HomeMy WebLinkAboutLeaseLotH36BowersFieldLindseyKITTITAS COUNTY
DEPARTMENT OF PUBLIC WORKS
AGENDA DATE:
ACTION REQUESTED:
AGENDA STAFF REPORT
October 16, 2018
Approve & Sign a Lease for Lot H-36 of the Kittitas
County Amended Binding Site Plan located at
Bowers Field with Kenneth H. Lindsey and Leslie
H. Lindsey, husband and wife.
BACKGROUND: On November 2, 1993, William R. Pace, III entered
into a lease with Kittitas County.
On September 12, 2018, William R. Pace, III,
noticed Kittitas County of his intention to sell his
hangar to Kenneth H. Lindsey and Leslie H.
Lindsey, husband and wife and requested to
terminate his lease for Lot H-36 of the Kittitas
County Amended Binding Site Plan. This was
completed under previous Kittitas County Board of
County Commissioner action.
Staff is now requesting approval of a new lease with
Kenneth H. Lindsey and Leslie H. Lindsey, husband
and wife at the lease rate of $.12 per square foot for
a yearly lease amount of $634.02, not including
leasehold tax for a term of 25 years.
INTERACTION: Public Works; Kenneth H. Lindsey and Leslie H.
Lindsey, husband and wife
RECOMMENDATION: Approve and Sign the Lease with Kenneth H.
Lindsey and Leslie H. Lindsey, husband and wife
for Lot H-36 of the Kittitas County Amended
Binding Site Plan.
HANDLING: Return one (1) original to Public Works
ATTACHMENTS: Lease Agreement
LEAD STAFF: Mark Cook, Director
KITTITAS COUNTY AIRPORT
4*4
DEPARTMENT OF PUBLIC WORKS
l LEASE
THIS LEASE made and entered into this day of 2018, by and
between Kittitas County, a municipal corporation in the State of Washington, hereinafter
referred to as the LESSOR, and Kenneth H. Lindsey and Leslie H. Lindsey, husband
and wife, hereinafter referred to as the LESSEE.
WITNESSETH:
The Lessor hereby agrees to lease to the Lessee, and the Lessee hereby agrees to
lease from the Lessor, the following described real property (hereinafter the 'Property"):
See Exhibit "A" attached hereto, also described as:
Lot H-36 of the Kittitas County Amended Binding Site Plan BS -10-00001, as
recorded June 28, 2010, in Book 11, pages 249-255, County of Kittitas, State of
Washington.
Containing 5,283.50 sq. ft. or .12 acres more or less.
This lease is made in accordance with Chapter 2.81 KCC. This lease is subject to the
provisions of Chapter 59.12 RCW as currently existing of hereafter amended.
1. TERM: The term of this lease shall be 25 years and will commence on the 1st day
of November, 2018.
2. RENT: Rent shall be paid in advance on an annual basis, with the first payment
due on or before the 1st day of November each year and continuing thereafter until
termination of this lease. The rental for each year shall be as follows:
11/01/18 —10/31/23
Term
Rental Rate
($.12 per Sq. Ft.)
Not Including
Leasehold Tax'
11/01/18 — 10/31/19
JL34.02
11/01/19 — 10/31/20
J634.02
11/01/20 — 10/31/21
634.02
11/01/21 — 10/31/22
634.02
11/01/22 — 10/31/23
634.02
11/01/23
Renegotiate
*The current Leasehold Excise Tax Rate is 12.84%, as determined by the State of Washington and is subject to change.
FY AIRPORT
ADJUSTMENT OF RENTAL: The rental for every five year period thereafter, or
part thereof, at the commencement of such period, shall be readjusted and fixed by
the Board of County Commissioners;
(a) After the fifth year, the Lessor shall have the right to readjust the rent
on or before September 1st of the fifth, tenth, fifteenth, twentieth,
twenty-fifth, thirtieth, thirty-fifth, fortieth, forty-fifth, and fiftieth years of
this lease for each following five year period; and the increase shall BE
THE CUMULATIVE EFFECT OF THE CPI INDEX OVER THE
PREVIOUS FIVE YEARS. The rent increase is at the sole discretion of
the Lessor, and Lessor may elect to maintain the rent at the previous
rate. It is agreed between LESSOR and LESSEE that the following CPI
Index will be used for future rental increases:
"CPI — All Cities -All Items Size Class D Under 50,000."
4. LEASEHOLD TAX: In addition to any rental herein provided, the Lessee shall pay
to the Lessor the leasehold tax as set forth by the State of Washington in Chapter
61, Laws of 1976, Second Executive Session (R.C.W. 82.29A) or as amended.
The tax shall be due and payable at the same time the rental charged herein is due
and payable.
FIRE PROTECTION ASSESSMENT In addition to any rental herein provided,
the Lessee shall pay a fee which shall be in lieu of taxes for fire protection
services. The annual rate shall be based upon the annual fire assessment
determined by the Kittitas County Assessor and Kittitas Valley Fire & Rescue to
be calculated on January 1st of the current year. The assessment shall be pro-
rated monthly, due and payable concurrently with the monthly lease payment.
6. UTILITIES: The Lessee shall pay for extension of and all utility services supplied to
the premises. Any such extensions shall be subject to the advance review of the
Lessor.
7. PURPOSE: It is understood by Lessee that this lease is not for commercial
purposes and that the lease rate is for a ground lease for a private Aircraft Hangar.
The Lessee shall utilize the premises primarily for an aircraft hangar for non-
commercial aircraft storage and maintenance at least seven (7) months out of each
calendar year. The land and any improvements are for non-commercial uses only;
Lessee shall not conduct any tvpe of commercial activity from said premises,
without first obtaining the prior written approval of the Department of Public Works.
No planes shall be allowed to be tied -down on the apron area of the leased
premises. The leased premises are specifically for the private hangar.
KITTITAS COUNTY AIRPORT
8. RULES AND REGULATIONS: The Lessee agrees to comply with all pertinent
rules and regulations of the federal, state and local governments, as well as the
rules, regulations, ordinances, and minimum standards of the Kittitas County Airport
(Bowers Field), as are presently in effect and may in the future be adopted. The
rules, regulations, ordinances and minimum standards of the Kittitas County Airport
(Bowers Field) are made a part of this Agreement and shall have the same effect
as though written herein. A copy of the Kittitas County Airport Standards is on file
in the office of the Kittitas County Department of Public Works.
9. IMPROVEMENTS: Upon termination of this lease, for whatever reason and
under whatever circumstances, all improvements remaining upon the leased
premises become the property of Lessor, free and clear, without any liability of
Lessor to Lessee. Should Lessor desire the removal of Lessee's improvements
upon the date of lease termination, Lessor shall give Lessee written notice to
remove all improvements and return the premises to its state as before the lease
at least thirty (30) days prior to the termination date for the lease. Upon removal,
the premises shall be left in a neat and orderly condition, without debris and shall
be graded level. Should the premises not be left in such condition, after Lessee
received such notice, Lessor may remove improvements and repair the premises
and seek reimbursement from Lessee in any manner allowed by law.
In consideration for a lease term in excess of 10 years in duration, Lessee
promises and agrees to maintain the structure described on Exhibit "A" attached
hereto and incorporated herein by this reference. Lessee agrees that, should
Lessee fail to maintain the structure described in Exhibit "A", this lease shall
automatically terminate and Lessee forfeits any and all interest in the premises.
No construction may be made without prior obtaining of appropriate permits, the
responsibility for which is that of Lessee.
10. REPAIRS: The maintenance and repair of the aircraft hangar structure and other
improvements shall be the responsibility of the Lessee, including utilities within the
leased area.
The Lessee further agrees that it will not commit waste and that it will keep said
premises in a safe, sanitary, neat, presentable, and otherwise good condition, and
in general shall comply with all the applicable governmental rules, ordinances and
regulations as may be required or imposed by such authorities on said premises
and shall comply with any direction pursuant to law of any public officer or officers
who shall be empowered to enforce local, state and federal rules, regulations and
ordinances upon the Lessee with respect to the said premises or the use,
occupancy, or control thereof and shall not suffer any improper or offensive use of
said premises.
KITTI W; COUNTY
AIRPORT
11. AREA MAINTENANCE: Lessee shall, during the term of this lease, maintain the
area between the building and boundary line of said lease to the satisfaction of the
Lessor. The area shall be kept free of all debris, weeds and brush for the term of
this lease. Lessee shall reimburse the Kittitas County Weed Board or Kittitas
County Department of Public Works for any costs incurred in the event that the
County Weed Board or Kittitas County Department of Public Works undertakes
noxious weed or vegetation control measures.
12. INSURANCE: The Lessee shall obtain and maintain in force during the term of this
agreement a liability insurance policy, which provides protection for bodily injury
(including death) and property damage. Said insurance shall provide coverage by
the Lessee to any employees or permittees of the Lessee, and shall name the
Lessor as coinsured.
(a) Liability insurance policy shall have the following provisions, at a
minimum:
(i) Premises and leased area liability coverage in an
amount not less than $1,000,000 - each occurrence.
(ii) Provide for not less than thirty (30) days in advance a
written notice to Kittitas County regarding any material change or
termination of the policy.
(b) Lessee hereby releases Lessor of and from every and all right, claim
and demand that Lessee may hereafter have against Lessor, its successors
or assigns, arising out of or in connection with any loss or losses occasioned
by fire and such items as are included under the normal extended coverage
clauses of insurance policies, and does hereby waive all rights of
subrogation in favor of insurance carriers against Lessor arising out of any
losses occasioned by fire and such items as are included under the normal
extended coverage clauses of fire insurance policies, and sustained by
Lessee in or to the said premises and leased area.
The Lessee shall provide the Lessor with a copy of said insurance policy.
13. AIRPORT TRAFFIC: It is understood and agreed that the Lessee's use of said
premises and leased area shall not in any manner interfere or restrict the use of
aircraft landings, take -offs, storage of aircraft, taxiing, and movement of ground
vehicles. Lessee shall comply with all rules and regulations of the Federal Aviation
Administration, Washington State Department of Transportation Aeronautics
Division, and the Kittitas County Airport Standards.
14. HUNTING: Hunting or discharging of firearms will not be permitted on or from said
premises or leased area.
A!RPOR1
15. NOTICES: Any notice given by one party to the other in connection with this
agreement shall be in writing and shall be sent by certified or registered mail, return
receipt requested as follows:
(a) If to Lessor, addressed to:
Kittitas County Department of Public Works
411 N. Ruby, Suite #1
Ellensburg, Washington 98926
(b) If to Lessee, addressed to:
Kenneth H. Lindsey
Leslie H. Lindsey
110 W. 6th Ave., PMB #158
Ellensburg, Washington 98926
Notice shall be deemed to have been received on the third day after the date of
mailing.
Notice need be sent to but one Lessee where the Lessee is more than one person.
16. ATTORNEY FEES: In case Lessor shall bring suit to recover any rent due
hereunder, or for breach of any provision of this lease, or to recover possession of
the leased premises, or if Lessee shall bring any action for any relief against
Lessor, declaratory or otherwise, arising out of this lease, the prevailing party shall
recover reasonable attorney fees which shall be determined and taxed by the court
as part of the costs of such action.
17. RIGHTS OF THE U.S. GOVERNMENT: The Lessor holds title to the Property
herein leased, partially by virtue of a deed from the United States Government. A
copy of said deed is available for inspection at the office of the Kittitas County
Department of Public Works, hereto and made a part of this instrument as though
fully set forth herein. Lessee agrees that it will do nothing which will cause the
Lessor to be in violation of the terms of said deed. Lessee furthermore agrees that
it has had ample opportunity to review said deed and is aware of all of the terms
and conditions therein.
18. ASSIGNMENT: The Lessee shall not assign this lease nor sublet any portion
thereof without first obtaining the written consent of the Lessor.
19. HOLD HARMLESS: The Lessee hereby agrees to defend, indemnify and hold
harmless the Lesser from any and all claims or demands whatsoever arising out of
any loss, damage, or injury to persons or property resulting from the Lessee's use
or occupancy of said premises and leased area, or caused by the acts or neglect of
the Lessee, his agents or employees.
AIRPORT
20. BANKRUPTCY: It is further agreed and understood that in case of the insolvency
or bankruptcy of the Lessee, or any assignment for the benefit of creditors or the
appointment of a receiver for the Lessee, this lease shall be immediately forfeited
and shall be of no further force and effect, and that the Trustee in Bankruptcy,
Receiver, or Assignee for the benefit of creditors shall not have any rights
whatsoever in the demised premises.
21. DEFAULT: In the event the Lessee shall fail to comply with any of Lessee's
commitments, duties or responsibilities under this lease, or any of its conditions or
terms as herein stated, the Lessor may terminate this lease by giving ten (10) days
written notice of the conditions or terms being violated. If said failures are not
corrected within the ten (10) day period, this lease may be terminated and the
Lessor shall be entitled to peaceably retake possession of the premises.
22. MODIFICATION OR TERMINATION: Lessee and Lessor agree that Lessor may,
at Lessor's sole discretion, modify the terms of this lease in whole or in part,
including but not limited to any term or condition of this lease, including cancelling
the unexpired portion of this lease and re -letting the property to another tenant, in
the event that any regulation governing airports or county property is amended in a
way that impacts the Lessor's ability to lease, use, control, protect, or maintain the
Property. For the purposes of this section, "regulation" is defined to include, but is
not limited to: case law interpreting any rule or regulation; any federal rules and
regulations, including Federal Aviation Administration rules and regulations; state
rules and regulations; and local rules, regulations and ordinances.
In the event that Lessor shall elect to modify or terminate this lease, Lessor shall do
so only upon one hundred twenty (120) days written notice, notifying Lessee, at
Lessee's address of record, that the lease to which this applied is being so modified
or terminated.
Upon receipt of such notification, and in the event the notification specified
modification of the lease short of termination, Lessee shall have sixty (60) days in
which to notify Kittitas County of Lessee's intention to continue the lease as
modified or of Lessee's intention to treat the lease as terminated.
In the event that Lessee elects to treat the lease as terminated, all rents shall be
pro -rated to the date Lessee shall have restored the premises to the Lessor in
accordance with the terms of the lease agreement governing Lessee's duties to
restore the premises to Lessor upon expiration of the lease term.
It is further agreed that neither such modification or termination of this lease nor any
subsequent re -letting of the premises, in whole or in part, shall give rise to any
cause of action for damages or any other form of relief by Lessee against Lessor or
any successor lessee.
In the event of such modification or termination, Lessee understands that other than
a refund of any unearned rent prorated to the date Lessee has restored the
.!TTITki CO''IjNT'f
premises to Lessor, Lessee shall have no claim for compensation as occasioned by
said modification or termination.
23. WAIVER: No assent, express or implied, by the Lessor to any breach of any of
Lessee's covenants, agreements, conditions or terms hereof shall be deemed or
taken to be a waiver of any succeeding breach of any covenant, agreement,
condition or term hereof.
24. VENUE: In the event of any litigation between Lessor and Lessee arising out of this
lease, the venue for such action shall lie in Kittitas County, notwithstanding any
contrary provision of the Revised Code of Washington.
25. APPLICABILITY: The covenants, agreements, terms and conditions contained in
this lease shall apply to and be binding upon Lessor and Lessee and their
respective heirs, executors, administrators, successor and assigns.
26. INTEGRATION: Exhibits and Recitals are incorporated herein by this reference.
This Lease embodies the entire agreement between the parties with respect to
the subject matter herein contained. No amendments or modifications hereof
shall be enforceable unless in writing, signed by the party to be charged.
27. NONDISCRIMINATION: The (grantee, licensee, permittee, etc., as
appropriate) for himself, his heirs, personal representatives,
successors in interest, and assigns, as a part of the consideration
hereof, does hereby covenant and agree (in the case of deeds and
leases add "as a covenant running with the land") that in the event
facilities are constructed, maintained, or otherwise operated on the
said property described in this (deed, license, lease, permit, etc.) for
a purpose for which a DOT program or activity is extended or for
another purpose involving the provision of similar services or
benefits, the (grantee, licensee, lessee, permittee, etc.) shall
maintain and operate such facilities and services in compliance with
all other requirements imposed pursuant to 49 CFR Part 21,
Nondiscrimination in Federally Assisted Programs of the Department
of Transportation, and as said Regulations may be amended.
The (grantee, licensee, lessee, permittee, etc., as appropriate) for
himself, his heirs, personal representatives, successors in interest,
and assigns, as a part of the consideration hereof, does hereby
covenant and agree (in the case of deeds and leases add "as a
covenant running with the land") that: (1) no person on the grounds
of race, color, or national origin shall be excluded from participation
in, denied the benefits of, or be otherwise subjected to
discrimination in the use of said facilities, (2) that in the construction
of any improvements on, over, or under such land and the
furnishing of services thereon, no person on the grounds of race,
color, or national origin shall be excluded from participation in,
KITTiTAS CcuN-fY
denied the benefits of, or otherwise be subjected to discrimination,
(3) that the (grantee, licensee, permittee, etc.) shall use the
premises in compliance with all other requirements imposed by or
pursuant to 49 CFR Part 21, Nondiscrimination in Federally
Assisted Programs of the Department of Transportation, and as said
Regulations may be amended.
The following Exhibits are incorporated by reference:
Exhibit A: Description of Property
Lot H-36 of the Kittitas County Amended Binding Site Plan BS -10-00001, as
recorded June 28, 2010, in Book 11, pages 249-255, County of Kittitas, State of
Washington.
Containing 5,283.50 sq. ft. or .12 acres more or less.
IN WITNESS WHEREOF, the Lessor and Lessee have signed their names and affixed
their seals the day and year first above written.
Attest:
❑ Clerk of the Board- Julie Kjorsvik
❑ Deputy Clerk of the Board- Mandy Buchholz
Approved as to Form:
Prosecuting Attorney
LESSOR:
BOARD OF COUNTY
COMMISSIONERS
KITTITAS COUNTY, WASHINGTON
Laura Osiadacz, Chairman
Obie O'Brien, Vice -Chairman
Cory Wright, Commissioner
LESSEE:
Kenneth H. Lindsey
Leslie H. Lindsey
110 W. 6th Ave., PMB #158
Ellensburg, Washington 98926