I ~'! 1
Item ~.~ Consider and discuss proposed lease agreement
for the placement of the Union Church between Schreiner
College and I:err- Co+_inty and a+_ithor•ize the Co+_inty Judge to sign
same. (County Judge/Pill Rector)
Mr. Rector addressed the Co+_irt an the proposed lease
agreement. Discussion Only - Co+.irt Transcript on Record
i fl l
COMMISSIONERS' COURT AGENDA REQUEST
PLEASE FURNISH ONE ORIGINAL AND FIVE COPIES OF THIS REQUEST AND DOCUMENTS TO BE
REVIEWED BY THE COURT.
MADE BY: Fred Henneke OFFICE: Coin Judge
MEETING DATE: February 8, 1999 TIIVIE PREFERRED:
SUBJECT: (PLEASE BE SPECIFIC)
Consider and discuss Lease for the Union Church between Schreiner College and Kerr County
and authorize the County Judge to sign same.
EXECUTIVE SESSION REQUESTED: (PLEASE STATE REASON)
NAME OF PERSON ADDRESSING THE COURT:
ESTIMATED LENGTH OF PRESENTATION:
IF PERSONNEL MATTER -NAME OF EMPLOYEE:
County Jude
Time for submitting this request for Court to assure that the matter is posted in accordance with Title 5, Chapter
551 and 552, Government Code, is as follows:
Meeting scheduled for Mondays:
THIS REQUEST RECEIVED BY:
THIS REQUEST RECEIVED ON:
5:00 P.M. previous Tuesday.

All Agenda Requests will be screened by the County Judge's O$ice to deternune if adequate information has been
prepazed for the Court's formal consideration and action at time of Court Meetings. Your cooperation will be
appreciated and contribute towards you request being addressed at the eazliest opportunity. See Agenda Request Rules
Adopted by Commissioners' Court, Court Order No. 25722.
WALLACE, JACKSON, MACHANN, WILLIAMS & DOUGLASS
A PROFESSIONAL CORPORATION
ATTORNEYS AT LAW
S. Preston Douglass, Jr. TELEPHONE 830/896-5811 *Board Certified
David L. Jackson'" TELEFAX 830/257-6119 Farm Ranch, Commercial
E. Dwaine Machann And Residential Real Estate
Edgar A. Wallace 820 MAIN ST., Suite 100 **Board Certified
N. Keith Williams** KERRVILLE, TEXAS 78028-5300 Personal Injury Trial Law
February 2, 1999
Kerr County
Commissioner's Court
Kerr County Courthouse
Kerrville, Texas 78028
Attention: Thea
Re: Schreiner College/County of Kerr/Lease
Gentlemen:
At the request of Dr. Bill Rector, we have enclosed six (6) copies of a proposed Lease.
Please note that the Lease needs to be completed with the site plan (Exhibit "A"), square footage
recitation on page 1 and the insurance requirements in Paragraph 7. These are matters to be
addressed by Schreiner College and the Commissioners prior to final approval and execution of
the Lease. I understand that the Historical Commission has requested that this be placed on the
agenda for your February 8th meeting.
I have enclosed six copies of the lease.
Please let me know if you need anything further.
Sincerely,
~~ ~~~---
Dwaine Machann
EDM~Inan
Enclosures
cc: Mr. Ed Wagoner -Schreiner College
William R. Rector, M.D.
This Lease Agreement is made and entered into by and between SCHREINER COLLEGE
(Landlord) and the COUNTY OF KERR (Tenant).
Landlord hereby leases to Tenant and Tenant hereby leases from Landlord that certain
properly containing approximately square feet of raw land without improvements,
hereinafter called the "leased premises," as further described by the site plan attached as Exhibit
"A", together with a nonexclusive easement for access over and across the existing gravel drive as
shown on the site plan (and any relocation thereof).
The primary term of this Lease shall be for twenty-five (25) years commencing on the 1st
day of February, 1999, and ending at 11:59 p.m. on the 31S` day of January, 2024, upon the
following terms, conditions and covenants:
1. Taxes. If at any time now or in the future, any assessments or taxes are levied
against the leased premises or any improvements thereon, such taxes and assessments will be paid
by Tenant prior to delinquency.
2. 'li i .Tenant shall pay prior to delinquency all charges for utility installation and
services to the leased premises.
3. Holding Over. Failure of Tenant to surrender the leased premises at the expiration
of the Lease constitutes a holding over which shall be construed as a tenancy from month to month
at the same rental rate.
4. Rent. Tenant agrees to and shall pay Landlord One Dollar ($1.00) per yeaz for a
total sum of Twenty Five Dollazs ($25.00) as rent for the leased premises. Payment will be made in
advance at the signing of this Lease.
5. ~l g. Tenant owns the Old Union Church building ("Building") and intends to place
the same on the leased premises and to cause the same to be renovated by the Kerr County
Historical Commission (the "Commission").
Tenant shall use the leased premises for the following purposes and no other: Scheduled
community activities and other such uses that are compatible with other campus activities. No use
will be allowed that could impair or threaten Landlord's tax exempt status.
The Landlord will be entitled to the use of the Building and the leased premises for small
group meetings of staff and faculty on short notice (two to three days) at no cost or expense to the
Landlord. Use of the leased premises and Building by the Landlord will be subject to prior booking
or commitments made by Tenant or the Commission prior to the request for use being made by
Landlord. Since Tenant is paying all utilities and daily maintenance, if such use by Landlord
becomes excessive (such as more than once a week) the Landlord agrees to share proportionately in
utility and janitorial expense to the extent of such excessive use.
In the event the Landlord should choose to "schedule" occasional or regulazly scheduled
meetings in the Building (as opposed to short notice use referenced above), the Landlord will pay
the regular fee or other fee as determined by the Tenant and/or Commission.
6. Securi De~psit. Tenant shall pay to Landlord a security deposit in the sum of
Eight Thousand Five Hundred Dollars ($8,500.00), payable on or before the commencement of this
Lease, to insure Tenant's faithful performance hereunder. The deposit will be returned to the
Tenant if and when the exterior of the Building is renovated to the satisfaction of the Landlord. In
the event the renovation is not completed prior to February 1, 2000, the Landlord has the right to
use the deposit to remove the Building and any supporting structures from the leased premises and
cancel this Lease in its entirety.
7. Insurance. Tenant shall incorporate the leased premises and Building into the
Tenant's insurance program the same as any other land and buildings owned by the County. This
insurance is to include general liability insurance and the Landlord is to be named as an additional
insured on the liability insurance. The general liability insurance shall cover bodily injury and
property damage and shall be in an amount not less than $ per occurrence and
$ in the aggregate and shall be maintained throughout the term of this Lease.
8. ('nndition of Premises. This Lease is for raw land and Landlord has no
responsibility for facilities or utilities to be placed on it.
9. Maintenance. Tenant shall install the foundation, move the Building on to the leased
premises, install utilities and renovate the Building and thereafter maintain the interior and exterior
of the Building in the same manner as other facilities owned by the County. Tenant shall keep the
leased premises in a good, clean condition and shall at its sole cost and expense make all needed
repairs and replacements and perform all janitorial services and maintain all parking areas. Tenant
will be responsible for the installation and continual maintenance and upkeep of all landscaping
around the Building. All landscaping and replacements thereof shall be subject to approval by
Landlord.
10. Alterations and Improvements. All alterations, additions and improvements
installed at the expense of the Tenant shall continue to be the property of the Tenant. All
alterations, improvements, additions and repairs made by Tenant shall be made in a good and
workmanlike manner. No alterations, additions or improvements may be made without the prior
written consent of the Landlord.
11. Compliance with Laws and Regulations. Tenant shall, at its own expense, comply
with all laws, orders, and requirements of all governmental entities with reference to the use and
occupancy and renovation of the Building and leased premises. Tenant and Tenant's agents,
employees, and invitees shall fully comply with any rules and regulations governing the use of the
Building or other improvements to the leased premises as are required by Landlord.
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~ ~~
12. Assignment and Subletting. Tenant is responsible for this Lease but may assign the
renovation and day to day operation of the facility to the Commission, a subordinate entity of the
County government.
13. Destruction. In the event the Building or leased premises is partially damaged or
destroyed or rendered partially unfit for occupancy by fire or other casualty, Tenant shall give
immediate notice to the Landlord. Tenant may repair the damage and restore the premises to
substantially the same condition as immediately prior to the occurrence of the casualty. Such
repairs shall be made at Tenant's expense. In the event the Tenant decides not to repair or rebuild
the facility, Tenant shall remove the foundation, Building and all improvements within sixty (60)
days after the casualty and this Lease shall terminate as of such date. If Tenant does not commence
restoration within thirty (30) days after the date of the casualty and diligently proceed and complete
repairs within six (6) months, Tenant shall be deemed to have elected to not rebuild and Tenant
shall remove the foundation, Building and other improvements within the time frame set forth
above.
14. Access. Tenant will maintain the keys to the facilities and will furnish keys to
Schreiner College Campus Security.
15. INDEMNITY. NEITHER LANDLORD NOR ITS OFFICERS, DIRECTORS,
EMPLOYEES AND AGENTS SHALL BE LIABLE TO TENANT OR TO TENANT'S
EMPLOYEES, PATRONS, VISITORS, INVITEES OR ANY OTHER PERSONS FOR INJURY
TO ANY SUCH PERSONS OR FOR DAMAGE TO PROPERTY ARISING OUT OF THE USE,
OCCUPANCY AND OPERATION OF THE LEASED PREMISES AND BUILDING. TENANT
AGREES TO INDEMNIFY AND HOLD LANDLORD AND ITS DIRECTORS, OFFICERS,
EMPLOYEES AND AGENTS HARMLESS FROM ANY AND ALL LIABILITY, CLAIMS,
LOSS, COSTS AND EXPENSES (INCLUDING COURT COSTS AND ATTORNEY FEES)
ARISING OUT OF ANY SUCH INJURY AND DAMAGE, WHETHER THE INJURY OCCURS
ON OR OFF THE LEASED PREMISES.
16. Signs. Tenant shall not post or paint any sign at, on, or about the leased premises or
on the exterior walls of the Building except with the prior written consent of the Landlord.
17. Hazardous Materials. Tenant warrants and represents that the property will not
contain "Hazazdous Materials", as that phrase is defined herein. For purposes of the provision, the
phrase "Hazazdous Materials" shall mean and include any toxic, contaminated or other hazardous
materials including, without limitation, asbestos, PCB, transformers, underground storage
containers, materials containing any radioactive substances, petroleum base products, paints,
solvents, lead, cyanide, DDT, acids, pesticides, ammonium compounds, and any other substance
forming a component part of the improvements to be put on the property. Landlord acknowledges
that current and future federal, state, and local laws and regulations may require the cleanup of any
such Hazazdous Materials at the expense of those persons who in the past, present, or future may
have had or continue to have any interest in the property including, but not limited to, current, past,
and future owners and users, including tenants of the property.
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18. Return of Premises. Upon expiration or earlier termination of this Lease, Tenant
will return the leased premises to Landlord in the same or better condition than on the date of the
execution of this Lease. Tenant will be solely responsible for removal of the foundation, Building
and other improvements from the leased premises prior to the expiration or eazlier termination of
this Lease.
19. Relocation of Access. Landlord reserves the right to change and relocate the access
to the leased premises. Tenant acknowledges that any substituted access may or may not be as
convenient as the present access.
20. 'T'enant Default. In the event of default by Tenant in any of the covenants contained
herein, Landlord may enforce the performance of this Lease in any manner provided by law, and
this Lease may be terminated at Landlord's discretion if such default continues for a period of ten
(10) days after Landlord notifies Tenant of such default and its intention to declare the Lease
terminated. Unless Tenant shall have completely removed or cured said default within said time
frame, then this Lease, at the option of Landlord, shall cease and come to an end as if that were the
day originally fixed for the expiration for the term hereof and Landlord or Landlord's agent or
attorney shall have the right, without further notice or demand, to reenter and remove all persons
and Tenant's property therefrom without being guilty of any manner of trespass, and without
prejudice to any remedies for arreazs of rent or breach of covenant. In the event of any such
termination, Tenant, at its sole cost and expense, shall be required to remove the foundation,
Building and all other improvements within sixty (60) days after the termination date.
21. Attorney's Fees. In the event Tenant defaults under this Lease and Landlord places
the enforcement of this Lease or the recovery of the leased premises in the hands of an attorney, or
files suit upon the same, Tenant agrees to pay all attorney's fees and court costs incurred by
Landlord in enforcing this Lease.
22. Parkigg Areas. Tenant intends to construct additional gravel pazking spaces at the
location designated on the attached site plan to provide parking for users of the Building on the
leased premises. Landlord shall be entitled to use such pazking azea so long as such use does not
interfere with users of the Building. Such pazking areas shall be maintained by Tenant at its sole
cost and expense. Such parking area will include approximately fifty (50) pazking spaces.
23. Removal of Building by Landlord. If the foundation, Building or other
improvements of Tenant are not removed from the leased premises by Tenant within the time as
provided in this Lease, then Landlord or Landlord's representatives, contractors and/or agents may
enter upon the leased premises and remove the Building and all other improvements. All such
property belonging to Tenant and situated on the leased premises is hereby subjected to a
contractual landlord's lien and security interest to secure performance by Tenant of all of its
obligations hereunder, which lien and security interest may be imposed and enforced in accordance
with the Texas Business and Commerce Code. Landlord shall not be responsible for any damage or
destruction of the Building or any other improvements. At Landlord's election, Landlord may
remove the Building and impose charges for the storing of any such abandoned property. In such
event, Tenant shall pay the Landlord, upon demand, all such charges and expenses incurred by
Landlord, including charges for storage and for all court costs and attorney's fees.
~,
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The foregoing provisions with respect to removal of the Building and other improvements
also shall apply to the exercise of Landlord's remedies under Paragraph 6 of this Lease in the event
that the renovation is not completed prior to February 1, 2000.
24. Notice . Notices to Tenant shall be by certified mail or other delivery to the Kerr
County Courthouse. Notices to the Landlord shall be by certified mail to the Business Office of
Schreiner College. Notices will be deemed delivered upon deposit of the same with the postal
authority.
25. Right of Entrv. Landlord shall have the right during normal business hours to
enter the leased premises to inspect the general condition and state of repair thereof, and for any
other reasonable purpose.
26. Time of Essence. Time is expressly declared to be of the essence in this Lease.
27. Rights and Remedies Cumulative. The rights and remedies under this Lease
agreement are cumulative and the use of any one right or remedy by either party shall not preclude
or waive its right to use any or all other remedies. Said rights and remedies are given in addition to
any other rights the parties may have by law, statute, ordinance, or otherwise.
28. Texas Law to Aonlv:. This agreement shall be construed under and in accordance
with the laws of the State of Texas.
29. Legal Construction. In case any one or more of the provisions contained in this
Lease shall for any reason be held to be invalid, or unenforceable in any respect, such invalidity,
illegality, or unenforceability shall not affect any other provision hereof and this Lease shall be
construed as if such invalid, illegal, or unenforceable provision had never been contained herein.
30. Prior Agreements Superseded. This Lease constitutes the sole and only agreement
of the parties to this Lease and supersedes any prior understanding or written or oral agreements
between the Parties respecting the subject matter of this Lease.
31. Amendment. No amendment, modification, or alteration of the terms hereof shall
be binding unless it is in writing, dated subsequent to the date hereof, and duly executed by the
parties.
32. Special Provisions.
(a) Tenant will retain ownership, control and responsibility for the Building and any
other improvements placed on the leased premises throughout the life of the Lease.
(b) Tenant, either directly or through the Commission, as the agent of Tenant, will
develop a fee schedule for the use of the Building and schedule all activities and use of the
Building.
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~.. c
(c) Landlord must approve the site plan and all proposed renovations, and all plans and
specifications provided by the Commission, prior to commencement of any work. Landlord will
have complete architectural approval of the Building and all other improvements, alterations and
additions to the leased premises and all landscaping and pazking azeas. The renovations will
include a security system for fire, smoke and break-ins.
(d) Tenant or the Commission will erect a sign on the site designating the site with a
depiction show the original appearance of the Building. In no event will the Building or other
improvements receive any State of Texas or other historical designation that would preclude or
impair any changes or removal of the Building or such other improvements.
33. Early Termination. At any time after January 31, 2009, (a) Landlord may
terminate this Lease by written notice to Tenant in the event that Landlord needs use of the leased
premises or the land providing access to and/or parking for the leased premises and (b) Tenant may
terminate this Lease by written notice to Landlord without cause. To exercise the option, the
terminating party must provide the other party hereto with one (1) year prior notice of the date of
termination.
34. Five (,5 Year Reviews. At lease once every five (5) years during the term of this
Lease, Landlord and Tenant agree to meet informally to review the Tenant's operation of the leased
premises and Building and to discuss any financial or other hardships or difficulties that either party
may be encountering with respect to this Lease and the operation by the Tenant or the Commission
of the leased premises and the Building. Each party agrees to attempt to mediate and resolve any
such hardships or difficulties in a reasonable, good faith manner.
EXECUTED effective as of the last date of execution hereof.
COUNTY OF KERR SCHREINER COLLEGE
BY:
BY:
Frederick L. Henneke
County Judge
Date:
Name:
Title:
Date:
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