ORDER NO. 29192 RENEWAL OF LEASE FOR PRECINCT #4 AND TAX OFFICE ANNEX BUILDING On this the 13th day of June 2005, upon motion made by Commissioner Baldwin, seconded by Commissioner Nicholson, the Court unanimously approved by a vote of 4- 0-0, to renew the lease for Justice of the Peace Pct. #4 and Tax Office Annex Building effective June 1, 2005. 29192 COMMISSIONER'S COURT AGENDA REQUEST PLEASE FURNISH ONE ORIGINAL AND NINE COPIES OF THIS REOJEST AND DOCUMENTS TO BE REVIEWED BY THE COURT. MADE $Y: Glenn Holekam~_ OFFICE: Facilities Use & Maintenance MEETING DATE: June 13. 2005 TIME PREFERRED: SUBJECT: Consider and discuss renewal for Pct. 4 and Tax Office Annex Building, also authorize payment for June balance. EXECUTIVE SESSION REQUESTED: NAME OF PERSON ADDRESSING THE COURT: Glenn Holekamn ESTIMATED LENGTH OF PRESENTATION: S minutes IF PERSONNEL MATTER-NAME OF EMPLOYEE: Time for submitting this request for Court to assure that the matter is posted in accordance with Title S Chapter 551 and S52 Government Code, is as follows: Meeting scheduled for Mondays: 5:00 P.M. previous Tuesday THIS REQUEST RECEIVED BY: THIS REQUEST RECEIVED ON: All Agenda Requests will be screened by the County Judge's Office to determine if adequate information has been prepared for the Court's formal consideration and action at time of Court Meetings. Your cooperation will be appreciated and contribute towazds your request being addressed at the earliest opportunity. See Agenda Request Rule Adopted by Commissioner's Court. ~~ l ~~ COMMERCIAL LEASE This lease is made between James W. Priour, ltI, Agent, of Kerr County, State of Texas, herein called Lessor, and The County of Kerr, of Kerr County, State of Texas, herein called Lessee. This lease is subject to annual appropriation of funds by Commissioners Court. Lessee hereby offers to lease from Lessor the premises situated in the City of Ingram, County of Kerr, State of Texas, described as 214B Junction Highway, upon the following TERMS and CONDITIONS: 1. Term and Rent: Lessor demised the above premises for a term of two (2) years, commencing on or about June 1, 2005 and terminating on May 31, 2007, or sooner as provided herein at the monthly rental of $750.00, payable in advance on the first day of each month for that month's rental, during the term of this lease. Rental for the month of .~~+~ , 200', will be prorated for the actual number of days that Lessee has possession of the premises. All rental payments shall be made to Lessor, at the address specified above. 2. Use: Lessee shall use and occupy the premises for County Offices. The premises shall be used for no other purpose. Lessor represents that the premises may lawfully be used for such purpose. 3. Care and Maintenance of Premises: Lessee acknowledges that the premises are in good order and repair, unless otherwise indicated herein. Lessee shall, at his own expense and at all times, maintain the premises in good and safe condition, including plate glass, electrical wiring, plumbing and any other system or equipment upon The premises and shall surrender the same, at termination hereof, in as good condition as received, normal wear and tear excepted. Lessee shall be responsible for all repairs required, excepting the roof, exterior walls, structural foundations, and hvac systems which shall be maintained by Lessor. Lessee shall also maintain in good condition such portions adjacent to the premises, such as sidewalds, driveways, lawns and shrubbery, which would otherwise be required to be maintained by Lessor. 4. Alterations: Lessee shall not, without first obtaining the written consent of Lessor, make any alterations, additions, or improvements, in, to or about the premises. 5. Ordinances and Statutes: Lessee shall comply with all statutes, ordinances and requirements of all municipal, state and federal authorities now in force, or which may hereafter be in force, pertaining to the premises, occasioned by or affecting the use thereof by Lessee. 6. Assignment and Subletting: Lessee shall not assign this lease or sublet any portion of the premises without prior written consent of the Lessor, which shall not be unreasonably withheld. Any such assignment of subletting without consent shall be void and, at the option of the Lessor, may terminate this lease. 7. Utilities: All applications and connections for necessary utility services on the demised premises shall be made in the name of Lessee only, and Lessee shall be solely liable for utility charges as they become due, including those for sewer, water, gas, electricity and telephone services. 8. Entry and Inspection: Lessee shall permit Lessor or Lessor's agents to enter upon the premises at reasonable times upon reasonable notice, for the purpose of inspecting the same, and will permit Lessor at any time within silty (60) days prior to the expiration of this lease, to place upon the premises any usual "To Let" or "For Lease" signs, and permit persons desiring to lease the same to inspect the premises thereafter. 9. Possession: If Lessor is unable to deliver possession of the premises at the commencement hereof, Lessor shall not be liable for any damages caused thereby, nor shall this lease be void or voidable, but Lessee shall not be liable for any rent until possession is delivered. Lessee may terminate this (ease if possession is not delivered within fifteen (15) days of the commencement of the term hereof. 10. Indemnification of Lessor: Lessor shall not be liable for any damage or injury to Lessee, or any other person, or to any property, occurring on the demised premises or any part thereof, and Lessee agrees to hold Lessor harmless from any claims for damages, no matter how caused. 11. Insurance: Lessee, at his expense, shall maintain plate glass and public liability insurance including bodily injury and property damage insuring Lessee and Lessor with minimum coverage as follows: Lessee shall provide Lessor with a certificate of Insurance showing Lessor as additional Insured. The Certificate shall provide for a ten (10) day written notice to Lessor in the event of cancellation or material change of coverage. Lessee and Lessor, for the benefit of each other, waive any and all rights of subrogation which might otherwise exist. 12. Eminent Domain: If the premises or any part thereof or any estate therein, or any other part of the building materially affecting Lessee's use of the premises, shall be taken by eminent domain, this lease shall terminate on the date when title vests pursuant to such taking. The rent, and any additional rent, shall be apportioned as the termination date, and any rent paid for any period beyond that date shall be repaid to Lessee. Lessee shall not be entitled to any part of the award for such taking or any payment in lieu thereof, but Lessee may file a claim for any taking of fixtures and improvements owned by Lessee, and for moving expenses. 13. Destruction of Premises: In the event of a partial destruction of the premises during the term hereof, from any cause, Lessor shall forthwith repair the same, provided that such repairs can be made within sixty (60) days under existing governmental laws and regulations, but such partial destruction shall not terminate this lease, except that Lessee shall be entitled to proportionate reduction of rent while such repairs are being made, based upon the extent to which the making of such repairs shall interfere with the business of Lessee on the premises. If such repairs cannot be made within said silty (60) days, Lessor, at his option, may make the same within a reasonable time, this lease continuing in effect with the rent proportionately abated as aforesaid, and in the event that Lessor shall not elect to make such repairs which cannot be made within sixty (60) days, this lease may be terminated at the option of either party. In the event that the building in which the demised premises may be situated is destroyed to an extent of not less than one-third (1/3) of the replacement costs therof, Lessor may elect to terminate this lease whether the demised premises be injured or not. A total destruction of the building in which the premises may be situated shall terminate this lease. 14. Lessor's Remedies on Default: If Lessee defaults in the payment of rent, or any additional rent, or defaults in the performance of any of the other covenants or conditions hereof, Lessor may give Lessee notice of such default and if Lessee does not cure any such default within fifteen (15) days, after the giving of such notice (or if such other default is of such nature that it cannot be completely cured within such period, if Lessee does not commence such curing within such ffteen (IS) days and thereafter proceed with reasonable diligence and in good faith to cure such default), the Lessor may terminate this lease on not less than fifteen (15) days notice to Lessee. On the date specified in such notice the term of this lease shall terminate, and Lessee shall then quit and surrender the premises to Lessor, but Lessee shall remain liable as hereinafter provided. If this lease shall have been so terminated by Lessor, Lessor may at any time thereafter resume possession of the premises by any lawful means and remove Lessee or other occupants and their effects. No failure to enforce any term shall be deemed a waiver. 15. Security Deposit: Lessee will not be required to make an additional security deposit. 16. Tax Increase: In the event there is any increase during any year of the term of this lease in the City, County or State real estate taxes over and above the amount of such taxes assessed for the tax year during which the term of this lease commences, whether because of increased rate or valuation, Lessee shall pay to Lessor, upon presentation of paid tax bills, an amount equal to 100% of the increase in taxes upon the land and building in which the leased premises are situated. In the event that such taxes are assessed for a tax year extending beyond the term of the lease, the obligation of Lessee shall be proportionate to the portion of the lease term included in such year. 17. Common Area Expenses: In the event the demised premises are situated in a shopping center or in a commercial building in which there are common areas, Lessee agrees to pay his pro-rata share of maintenance, taxes, and insurance for the common area. 18. Attorney's Fees: In case suit should be brought for recovery of the premises, or for any sum due hereunder, or because of any act which may arise out of the possession of the premises, by either party, the prevailing party shall be entitled to all costs incurred in connection with such action, including a reasonable attorney's fee. ] 9. Waiver: No failure of Lessor to enforce any term hereof shall be deemed to be a waiver. 20. Notices: Any notice which either party may or is required to give, shall be given by mailing the same, postage prepaid, to Lessee at the premises, or Lessor at the address specified above, or at such other places as may be designated by the parties from time to time. 21. Heirs, Assigns, Successors: This lease is binding upon and insures to the benefit of the heirs, assigns and successors in interest to the parties. 22. Options to Renew: (a) Provided that Lessee is not in default in the performance of this lease, Lessee shall have the option to renew the lease for an additional term of twenty-four (24) months (June 1, 2007 to May 31, 2009), commencing at the expiration of the initial lease term. All of the terms and conditions of the lease shall apply during this renewal term, except that the monthly rent shall be the sum of $800.00. The Lessee shall have the first right of refusal on contract for lease. (b) Lessee shall have the option to renew the lease for a second additional term of twenty-four (24) months (June 1, 2009 to May 31, 201 1) on the same terms and conditions as herein set forth except that the rental to be paid shall be as mutually agreed upon between the parties; provided, however, in no event shall the rental in such second renewal term be increased by more than the increase in the Consumer Price Index in the previous renewal term of the Lease. The Lessee shall also have the right of first refusal on any contract for the purchase of such property. The options shall be exercised by written notice given to Lessor not less than fifteen (15) days prior to the expiration of the lease term in effect. If notice is not given in the manner provided herein within the time specified, this option shall expire. 23. Subordination: This lease is and shall be subordinated to all existing and future liens and encumbrances against the property. 24. Entire Agreement: The foregoing constitutes the entire agreement between the parties and may be modified only by a writing signed by both parties. The following Exhibits, if any, have been made a part of this lease before the parties' execution hereof. SJ' !--- SIGNED this ~ day of ~ ua C _ /x C- ay ~ _ \ --- ~ -- ~ By Le