23 Hay Lease Agreement
CITY COUNCIL AGENDA ITEM BRIEFING SHEET
a Item No.:
Submittal Date: Originating Department: Presented By:
72233.
3/18/09 Counc
il Date: Legal
3/23/09
RECOMMENDED MOTION:
Awarding the bid and authorizing the execution of a Hay a Lease C o A or the ent for lowest
approximately 250 acres of Lake Gibbons property in the amount of $3,275.00 per
responsible bidder, Drew Crawford dba CK Hay Farms
year and authorizing the City Manager to negotiate and execute all necessary documents.
POLICY ISSUE(S):
BACKGROUND:
ears. The
This Lake Gibbons property has been lease for
because of some discrepancy of the
previous lease expired on December 31, 2007 and
property ownership the advertising for bids was delayed until the property
in the Paris News
better identified and new maps prepared. Legal Notice
reeved until Tuesday, March
on February 22, 2009 and March 1, 2009 and
10, 2009 at 3:00 p.m. at City Hall.
BOARD/COMMISSION RECOMMENDATION:
N/A
EXHIBITS:
Draft Resolution and Hay Lease Agreement, bid documents, bid tabulation.
BUDGET INFO:
ACTION :
❑ Financial Report El Minute Order Expense $
❑ Department Report ® Resolution Budgeted Amt. $
❑ Presentation ❑ Ordinance YTD Actual $
❑ Public Hearing ❑ Other Acct. Name
Acct. Number
FISCAL NOTES:
REVIEWED AND APPROVED BY:
EMS/IT ❑ Finance ❑ Fire
® Administration ❑ City Clerk ❑ Community Development ❑
Eng./Public Works [I Utilities
❑ Municipal Court ®Legal ❑ Library ❑ Police El Revised 2/04/08
City of Paris
000100
DRAFT
attorney\reswork\current\Lake Gibbons Hay Lease Adv Bids Res 2009
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS,
AWARDING THE BID, APPROVING THE FORM OF THE LEASE, AND
AUTHORIZING THE EXECUTION OF A HAY LEASE AGREEMENT FOR
APPROXIMATELY 250 ACRES OF LAKE GIBBONS PROPERTY FOR THE
HAY CROP; MAKING OTHER FINDINGS AND PROVISIONS RELATED TO
THE SUBJECT; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, by Legal Notice published in the Paris News on February 22, 2009 and
March 1, 2009, the City of Paris solicited bids for the hay lease consisting of approximately
250 acres of Lake Gibbons property for the hay crop and bids were received until Tuesday,
March 10, 2009 at 3:00 p.m. at City Hall, 135 1St Street SE, Paris, Texas; and,
WHEREAS, the lowest responsible bid received for the hay lease was made by CK
Hay Farms, 832 CR 32260, Sumner, TX 75486, in the amount of $3,275.00 per year, and he
should be awarded the bid for such lease; and,
WHEREAS, the form of Hay Lease Agreement for such lease for the hay crop
attached hereto as Exhibit A, should be approved, and the City manager should be
authorized to execute the same.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
PARIS, TEXAS:
Section 1. That the findings set out in the preamble to this resolution are hereby
in all things approved.
Section 2. That the bid of Drew Crawford, dba CK Hay Farms, for the hay lease, in
the amount of $3,275.00 per year, is hereby accepted and let conditioned upon the lessee
meeting all of the terms and specifications included in the bid documents.
Section 3. That the form of Hay Lease Agreement, attached hereto as Exhibit A, is
hereby approved, and the City manager be, and he is hereby authorized and directed to
execute on behalf of the City of Paris, a Hay Lease Agreement with Drew Crawford, dba CK
Hay Farms, under the terms and conditions and in the form attached hereto as Exhibit A.
Section 4. That this resolution shall be effective from and after its date of passage.
PASSED AND APPROVED this 23rd day of March, 2009.
Jesse James Freelen, Mayor
ATTEST:
Janice Ellis, City Clerk
APPROVED AS TO FORM:
W. Kent McIlyar, City Attorney
HAY LEASE AGREEMENT
STATE OF TEXAS )
KNOW ALL MEN BY THESE PRESENTS:
COUNTY OF LAMAR )
THIS LEASE AGREEMENT is made this 23`d day of March, 2009, by and between the
CITY OF PARIS, TEXAS, a home-rule municipal corporation of the County of Lamar, State of
Texas, , acting by and through its City Manager, duly authorized, hereinafter referred to as
LESSOR, and Drew Crawford, dba CK Hay Farms, 832 CR 32260, Sumner, Texas, 75486,
Lamar County, Texas, hereinafter referred to as LESSEE.
WITNESSETH
For and in consideration of the sum of Sixteen Thousand Two Hundred Seventy Five and
no/100 Dollars ($16,275.00) cash, payable in equal annual installments of $3,275.00 each, the
first of which will be due and payable on or before the 1 st day of April, 2009, with a like
payment being due and payable on or before the I st day of April of each year thereafter during
the term of this Lease, the CITY OF PARIS has bargained and sold, and does by these presents
bargain and sell, unto CK Hay Farms all the grasses and hay now standing and growing, and to
be grown, and the right to cut and bale the same upon all that certain tract of land owned by the
City of Paris, situated in Lamar County, Texas, and known as the Lake Gibbons property,
consisting of approximately 170 acres of land in hay meadows, roughly depicted by the green
shaded area on Exhibit A, attached hereto.
Said LESSOR does hereby further grant and sell unto the said LESSEE the right of
ingress and egress to and from said property at any time during the period of this lease for the
purposes of cutting, mowing, baling, removing, inspecting, improving, or fertilizing such lands.
HAY LEASE AGREEMENT - Page 1
EXHIBITA-
m
The term of this Lease is for five (5) years, beginning on the 1 st day of April, 2009, and
ending on the 31 st day of March, 2014.
IN CONSIDERATION HEREOF, it is mutually agreed by and between LESSOR and
LESSEE:
1. That LESSEE pay to LESSOR, or order, at the City Hall in the City of Paris the
agreed rental in advance, promptly and without neglect, default, and delay.
2. That LESSOR owns all fence now existing on the Lake Gibbons property, and
maintenance of said fences shall be the responsibility of LESSEE.
3. That all improvements, including fences, made upon the premises by LESSEE, or
at his instance or request, shall at once become the property of LESSOR and shall be surrendered
to LESSOR upon the termination or expiration of this Lease.
4. That LESSEE agrees to pursue good land management practices with regard to
the leased premises.
5. That LESSEE shall be responsible for supplying any and all needed chemicals or
other supplies to be used at the leased premises.
6. That LESSEE agrees to remove baled hay from the leased premises within ten
(10) working days after such bailing takes place.
7. That LESSEE will take good care of the leased premises and be responsible and
make good to LESSOR all injuries and damages to the same caused by LESSEE or those under
him and will deliver same to LESSOR at the expiration or termination of this Lease in as good
condition as when completed, usual wear and tear alone excepted; and LESSEE will, upon the
expiration of this Lease, peaceably yield up to LESSOR all and singular the premises and all
future erections, additions, or repairs to or upon same, in good repair.
HAY LEASE AGREEMENT - Page 2
U 0.10 if
8. That it shall be lawful for LESSOR's Director of Parks and Recreation, or his
designee, to enter upon the leased premises, and every part thereof, at all times for the purpose of
inspecting and examining the condition thereof.
9. That LESSEE agrees to indemnify, save, keep, and hold harmless LESSOR from
and against any and all demands, debts, liabilities, suits, claims, and causes of action of every
kind and character whatsoever for damage or injuries to persons and/or property occurring on the
leased premises resulting from LESSEE, his invitees, agents, servants, or employee's use, and
LESSOR shall not be liable to LESSEE, his invitees, agents, servants, employees, or visitors due
to the improvements located thereon, or hereafter constructed, or any other condition of the
premises being improperly constructed, maintained, or being or becoming out of repair; LESSEE
hereby waives any defects therein and agrees to hold and save LESSOR harmless from all claims
for any such damages or injuries, and LESSEE must, at all times during the term of this Lease,
and any extensions hereof, keep and maintain, in full force and effect, a policy or policies of
insurance, providing at least $250,000.00 per person and $500,000.00 for any single occurrence
for bodily injury or death and $100,000.00 for any single occurrence for injury to or destruction
of property, indemnifying all persons for any and all damages, personal injuries, or property
damages sustained in or upon the premises of said leased property, or any part thereof, as the
result of the negligence of LESSEE, his invitees, agents, servants, or employees, and shall pay all
premiums due thereon when due. It is expressly provided that such insurance policy or policies
shall and must be written and issued by a reputable insurance company or companies, with
LESSOR as an additional insured, subject to approval by the City Attorney of the City of Paris,
and LESSEE or his insurance carrier or carriers shall deliver a copy of any such policies to the
City Clerk of the City of Paris, 150 1st Street S.E., Paris, Texas 75460, or furnish to said City
HAY LEASE AGREEMENT - Page 3
(lU(~1(
Clerk a current letter or certificate from such company or companies, evidencing the fact that
such insurance is in full force and effect at all times during this Lease, and any extension hereof,
and specifically noting thereon that LESSOR is an additional insured. All such policies shall be
written so that the LESSOR will be notified of cancellation or of any restrictive amendment of
the policies at least thirty (30) days prior to the effective date of such cancellation or amendment.
Notice shall be by certified mail, return receipt requested, addressed to the LESSOR at the
following address: City Clerk, City of Paris, P. O. Box 9037, Paris, Texas 75461-9037.
It is understood, agreed, and provided that LESSOR shall not be liable or responsible to
LESSEE for damages or loss of any kind whatsoever concerning the hay and grasses grown and
to be grown on said premises, but the said LESSEE assumes all risks incident to and connected
with the same.
10. Should LESSEE default in, or fail or refuse to keep any of the covenants,
conditions, stipulations, and/or provisions herein contained, notice thereof shall be given, in
writing, to LESSEE by LESSOR's Director of Parks and Recreation, giving LESSEE thirty (30)
days to correct such discrepancy, and, in the event such default, failure, or refusal is not
corrected within said thirty (30) day period, then this Lease may be terminated at LESSOR's
option, and it shall be lawful for LESSOR to reenter the leased premises and remove all persons,
property, and effects therefrom, all and every claim for damages for or by reason of said reentry
being expressly waived.
11. That the LESSOR may, without penalty and at its sole option, and following
thirty (30) days written notice, terminate this Lease as to the entire tract, or any part thereof,
which may be necessary, in the event the LESSOR desires to use the property, or any portion
thereof, for necessary municipal functions. LESSEE shall receive a pro rata reimbursement,
HAY LEASE AGREEMENT - Page 4
~l O 0.10
based on time remaining and/or property remaining under this Lease, of any rentals paid to the
date of termination.
12. In the event LESSEE shall keep each and every agreement contained herein and
do and perform all the obligations required of him hereunder during the primary term of this
Lease, an option is hereby given and granted to LESSEE to renew and extend this Lease for a
period of five (5) years from and after the expiration of this agreement, for and in consideration
of the sum of Sixteen Thousand Two Hundred Fifty and no/100 Dollars ($16,250.00), payable in
equal annual installments of $3,275.00 each, the first of which will be due and payable on or
before the 1 st day of, April 2014, with a like payment being due and payable on or before the 1 st
day of April of each year thereafter during the term of said option. Said option may be exercised
by Lessee's giving notice in writing of Lessee's intention to renew said lease on or before the 1 st
day of January, 2014.
13. The terms of this Lease are binding on, and the benefits herein inure to, the heirs,
administrators, and executors of LESSEE. This Lease may not be assigned without the express
written approval of LESSOR.
EXECUTED on the dates shown in acknowledgments below.
CITY OF PARIS, LESSOR
By:
Kevin Carruth, City Manager
HAY LEASE AGREEMENT - Page 5
ATTEST:
Janice Ellis, City Clerk
APPROVED AS TO FORM:
W. Kent McIlyar, City Attorney
LESSEE
Drew Crawford d/b/a CK Hay Farms
STATE OF TEXAS )
COUNTY OF LAMAR )
BEFORE ME, the undersigned authority, on this day personally appeared Kevin
Carruth, City Manager of the City of Paris, Texas, 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.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this the day of ,
2009.
Notary Public, State of Texas
STATE OF TEXAS )
COUNTY OF LAMAR )
BEFORE ME, the undersigned authority, on this day personally appeared Drew
Crawford d/b/a CK Hay Farms, 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.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this the day of
'2009.
Notary Public, State of Texas
HAY LEASE AGREEMENT - Page 6
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BID TABULATION
HAY LEASE
LAKE GIBBONS PROPERTY
NAME ADDRESS BID AMOUNT
Per Year
1. CK Hay Farms 832 CR 32260 $ 3,275.00
Sumner, TX. 75486
2. Dustin McFatridge 5660 FM38N $ 1,001.00
Brookston, TX. 75421
3. $
4. $
BID FORM
TO: HONORABLE MAYOR AND CITY COUNCIL
K fk J
FROM: ~ / r / n1°
(Name of person or Company Bidding)
(Address)
(Telephone Number)
I/We hereby submit the following bid in accordance with the attached specification
for Hay Lease consisting of approximately 250 acres on Lake Gibbons property:
Hay Lease $ -3 7-5- per year
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(Signature of Pe on Submitting Bid) (Date)
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BID FORM
TO: HONORABLE MAYOR AND CITY COUNCIL
FROM: Du5 + M fq~r,~aP_
(Name of person or Company Bidding)
5Io(.0 2- -s r ri ~rGU S~O... TK 75Y a I
(Address)
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(Telephone Number)
I/We hereby submit the following bid in accordance with the attached specification
for Hay Lease consisting of approximately 250 acres on Lake Gibbons property:
Hay Lease $ 00 per year
3/8/0 9
(Signature of Person Submitting Bid) (Date)
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PUBLISH TWICE
Sunday: February 22, 2009
Sunday: March 1, 2009
LEGAL NOTICE
The City of Paris will receive sealed bids at the office of the City Manager, City
of Paris, 135 1st Street S.E., P. 0. Box 9037, Paris, Texas 75461-9037, for the
right to lease approximately 250 acres of City of Paris property near Lake
Gibbons, FM 2820, Lamar County, Texas for hay production.
Bids will be received until Tuesday at 3:00 p.m., March 10, 2009, at which time
all bids will be publicly opened at the City of Paris City Hall building, 135 1st
Street S.E., Paris, Texas, read aloud, tabulated, and referred to the City Council
for its consideration. Late bids will not be accepted or considered.
Information, specifications, and bid forms may be obtained at the office of the
City Manager, City Hall, 135 1st Street S.E., Paris, Texas 75460.
The City of Paris reserves the right to reject any or all bids, to waive any
informality in bidding, and to award bids as may be advantageous to the City.
Time may be a consideration in the awarding of this bid.
Bidders are notified of City exemption from otherwise applicable sales and
excise taxes.
All bids must be submitted on City of Paris bid form.
CITY OF PARIS, TEXAS
Janice Ellis, City Clerk
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