2020-030 - Authorizing the Termination of the Amended Lease Agreement with Suddenlink/Altice Regarding hte 9.1 Acre Tract formerly known as the Legion Airport PropertiesRESOLUTION NO. 2020-030
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS,
AUTHORIZING THE TERMINATION OF THE AMENDED LEASE
AGREEMENT WITH SUDDENLINK/ALTICE REGARDING THE 9.1 ACRE
TRACT FORMERLY KNOWN AS THE LEGION AIRPORT PROPERTIES;
MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE
SUBJECT; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, The city of Paris has owned, for several decades, an approximately 9.1
acre tract located west of 19th St. NW, a tract once referred to as the Legion Airport
properties; and,
WHEREAS, In 2005, the city leased this tract to Cox Southwest Holdings, L.P. for the
site of a telecommunications tower for a ten year term subject to four additional renewals
terms of 5 years each with the second term expiring on September 30, 2020; and
WHEREAS, The lease was amended in February, 2006 and assigned from Cox
Southwest Holdings, L.P. to Cebridge Acquisitions Co., LLC in March of that same year; and
WHEREAS, The cable television tower erected on the site was operated by
Suddenlink cable company, which in turn has been acquired by Altice.
WHEREAS, The tract was the city's contribution, along with a tax abatement, to the
economic development package offered to American SpiralWeld Pipe Company ("ASWP")
in 2018, and it is included in the Master Economic Development Agreement to be conveyed
subject to the lease. As the lease covers the entire tract, rather than the area immediately
around the tower, the lease has made it difficult for ASWP to use the tract, which they
intend to use as a laydown yard; and
WHEREAS, in order to honor the spirit of the city's agreement with ASWP, and so
that ASWP can have full use of the tract, the city's best option is to terminate the lease and
require Suddenlink/Altice to remove any remaining equipment and structures from the
site; and,
WHEREAS, the City Council of the City of Paris hereby finds that it is in the best
interest of the City of Paris and its citizens to terminate of the Amended Lease Agreement
attached hereto as EXhfll � and incorporated herein by reference regarding the 9.1 acre
tract formerly known as the Legion Airport properties;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
PARIS, TEXAS, THAT:
Section 1. The findings set out in the preamble to this resolution are hereby in
all things approved.
Section 2. The City Council of the City of Paris hereby finds that it is in the best
interest of the City of Paris and its citizens to terminate of the Amended Lease Agreement
attached hereto as EXhi it with Suddenlink/Altice regarding the 9.1 acre tract formerly
known as the Legion Airport properties
Section 3. The City Council of the City of Paris hereby authorizes the City Attorney
to notify Suddenlink/Altice of the termination of said Lease.
Section 4. This resolution shall be effective immediately upon passage.
DULY PASSED AND APPROVED this 13th day of July, 2020.
"I HE
,�4° ... pyr
NN G
ATTEST:
Ellis, City Clerk
APPROVED AS TO FORM:
6&.
Stepl anie H. Harris, City Attorney
O° w
Stev 1 . Cliffo d; M.D., Mayor
� �' 1 I! s � � � 1 rl ! .11 i 1 r 1{ CJI{ -. . ! 1 �. IST • � !' 1 ^:l) �„
'!I Y 7l 1 -77 I 1.77717, 1:.
.{'
id J1:if Ai t.1n P.11 iar:1 1 [.11 :111-. `7771 1
IN WITNESS WEMRMF d6 asst h =muted on dw 13th day of Mawk 2006.
1
0
W
;, r.; ll 11 -d t' .1 .$ . � =7-77, =7171 V." 1 A r.,� 7F I - If V r,771
9 6 ta e.� mtk EXHiBrrA
Elis, City Clack
2.
3.
AMAQUERNM
STATE OF TEXAS
r g
a
COUNTY OF LA11dAR j
This amended lease agreement (the "Lease` or the "Agreement" y in duplicate made and
entered into by and between the CITY OF PARIS, a municipal corporation, hereinafter called Lessor
and COX SOUTHWEST HOLDING. L.P., hereinafter tailed Lessee. WITNESSETH:
1. That the leaxd premises consist of the lbllo%%ing described property of Lessor, located in
Lamar County. Texas, being a part of Khat is commonly kaon as the Legion Airport
properties located West of North West 19th Street in the City ofParis, Texas, and bounded
as follows:
Beginning at a point in a fence line and nn.E. B. Lint of said Legion Airport
properties, which point is 1103 feet West and 960 fart South of the most Egteily S.
E. comer bfsaid Legion Airport properties, said corner being on the W. B. Lint of
19th N. W. Street; Thence South with said fence and boundary line 604 feet to a S.
E. comer of said Airport property; Thence in a M'esterly direction algng a South
Boundary Line of said Airport property. a distance of 670 feet, more or less. a pin In
an ell corner of said Airport property; Thence North 9 Deg. 5 Min.West with an
existing Cance linea distance of 600 feet. mon., or lea, a pin: ThencY N. 90 Deg. 25
Min. E..n distance ot654 feet. more or less to tite place of beginning, containing 9.1
acres. mare or less.
The term of this Lease shal l be for rive (5) }years. beginning on the t st day o f october. 2005,
and ending on the 30th day of September. 2014, automatically renewable thereafter on
October 1, the nnniversmy date thereof. for four (4) additional five (5) year teams, ending
finally on the 301' day of September 2030; provided however, the Ciq• quay terminate this
Agreement prior to she automatic renewal of any. annual term by Suing written notice of
termination to Lessee at least sixty (60) days in advance of the anniversary date thereof.
The Initial annual rent due and .payable to Lessor by Lessee. for the lease of the above
Te+toe! i s® ®@ r .: t . Fitp -I
4escribsd property 10 premises unto the said COX SOUTHWEST HOLDINGS, L.P., for
the term ofyeais as stated herein, upon the terms and conditions herein specified, shall be
Six Thousand' Dollars (56,000.00) annually, the first installment of Six Thousand Dollars
(56,000.00) having been paid in'advanee by mid Lessee to Lessor, the.receipt of►whieh is
hereby acknowledged, and a like installmeet shall be due and payable on the In day of
October, 2006 snd on the i"day of October of each succeeding year to and including the 1"
day of October, 2029: Provided howe«er. commencing on October `1.2006, and annually
thereafter on each annisvmry date of the Lease, the amount payable by the Lessor to the
Lessee shall be adjusted to reflect changes in the Consumer Price index (CPI -U ALL) for the
Dollas/FL Worth Metroplex Region 6 Bureau ofLabgr Statistics for each contract year. For
each years adjustment, the CPI base month used for cohculating each adjustment shall be
March of said year,
4. Lessee shall pay to Lessor or order at the office of the City Clerk. in the City o f pans. Lamar
County. Texas, the above described and mentioned annual payments alien due strictly and
promptly and without neglect. deroult or delay.
5. Any buildings. installatioiisorimproA-einentsofitny kind orcharacterniade and erected upon
the Jeosed property and premises by Lessee shall be and remain the property of lessee. shall
not attach to or become a part of fire realty and may be by Lessee removed at any time prior
to the expiration or other termination of the Lease.
6. 'Lessee shall not and nut not assign this Lease or sublet the leased property and premises or
any part thereof without first having had and obtained the approval thereof by the Governing
Body of the City or Pods.
7. lsxcept as othcranse provided herein. Lessee will not use or permit the use of any part of the
F1
.j
l pr6p�+ pnd i far MY Purpose whatever other than the use thereof as and
Incident to the tiuintenance and operation of community television antenna syslem,
$• Lessee acknowledges that Lessor is a governmental entity, and the.propergr the sueAbject ofthis
Lease is publicly owned property. As further consideration for the use of said property,
Lessee agrea to MoPeratefullyduring the term ofthis 1ARse-subjeetto reasonable financial,
logistical, regulatory, and engineering considerations and limitations, with the ei%rts or
Lessor and other entities to co-loegte varlous antenna arratis or• other communication
equipment qn existing communication towers, as proiided in Section 28 of the ZotainS
Ordinance of the City or Paris, or other similar successor legislation, to minimize the
proliferation of such towers within the City of Paris. Failure to comply with this provision
shalt constitute a material breach of this Agr+ernzent. subject to those remedies for br ach as
stated herein or as otherwise provided under state law.
9. Lessee shall at all times keep the leased property and premises reasonably clear of weeds,
grpss. and brush which might constitute afire hazard and shall not at any time allow to exist
any othercxindition %fich would pmdu,rce a Fre hazardst or upon ani• Fart or portion ofsuch
leased premises.
10. Lessee agrees to iademnily, savr, keep and hold Harmless Lessor, its officers. agents, and
employee& from and against any and al I demands, debts. liabilities. suits. claims and causes
of action ofe%vry kind and character Owtsoever far damage or injuries to persons and/or
iiropertY occurring on the leased premises resultift from Lessee's, its numbers, invitees,
agents, servants or employees' use, and Lessor shall not be liable to Lessee, its members,
invitees, agent& servants, employees, licensees, visitors, or to other third parties, due to the
building. tower, or any other condition of the premises being improperly constructed.
r``IMIi Virg@ �,Rl itz� "�y�frac roratk 1"uipjc3 � �
roalotalned or being or becoming out of repair, Lessee hereby weiving-any defects therein
anal! agreeing Whold and save Lessor harmless from a11 claims for any such damages or
igjuries; Lessea must at all times during the term of this Agreement. and any extension$
thereof. keep and maintain In full force and effect a policyorpolkles ofinsurance.Providing
st least S2S%O0O.00 per person and 5500,000.00 for any single occurrence for bodily injury
or death land $100,000.00 for any single occurrence for igjury to or destruction of property,
indemnifying the Lessor, Its officers. agents, employees, and all persons for any and all
damages, personal injuries or property damages sustained in or upon the premises of said
leased property, or MY Part thereo& as the result of the negligence of Lessee. its members.
imtitees. agents. servants or employees, and shalt pay all premiums due thereon -Alien due.
It is expressly provided that such insurenue policy or policies shall -name the Lessor as an
additional insured end shall contain a clause that the insurer will not cancel or decrease tier
insuimce eo►vmp without frrstgiving the Lessorthirty (30) days notice in writing, and must
be Witten and issued by a reputable insurance company or companies. subject to approval
by the: City Attormy ol'the City of Paris. Leser or its insurance carrier or carriers sitail
deliver a copy ofany such policies to the City Clerk otthe Cit}- of Paris. or furnish to said
City Clerk acurrent letterorcertif cme from such company orcompanies. evidencing the fact
thnt such insurance is In Bell force and effect at all times during this Lease and any extension
thereof.
H. Should Lessee at any time default in any of the covenants. conditions, provisions and
Stipulations herein contained, this Agreement may be terminated at Lessor's option and it
shall be lawful Por Lessor to re -anter the leased premises and remove all persons, property
and effects there;Irom ►vithout prejudice to any legal rights Lessor may !rave against Lessee
�ea�aa�cttic�i E>e��� �r�trtt�t►e � r��g� 4
r.
Zj
f0.or the collection of rentals or otherwise. any acid every claim for danteges for or by reason
of said rye-entryluing hereby expressly waived by Lessee.
12. A first lien is hereby axpressly given and retained on all of Lessee's property and efrects
►►filch may be located upon the leased premises to secure Less0r in the performance of this
Lease Agreement by Lessee according to its fact and More effect and reading.
13. There shall be no hold over of such premises or arty part thereof after the expiration of this
Lease ►vithout the express ►►Titten agreement of Lessor in ad►'ance of such hoidD%er, and at
the rate specified by Lessor.
14. It is specificslly understood. aimed and stipultlted that this Lease is M.adC.. cxrcuted and
entered into by and betw6m the parties hereto with the express purpose and intention that it
shall be for the purpose of distribution of television signals to the residents of the City of
Paris.
IN WITNESS WHEREOF. the City of Paris, a municipal corporation. has caused these
presents to be executed by its City Manager and attested by its Cir? Clerk as eAckneed by the
authority ofa resolution adopted by [lit City Council ol'tlu• City OfPuris in iwlular session convened
on the 24" day of M-tober. 2005. and Cox SOlrthMR-31 i loldings L.P., a corporation, has duly caused
these presents to be executed by Its President. duly authorized hereunto. and attested by 11s Secretary,
on the date shmm in the acknoMedgments completed below.
r
John D. Lestock, Assistant City Attorney
By
ATTEST:
THE STATE OF TEXAS
COUNTY OF LAMAR I
' •, 0
P�cs��c�t
LESSEE,
BEFORE ME, the undersigned authority, in and torsaid C'ouniy. `t exas. on this daypersonally
appeared Tony Williams, City Managerofthe City ofPeris, known to me to be the person %ihcise name'
is subscribed to the fomgoirg instrument, and acknowledged to me that he executed the some for the
purposes and consideration therein expressed and in the capacity therein stated.
GIVEN UNDER MY-KAND AND SEAL OF OFFICE, this day ofFebruary, zoo.
STATE OF TEXAS I
COUNTY OF SMITH �
BEFORE ME, the undemired authority, on this day personally appeared •,•
President of Cox Southwest Holdings. L.P.. known to me to 6e the person whose nmoe is subscribed
to the lbregoing instrument, and acknowledged to me that lie executed the some for the purposes and
consideration therein expressed and in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this day
2006.
Af[IC', a" , 911,f"' f' I i,,�';wa�ii"�rY-hkrrrr