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06-L PJC-Sports Complex LeaseAGENDA INFORMATION SHEET PROJECT: Consider a resolution approving and authorizing a lease agreementbetween the City ofParis and Paris Junior College to acquire the property necessary for a multi-purpose sports center. BACKGROUND: On February 19, 2001, City Council conducted a public hearing regarding the possible creation of a new sports complex. Since that action, City Council subsequently approved prior Resolution No. 2001-017 requesting the donation of land from Paris Junior College far the site of said multi-purpose sports complex. Before action was taken on approving the donation of the use of said land, the City pursued a grant from Texas Parks & Wildlife as well as authorized aconsulting services contractwith MHS Planning & Design to prepare a sports complex master plan. Subsequently, the City has received an approved grant from Texas Parks & Wildlife, and has done necessary preliminary planning related to the multi-purpose sports center, and it is now necessary to proceed to enter into a formal lease agreement with Paris Junior College to acquire the right to use the property. DESCRIPTION: The proposed lease agreement tracks a similar lease agreement with Paris Junior College for Dragon Park. Specifically, the proposed lease agreement would have a term of twenty-five (25) years, or for so long as the property continues to be used for public recreational purposes. In return for leasing the property, the City is obligated at its sole cost and expense to constructthe necessary sports improvements and maintain the property for the term of the lease. In addition, PJC will have the right to use the facility for functions sponsored by PJC as long as such use does not interfere with the City's use of the property. As is customary, the City will also indemnify PJC against any claims which arise as a result of the City's use of the property. The agreement calls for the attachment of an exhibit (Exhibit A) which would describe the property actually being leased. Currently, the City has a generalized tract drawing of the property as well as a general description of the property; City Council is asked to approve the lease agreement subject to the inclusion at a later date of a properly prepared specific survey to describe the property. Paris Junior College is aware of the need to include this exhibit, and has no problems with including it in the lease agreement as soon as the survey is available. The proposed lease agreement has been forwarded to PJC President Bobby Walters, and Mr. Walters is satisfied with the lease agreement. Any Council approval will be subjectto similar approval by the PJC Board of Regents. If changes to the lease agreement are requested by PJC, those changes will be brought back to City Council for review. COST: There are no lease payments required; the consideration to the College is the City's obligation to build and maintain the sports facilities and the opportunity for the College to participate in the use of those facilities. LOCATION: The proposed sports complex property is adjacent to the existing Civic Center property; see enclosed map attached to the lease agreement. RECOMMENDED ACTION: Approval of the proposed resolution and lease agreement. STAFF CONTACT: Terry Townsend, Director of Public Parks/Parks & Recreation; Larry W. Schenk, City Attorney; and Michael E. Malone, City Manager SCHEDULE: This is in important step in the process of bringing the sports complex to reality. COUNCIL DATE: Consider for approval at City Council's March 11, 2002, regular Council meeting. ADDITIONAL MATERIALS: See enclosed draftresolution and proposed lease agreement. A similar draft resolution has been forwarded to Paris Junior College for approval by the College Board of Regents. DRAFT J:WttorneyW.ICE~6WO~CURRENT\6ports Comples Lease Res.wptl March 8, 2002 RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, PARIS, TEXAS, APPROVING AND AUTHORIZING THE MAYOR TO EXECUTE AND THE ASSISTANT CITY CLERK TO ATTEST TO A LEASE AGREEMENT BY AND BETWEEN THE CITY OF PARIS AND PARIS JUNIOR COLLEGE FOR THE LEASE OF PROPERTY NECESSARY FOR CREATION OF A MULTI-PURPOSE SPORTS COMPLEX; MAHING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; AND DECLARING AN EFFECTIVE DATE. WHEREAS, the City Council of the City of Paris, Paris, Texas, has received numerous citizen inquiries and requests for consideration of the creation of a new sports complex; and, WHEREAS, in furtherance of said compley, the City Council received a petition signed by numerous citizens seeking City Council consideration of the creation of said sports complex; and, WHEREAS, on Monday, February 19, 2001, the City Council ofthe City ofParis conducted a public hearing regarding the possible creation of a new sports complex; and, WHEREAS, Paris Junior College proposed to provide the City sufficient property as part of the potential match for State grant funding for the siting of a new sports complex; and, WHEREAS, the City Council, by prior Resolution No. 2001-017, adopted February 19, 2001, requested the donation of land from Paris Junior College for the site of a new multi-purpose sports complex; and, WHEREAS, the City Council, by adoption of Resolution No. 2001-044 on April 9, 2001, approved a consulting services contract with MHS Planning & Design to provide necessary consulting services to prepare a sports complex master plan, to prepare revisions to the current parks and open space master plan, and to prepare necessary documents for submission of a grant application to Texas Parks and Wildlife; and, WHEREAS, as a consequence of said grant application, the City has received a$500,000.00 Texas Parks and Wildlife grant as part of the funding necessary to begin construction of the aforesaid multi-purpose sports complex; and, WHEREAS, the City Council has previously authorized an additional $500,000.00 in funding far the aforesaid sports complex; and, WHEREAS, the City Council has encouraged businesses, philanthropic organizations, interested groups, and other individuals to make contributions to the creation of said multi-purpose sports complex; and, WHEREAS, other donations have been forthcoming, including donations by or on behalf of the Paris Visitors and Convention Council, Love Civic Center, and the Lamar County Chamber of Commerce; and, WHEREAS, in order to proceed with the construction ofthe aforesaid multi-purpose sports compley, the City and Paris Junior College must enter into a long-term lease agreement for the City to acquire the necessary property far the construction of the aforesaid multi-purpose sports complex; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PARIS, PARIS, TEXAS: Section 1. That the findings set out in the preamble to this resolution are hereby in all things approved. Section 2. Thatthe Mayor shall be and is hereby authorized to execute and the Assistant City Clerk to attest to a Lease Agreement, a copy of which is attached hereto and for all purposes incorporated herein, by and between the City of Paris and Paris Junior College for the City of Paris to lease the property necessary for construction of a multi-purpose sports complex. Section 3. That this resolution shall become effective from and after its date of passage. PASSED AND APPROVED this l lth day of March, 2002. Michael J. Pfiester, Mayor ATTEST: Thomas E. Haynes, Assistant City Clerk APPROVED AS TO FORM: Larry W. Schenk, City Attorney LEASE AGREEMENT STATE OF TEXAS § COUNTY OF LAMAR § KNOW ALL MEN BY THESE PRESENTS: This Lease Agreementis made and entered into this l lth day ofMarch, 2002, by and between PARIS JLJNIOR COLLEGE, acting by and through its Vice President of the Board of Regents, duly authorized, hereinafter referred to as "PJC," and the CITY OF PARIS, PARIS, TEXAS, a municipal corporation, acting by and through its Mayor, duly authorized, hereinafter referred to as "CITY." WITNESSETH For and in consideration of the improvement of the leased property, a general description of which is attached hereto as Exhibit A, hereinafter referred to as the "property," and the maintenance of the improvements on the leased property, PJC does hereby lease, rent, and let unto CITY the property described in said Exhibit A, attached hereto and made a part hereof for all legal purposes. For and in return for such consideration, the parties agree as follows: 1. Purpose. The purpose of the lease is to establish a multi-purpose sports complex. 2. Term. The term of this lease shall begin , 2002, and shall extend for a period of twenty-five (25) years, or for so long as the property shall continue to be used for public recreational purposes, including, but not limited to, use as a multi-purpose sports compley, park, or other similar facility. In the event the term of this contract shall end because the property has been abandoned by the CITY for such public recreational purposes as described herein, the property will revert to PJC along with any and all improvements thereon. EXHIBIT A -1- 3. Consideration. As consideration hereof, the CITY agrees, at its sole cost and expense, to maintain the property described in Exhibit A for use as a multi-purpose sports complex and/or public recreational facility throughout the term of this Lease Agreement. 4. Indemnification. The CITY agrees to indemnify, save, keep, and hold harmless PJC from and against any and all demands, debts, liabilities, suits, claims, and causes of action of every kind and character whatsoever for damages or injuries to persons and/or property occurring on the leased premises resulting from CITY's, its members', invitees', agents', servants', or employees' use; and PJC shall not be liable to CITY, its members, invitees, agents, servants, employees, licensees, or visitors due to any condition of the property being improperly constructed, maintained, or being or becoming out of repair, CITY hereby waiving any defects thereon and agreeing to hold and save PJC harmless from all claims for any such damages or injuries; provided, however, that such indemnification shall not extend to circumstances caused or resulting from the use of such property by PJC itself, its members, invitees, agents, servants, or employees. 5. Taxes. The CITY shall hold PJC harmless for any and all ad valorem taxes, if any, which become due and payable upon the leased property during the term of the lease. 6. Subletting. The CITY shall not sublet the leased property, or any part thereof, without the consent, in writing, of PJC first had and obtained. This provision shall not be construed to prevent the CITY from, and the CITY is hereby authorized to, license the temporary use of the property and the facilities located thereon for various events or activities. 7. Use by PJC. PJC shall have the right and privilege of using any portion of said property so leased for functions sponsored by PJC, which shall be conducted on a non-interfering basis with CITY'S use. PJC shall be responsible for any and all damage caused to the premises as a result of such use. -z- 8. Default. Should CITY default in or fail or refuse to keep any of the covenants, conditions, stipulations, and/or provisions herein contained, notice thereof shall be given to CITY by PJC, and in the event such default, failure, or refusal has notbeen corrected or performed within sixty (60) days from the date of such notice, then this Lease Agreement may be terminated at PJC's option, and it shall be lawful for PJC to reenter the leased premises and remove all persons, property, and defects therefrom, all and every claim for damages by reason of said reenhy being expressly waived. 9. Notice required. All notices provided for herein shall be made by personal service. WITNESS our hands this l lth day of March, 2002, in multiple copies, each of equal effect. PARIS JUNIOR COLLEGE By: Don Riddle, Vice President Board of Regents ATTEST: Ann Wyche, Secretary By: ATTEST: Thomas E. Haynes, Assistant City Clerk CITY OF PARIS, PARIS, TEXAS Michael J. Pfiester, Mayor -3- APPROVED AS TO FORM: Larry W. Schenk, City Attorney STATE OF TEXAS COUNTY OF LAMAR BEFORE ME, the undersigned authority, on this day personally appeared Don Riddle, Vice President ofthe Board of Regents of Paris Junior College, known to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me thathe 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 day of , 2002. Notary Public, State of Texas STATE OF TEXAS COUNTY OF LAMAR BEFORE ME, the undersigned authority, on this day personally appeared Michael J. Pfiester, Mayor of the City of Paris, 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 llth day of March, 2002. Notary Public, State of Texas -4-