditions and benefits of this Lease, the parties agree as follows: 1. Lease. Subject to the terms and conditions of this Lease, Lessor hereby leases to Lessee, and Lessee hereby leases from Lessor, the premises situated in Yakima County, Washington, described in Exhibit "A," and as further depicted in Exhibit "A-1," which are attached hereto and incorporated herein by this reference ("Leased Premises"). 2. Initial Term. The term of this Lease shall be five (5) years commencing December 21, 2013 and terminating December 31, 2018 (the "Initial Term"), subject to earlier termination as provided in this Lease. 3. Renewal. Subject to the approval of Lessor, as provided below, Lessee will have the option to renew this Lease for one (1) additional five-year term ("Renewal Term") from January 1, 2019 through December 31, 2023. Not less than one hundred eighty (180) days prior to the end of the Initial Term, Lessee may give Lessor written notice of Lessee's intent to extend the term of this Lease for the Renewal Term. If Lessor does not give Lessee written notice of Lessor's intent to allow the Lease to expire at the end of the Initial Term, without renewal, within thirty (30) days after receipt of Lessee's notice of, intent to extend the Lease, then this Lease shall be renewed and remain in full force and effect for the Renewal Term, subject to earlier termination according the terms of this Lease. 4. Consideration. The Lessee's consideration due under this Lease shall be as follows: 2 C.\Users\kailal\AooData\Local\Microsoft\Windows\Temporary Internet Files\Content Outlook\MCDAQI8J\Soccer Complex Lease Agreement 11-4-13 Final.docx6:1ADC\Porq 4.1 Operation of Soccer Fields. Lessee will operate and maintain the constructed soccer complex facilities in accordance with the provisions of this Lease and applicable procedures of Lessee's Parks and Recreation Division for the primary purpose of providing soccer playing fields for Lessor's students and community youth as a means of promoting character building, all as contemplated in RCW 84.36.030(3). Lessee shall maintain the soccer complex facilities and Leased Premises in good condition and repair, to facilitate use of such facilities for this primary purpose, and as set forth below. 4.2 Skins. Lessee shall erect and maintain in good condition a suitable sign designating the name of the play fields to be the "Perry Technical Institute Soccer Complex." 4.3 Irrigation System. Lessee shall provide and maintain an underground irrigation sprinkler system for water to be provided by Lessor pursuant to Section 6 below, and shall provide materials or the cost of materials for maintaining the existing pump serving the Leased Premises. Lessee shall, at its sole expense, reconfigure the irrigation system for the soccer complex to accommodate the exclusion from this Lease of the property on which PTI is constructing its new instrumentation program building, as depicted on Exhibit B. Lessee shall provide all materials and labor required to reroute the existing irrigation system for the remaining soccer field complex around the excluded property. All plans and material lists for reconfiguring the irrigation system shall be submitted to lessor for review and approval before work is started on the system. The reconfiguration of the irrigation system required to exclude the instrumentation program building site shall be completed before June 1, 2014. 4.4 Sanitary Facilities. Lessee shall, at its expense, provide sufficient portable toilet facilities on the Leased Premises to meet sanitary needs during times soccer play is permitted by Lessee. 4.5 Rent. Except as provided in subsections 4.1 through 4.4 above, no monetary rent shall be payable to Lessor during the term of this Lease. 4.6 Maintenance of Leased Premises. Lessee shall mow, control noxious weeds and otherwise provide appropriate horticultural care for all grass areas located within the Leased Premises. If the grass on the soccer fields or other areas of the Leased Premises is damaged by use so as to create bare soil or muddy areas, the damaged areas shall be repaired by seeding or installing sod to reestablish healthy grass growth. 5. Use of Soccer Fields. Lessor's students, Lessee and anyone using the Leased Premises under the permission of Lessee, may use such play fields for soccer 3 C \Users *alai \AppData\Local \Microsoft\Windows\Temporary Internet Files\Content Outlook\MCDAQI8J\Soccer Complex Lease Agreement 11-4-13 Final docxG:\ADC\Pcrry play. The Leased Premises must be used solely for soccer or other similar nonprofit, character -building activity, and may at no time be used for any other purpose during the term of this Lease Agreement and any extension thereof. 6. Lessor's Duties. In addition to maintenance, operation and repair of landscaping and the irrigation system serving the North Parking Lot as described above, Lessor, at its own expense, shall provide and pay for sufficient irrigation water for the irrigation of playfield grass and landscaping within the Leased Premises. 7. Q ulation/Care of Property. Lessee shall make reasonable rules and regulations governing the use of such play fields. Lessee shall at all times maintain, or cause to be maintained, the premises in a neat, sanitary, clean and reasonable condition and state of repair. Notwithstanding the foregoing, Lessee shall have no obligation to provide snow removal for any portion of the Leased Premises. Lessee shall be fully responsible for scheduling the use of said playfields, and only scheduled use shall be permitted. A copy of the rules and regulations, and usage schedule(s), shall be provided to Lessor. Lessee shall keep the Leased Premises in a clean and orderly condition, free of all refuse and litter. Lessee shall provide an adequate number of refuse containers and signs prohibiting littering on the Leased Premises to facilitate the maintenance of the Leased Premises in a clean and orderly condition. 8. Parking. Lessee, and persons and organizations (including YYSA) using the soccer fields or attending games under a license, sublease, permit or other agreement with Lessee, may use the Lessor's vehicle parking lots located within or immediately adjacent to the Leased Premises and the parking lots located at 2011 West Washington Avenue (the "Parking Lots") for the purpose of vehicle parking after 4:30 p.m. on weekdays, and all day during weekends and federal holidays, except when PTI holds open houses. PTI's students, staff and invitees shall have exclusive use of all Parking Lots on weekdays until 4:30 p.m. and during PTI's open houses. Lessee shall provide and install suitable signs in and around all of the Parking Lots specifying the hours during which the Parking Lots are reserved exclusively for the use of PTI's students, staff and invitees. PTI conducts open houses twice each year. Lessee shall communicate to YYSA and all other organizations and persons using the Leased Premises under license or permit issued by Lessee, the dates and times of PTI's open houses and prohibit persons or organizations using the soccer fields from parking in the Parking Lots during open houses. Lessor shall post all signs in all of the Parking Lots notifying the public that vehicles violating PTI's parking restrictions will be towed from the lots at the owner's expense. PTI will engage the services of a licensed and bonded towing company to enforce the parking restrictions in the Parking Lots and tow violating 4 C\Users\kailal\AppData\Local\Microsoft \Windows\Temporary Internet Files\Content Outlook\MCDAQI8J\Soccer Complex Lease Agreement 11-4-13 Final docsG:V\DC\Perry vehicles from the lots. These parking restrictions also apply to the parking areas contiguous to Lessor's building located on the west side of South 16th Avenue (directly east of the soccer fields). Lessee shall not permit any vehicles to be parked on the grass areas of the Leased Premises. Access to and from the Parking Lots and soccer play fields shall be limited to established sidewalks or pathways along Washington Avenue and the pathway from the North Parking Lot to the PTI campus. 9. Termination. Either party hereto may terminate this Lease at any time, without cause, prior to the end of the Term, or any extension thereof, for any reason by giving the other party written notice of such termination. Termination shall become effective 180 days following receipt of such written notice of termination. Upon termination at any time of this Lease Agreement pursuant to this section or Section 2 above, all improvements located on the Leased Premises shall become the property of Lessor; provided, however, that Lessee may reclaim bleachers, together with soccer goals and portable toilet facilities. In the event of a termination pursuant to this section or otherwise, Lessee shall return the premises in a good and reasonable condition and state of repair. In the event of termination for any cause, Lessee shall terminate, upon the requisite notice, any use or other agreements entered into between Lessee and any, other party for use of the Leased Premises. 10. Default. In the event of default in any of the terms or conditions of this Lease Agreement, the non -defaulting party shall give notice in writing of such default to the defaulting party. The party in default shall then have 60 days within which to cure such default. In the event such default is not cured within such 60 days, this Lease Agreement shall terminate 60 days from the date of receipt of notice of default by the defaulting party. Upon termination of the Lease Agreement pursuant to this section, all improvements located on the Leased Premises shall become the property of Lessor; provided, however, that Lessee may reclaim bleachers, together with soccer goals and portable toilet facilities. In the event of a termination pursuant to this section or otherwise, Lessee shall return the premises in a good and reasonable condition and state of repair. 11. Indemnification. Lessee shall at all times develop, maintain, operate and use the Leased Premises and the Parking Lots in a safe and legal manner. Lessee shall be responsible for all acts thereon, and including PTI's adjacent property and improvements thereon, and shall hold Lessor harmless and indemnify and defend Lessor against any and all claims or actions of any kind arising from such development, maintenance, operation or use pursuant to this Lease, or otherwise out of Lessee's use and occupancy of Lessor's property, including reasonable attorney's fees and costs. 12. Insurance. To implement Lessee's covenants of indemnity, unless Lessee is at all times solvently self-insured for liability purposes (and fully capable of paying -5- C:\_Users\kailal\AppData\Local\Microsoft\Windows\Temporary Internet Files \Content.Outlook\MCDAQISJ\Soccer Complex Lease Agreement 11-4-13 Final.docxG.\ADC\Pcrry damages and indemnifying Lesor in amounts not less than the minimum insurance limits required below, as evidenced by financial information provided to and approved by Lessor), Lessee shall, at its sole expense, maintain in full force and effect during the term of this Lease Agreement a policy or policies of comprehensive liability insurance, including property damage, underwritten by one or more responsible insurance companies acceptable to Lessor, insuring Lessee and Lessor, as named insureds, against liability for injuries to persons or property or death of any person or persons occurring on or about the Leased Premises. The aggregate liability limits for such insurance shall not be less than $2,000,000.00 for one person injured or killed, not less than $4,000,000.00 for any incident, and not less than $250,000.00 for property damage. Lessee shall provide Lessor with certificates of insurance evidencing Lessee's compliance with the insurance covenants of this Lease Agreement. All policies of insurance obtained by Lessee in compliance with this Lease Agreement shall contain endorsements requiring not less than 20 days written notice to Lessor prior to any change or cancellation. 13. Taxes and Assessments. Lessee, on behalf of Lessor, shall upon execution of this Lease apply for an exemption from state property tax under the terms of RCW 84.36.030(3). If such exemption is not granted, this Lease Agreement shall terminate upon 30 days' notice of denial of such exemption. If this Lease terminates prior to the end of the five-year term hereof, all taxes and penalties due or assessed shall be the responsibility of Lessor. 14. Notice. All notices given pursuant to this Lease Agreement shall be in writing and shall be deemed completed by sending the same to the addresses set forth below, U.S. registered mail, postage prepaid, return receipt requested. LESSOR: Harriet I. Perry Trust Christine Cote 2011 W Washington Ave Yakima, Washington 98903 LESSEE: City of Yakima Tony O'Rourke, City Manager (or successor) 129 North 2nd Street Yakima, Washington 98901 15. Partial Invalidity. If any provision of this Lease or the application thereof to any person or circumstance shall to any extent be invalid or unenforceable, the remainder of this Lease, or the application of such provision to persons or circumstances other than those as to which it is invalid or unenforceable, shall not be affected thereby, and each -6- C.\Users\kailal\AppData\Local\Microsoft\Windows\Temporary Internet Files \Content.Outlook\MCDAQI8J\Soccer Complex Lease Agreement 11-4-13 Final.docx6 \ADC\Ferry provision of this Lease Agreement shall be valid and enforced as written to the fullest extent permitted by law. 16. Governing Law; Venue; Attorneys' Fees. This Lease shall be governed by the laws of the State of Washington. Venue shall be in the Yakima County Superior Court. In any court suit or action brought by either party concerning the Lease, the court shall award to the prevailing party reasonable attorneys' fees in addition to costs allowed by law, and the other party agrees to pay the same. 17. Assignment. Lessee shall not assign, sublease, rent or license its interest in this leasehold estate without the prior written consent of Lessor. Lessor hereby consents to a license to be granted to YYSA contemporaneously herewith. 18. Entire Agreement. This Lease contains the entire and integrated agreement between the parties hereto. Modifications to this Lease Agreement shall be by mutual consent of the parties and shall be in writing. IN WITNESS WHEREOF, each party to this Lease Agreement has caused it to be executed at Yakima, Washington this l day of 1]D -t -n 1:K" , 2013. LESSOR HARRIET I. PERRY TRUST By: 7 LESSEE CITY 0 YAKIMA 4 \ I By: Tony O'R ATTEST: Rittv)/1 Sonya Claar Tee, City Clerk e, City Manager CITY CONTRAC T NO: RESOLUTION NO: C:\Users\kailalWppData\Local\Microsoft\Windows\Temporary Internet Files\Content.Outlook\MCDAQI8J\Soccer Complex Lease Agreement 11-4-13 Final.docxC:MDC\Per/ [ATTESTATION FOLLOWS] STATE OF WASHINGTON ) ) ss. County of Yakima ) I certify that I know or have satisfactory evidence that , and , are Trustees for the Harriet I. Perry Trust, and are the persons that appeared before me acknowledging that they signed this instrument and acknowledged it to be their free and voluntary act for the uses and purposes mentioned in the instrument. DATED this day of , 2013. NOTARY PUBLIC in and for the State of Washington, residing at My commission expires: 8 C:\Users\kailal\AppData\Local\Microsoft\Windows\Temporary Internet Files\Content.Outlook\MCDAQI8J\Soccer Complex Lease Agreement 11-4-13 Final.docxGAADC\Rerry EXHIBIT "A" Parcel 1 The south half of the Southeast quarter of the Northeast quarter of Section 35, Township 13 North, Range 18 E.W.M., EXCEPT that portion lying Southwesterly of the Wide Hollow Creek, AND EXCEPT the west 195 feet as measured at right angles to and parallel with the West line thereof, AND EXCEPT the East 665.82 feet, as measured along the North line and parallel with the East line thereof, AND EXCEPT the South 30 feet thereof for road. AND The East 665.82 feet, as measured along the North line and parallel with the East line, of the South half of the Southeast quarter of the Northeast quarter of Section 35, Township 13 North, Range 18 E.W.M., EXCEPT the North 310 feet, as measured along the East line and parallel with the North line thereof, AND EXCEPT the East 240 feet of the South 240 feet thereof, AND EXCEPT the South 30 feet for road, AND EXCEPT the East 30 feet thereof for road. AND Lot 4 of that certain Short Plat recorded in Book 85 of Short Plats, Page 82, under Auditor's File No. 2734197, records of Yakima County, Washington. Situated in City of Yakima, Yakima County, State of Washington. Parcel 2 A 1.48 acre parcel of real property being Yakima County Assessor's Parcel Number 181335- 14425, encompassing a paved parking lot (hereafter called the "North Parking Lot ") legally described as follows: Lot 3, short plat No. 85 -52, except the east 60 feet thereof. Situated in City of Yakima, Yakima County, State of Washington. -9- C \Users\kailal\AppData\Local\Microsoft\Windows\Temporary Internet Files\Content Outlook\MCDAQI8J\Soccer Complex Lease Agreement 11-4-13 Final docxC: ADC\Perty Parcel 3 A 2.73 acre parcel of real property, being Yakima County Assessor Parcel Number 181335 - 14008, encompassing a grass area sometimes used as a soccer field, legally described as follows: That portion of the south 1/2 of the southeast 14 / of the northeast 1 4/ of Section 18, Township 13 North, Range 13 East Willamette Meridian, lying southerly of the center line of Wide Hollow Creek, except the south portion of such parcel used and reserved for street right of way. Situated in City of Yakima, Yakima County, State of Washington. Excluding, however, from the foregoing described property the following portion thereof: Lot 4 of Short Plat No. 85-82, records of Yakima County, Washington and that portion of the South Half of the Southeast Quarter of the Northeast Quarter of Section 35, Township 13 North, Range 18 East, W.M. lying East of the following described line: Beginning at the Northwest corner of said Lot 4; thence South 0°06' West along the west line of said Lot 4 and said line extended to the South line of said subdivision and the terminus point of the herein described line; EXCEPT the South 240 feet of the East 240 feet of said subdivision; AND EXCEPT right of way for South Sixteenth Avenue and West Washington Avenue. 10 C:\Users\kailal\AppData\Local\Microsoft\Windows\Temporary Internet Files\Content Outlook\MCDAQI8J\Soccer Complex Lease Agreement 11-4-13 Final docx6:1AD6\Perry 13-Final-docx EXHIBIT "B" Diagram of Location of New Building for Instrumentation Program - Attached -11- C:\Users\kailal\AppData\Local \ Microsoft \Windows\Temporary Internet Files \Content.0utlook\MCDAQISJ\Soccer Complex Lease Agreement 11-4-13 Final docxC:ADC\Perfy Qarg_inOm ..rJr 0 nom atom [1100 ® atlING .o.,u,G �...�. MOW AVOW MAL IT, II ® ,.irr..ed„e.0 Perry Technical Institute CAMPUS SITE PLAN April 10, 2013 NORTH ENZATckitecture, ?tic (Z) V. fltl. hve..ve, Svitt C. yRkin.w W411101 fJG1) 474.1211 Www .kr. nray .cam ITEM TITLE: SUBMITTED BY: BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No.5 e'' For Meeting of: 12/10/2013 ri Resolution approving the Soccer Complex Lease agreement between the City of Yakima and the Harriet I. Perry Trust (J.M. Perry) Scott Schafer, Acting Director of Public Works Ken Wilkinson, Parks and Recreation Manager SUMMARY EXPLANATION: On December 21, 1993, the City of Yakima and the Harriet I. Perry Trust entered into a Lease Agreement for development and use of certain J.M. Perry property as a soccer complex for the benefit of the public, and maintained by the Parks and Recreation Division. The Lease Agreement has been renewed over the years and the current term is set to expire December 21, 2013. J.M. Perry recently completed construction of a new parking lot adjacent to the soccer fields. In 2012, the City and J.M. Perry negotiated an Amendment to the Lease Agreement incorporating the use of the new parking lot to facilitate recreational use of the soccer complex, and to clarify existing terms regarding maintenance, insurance and use. The attached agreement is a continuation of the original 1993 agreement with the inclusion of the 2012 amendment. The soccer fields were developed by the City of Yakima in partnership with the Yakima Youth Soccer Association [YYSA]. Park Maintenance staff mows the grass, picks up trash, maintains the irrigation system and assists with fertilization. YYSA contributes to the maintenance of the fields and replaces sprinkler heads and performs other maintenance tasks, such as lining the fields and picking up trash. YYSA organizes and administers the soccer leagues and also provides portable restroom facilities. Exhibit "A" of the Agreement is a description of the parcel in more detail. Exhibit "B" of the Agreement is a diagram of the location of the proposed building. Resolution: X Ordinance: Other (Specify): Contract: Contract Term: Start Date: End Date: Item Budgeted: NA Amount: Funding Source/Fiscal Impact: Strategic Priority: Insurance Required? No Mail to: Phone: APPROVED FOR SUBMITTAL: RECOMMENDATION: Partnership Development .A.T City Manager The Agreement with J.M. Perry was specifically discussed with Parks and Recreation Commission on September 11, 2013. The Parks and Recreation Commission supports the continuation of the partnership. Staff respectfully requests City Council approve the Resolution authorizing the continuation of the Agreement with the Harriet I. Perry Trust. ATTACHMENTS: Description Upload Date Type Resolution authorizing a Lease Agreement between the City of Yakima and J M Perry Technical Institue for the operation of the Perry Technical Institute Soccer Complex 0 J.M. Perry Soccer Complex Lease Agreement 11/25/2013 Contract 11/25/2013 Resolution