ORDER NO. 29626
CONTRACT BETWEEN KERR COUNTY AND MOUNTAIN HOME
VOLUNTEER FIRE DEPARTMENT FOR LONG-TERM LEASE OF 2.1
ACRES, OWNED BY KERR COUNTY, LOCATED ON STATE
HIGHWAY 27 IN MOUNTAIN HOME
Came to be heard this the 11th day of April, 2006, with a motion made by
Commissioner Nicholson, seconded by Commissioner Baldwin. The Court
unanimously approved by vote of 4-0-0 to:
Approve the Contract between Kerr County and the Mountain Home
Volunteer Fire Department for the long-term lease of 2.1 acres of land,
owned by Kerr County, located on State Highway 27 in the Mountain Home
Community, and authorize the County Judge to sign same.
l~~
COMMISSIONERS' COURT AGENDA REQUEST
PLEASE FURNISH ONE ORIGINAL AND TEN COPIES OF THIS
REQUEST AND DOCUMENTS TO BE REVIEWED BY THE COURT.
MADE BY: Dave Nicholson
MEETING DATE: April 10, 2006
OFFICE: Commissioner, Pct. 4
TIME PREFERRED: 9:15
SUBJECT: Consider and take action to approve a contract between Kerr County and the
Mountain Home Volunteer Fire Department for the long-term lease of 2.1 acres of land,
owned by Kerr County, located on State Highway 27 in the Mountain Home Community.
EXECUTIVE SESSION REQUESTED: (PLEASE STATE REASON)
NAME OF PERSON ADDRESSING THE COURT: Commissioner, Pct. 4/Steve
GoebeUCounty Attorney
ESTIMATED LENGTH OF PRESENTATION: 15 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 5, Chapter 551 and 552, Government Code, is as follows:
Meeting scheduled for Mondays:
THIS REQUEST RECENED BY:
THIS REQUEST RECEIVED ON:
5:00 P.M. previous Tuesday.
a~~a~

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 towards your request being
addressed at the earliest opportunity. See Agenda Request Rules Adopted by Commissioners'
Court.
Commissioners and County Judge:
Re: MHVFD Contract
Two yeazs ago this Court approved a contract to lease property Kerr County owns in the
Mountain Home azea to the MHVFD. Because MHVFD was having difficulty in
determining how it would pay for some of the improvements required by that contract, it
was never approved by their Board of Directors.
Now the MHVFD's strategy for a use of the property has changed and they have
proposed a different approach. The MHVFD plans to use the property for their primary
fire station and proposes a longer lease so that they can justify the cost of constructing a
new facility.
Enclosed for your consideration is a contract. These aze the features:
Kerr County gets:
1. Astable supply of water for Road and Bridge use.
2. Fenced-in space to store Road and Bridge materials.
3. Use of the Asphalt tank that is on the property.
4. Access to the MHVFD's restroom facilities.
MHVFD gets:
1. A twenty-five yeaz lease with guaranteed renewal options for two (2) additional
twenty-five yeaz terms.
Dave Nicholson
INTERLOCAL LEASE AGREEMENT BETWEEN
KERR COUNTY AND THE MOUNTAIN HOME VFD
THE STATE OF TEXAS ~
THE COUNTY OF KERR
This agreement, made and entered into by and between the Mountain Home Volunteer Fire
Department, a volunteer fire department duly-organized under the laws of the State of
Texas, hereinafter called "MHVFD" and Kerr County, a body corporate and politic under
the laws of the State of Texas, as follows:
WITNESSETH
WHEREAS, Kerr County is adult'-organized political subdivision of the State of
Texas, engaged in the administration of county government and related services for the
benefit of the citizens of Kerr County; and
WHEREAS, MHVFD is adult'-organized, not-for-profit 501(c)(4) volunteer fire
department under the laws of the State of Texas and under the laws of the United States of
America, engaged in providing fire protection and related services for the benefit of the
citizens of a designated area of Kerr County; and
WHF_.REAS, pursuant to Chapter 352, Texas Local Government Code, Kerr County
has the duty, obligation and ability to furnish fire protection to areas of Kerr County outside
county municipalities by contract with incorporated volunteer fire departments; and
WHEREAS, the improvement in services and property improvements contemplated
by this agreement would enhance MHVFD's ability to provide such fire protection services;
and
WHEREAS, MHVFD desires to obtain or lease from Kerr County the subject tract
of land, a tract of land approximately 2.1 acres, in order to have a location for a fire station,
office, meeting place, and restroom facilities, and MHVFD desires to drill and maintain a
water well to adequately supply the above improvements as well as to construct and maintain
a water storage system to enhance the fire fighting abilities of the MHVFD and that such a
water system be available to Ken County for use for road and bridge purposes; and
WHEREAS, Kerr County desires to have occasional access to an ample supply of
water for road purposes, and Kerr County desires to retain of the approximately
2.1 acre trail with which to have a secured site for the storage of Kerr County machinery
and materials; and
WHEREAS, MHVFD and Kerr County find that it would be in the best interests of
both the citizens of Kerr County and MHVFD to improve the efficiency and effectiveness
of local governments and government entities by authorizing the intergovernmental
contracting at the local level for all or part of the functions and services of fire protection
and the protection of the citizens of Kerr County and their property, therefore Kerr County
and MHVFD mutually desire to be subject to the provisions of Chapter 791, Texas
Government Code, the Interlocal Cooperation Act; and
NOW, THEREFORE, in consideration of the mutual promises, benefits,
considerations, and covenants contained herein, Kerr County and MHVFD agree as follows:
I.
The term of this agreement shall begin on the day of , 2006,
and continue in full force and effect until the day of ,with
options for renewal.
II.
Within five years of the effective date of this contract, or when adequate funding is
received, whichever comes first, MHVFD will, at its expense, drill and complete a water well
and water storage system to adequately supply its own needs as well as the occasional needs
of Kerr County.
III.
Within five years of the effective date of this contract, or when adequate funding is
received, whichever comes first, MHVFD will, at its expense, construct a fire station, office,
meeting place, and restroom facilities. MHVFD will also, at its expense, evaluate existing
improvements at the subject tract of land and retain any such improvements that it finds
economically or operationally feasible to do so.
IV.
Kerr County is to have access to the water supply constructed and maintained by
MHVFD.
V.
MHVFD will, at its expense, install and maintain fuel tanks, etc. on the subject tract
for the sole use of MHVFD.
VI.
MHVFD will procure and maintain liability insurance for its portion of the subject
tract and for any improvements it may construct on its portion of the subject tract.
V'II.
Kerr County and MHV FD agree that in the event of a dispute between them that
the party claiming a dispute will notify the other of the dispute and that the parties will
resolve the dispute by negotiations, if possible. Should negotiation fail, the parries will
employ mediation to arrive at agreement.
VIII.
BINDING AGREEMENT: AUTHORITY: PARTIES BOUND: This agreement has
been duly executed and delivered by both parties and constitutes a legal, valid and binding
obligation of the parties. That each person executing this agreement on behalf of each party
represents and warrants that they have full right and authority to enter into this agreement.
AMENDMENT: This agreement may not be amended except in a written instrument
specifically referring to this agreement and signed by the parties hereto.
APPLICABLE LAW: This agreement shall be expressly subject to ICerr's sovereign
immunity, Texas Civil Practices and Remedies Code and all applicable federal and state law.
This agreement shall be governed by and construed in accordance with the laws of the State of
Texas and venue of any legal action filed by either MHVFD or Kerr shall be in Ken County.
SEVERABILITX: In the event that one or more of the provisions contained in the
agreement shall for any reason be held to be invalid, illegal or unenforceable in any respect, such
invalidity, illegality or unenforceability of the agreement shall be construed as if such inva]id,
illegal or unenforceable provision has never been contained herein, bui shall not affect the
remaining provisions of this agreement, which shall remain in force and effect.
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SURVEY PLAT FOR 2.17 ACRES OF LAND, MORE OR LESS, OUT OF
JOHN BILLINGS SURVEY NO. 656, ABSTRACT NO. 89 IN KERB COUNTY,
TEXAS;
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"OLD"STATEHIGHWgyLrO ql
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This plat waz prepared from a highway depart riglrtro(way
map dated February 1945 and does no[ represcm a survey
made on the ground by me.
Dated this 20'°day August, 2004
Lce C. Voelkel ~_
Exhibit A
Page 2 of 2
Cad [p?q (q $~t~1[{p(Q+~ • PHONE 830-25J-3313 . 2l2 CLAY STFEET. KEpFVILLE, TE%AS J6028
INTERLOCAL LEASE AGREEMENT BETWEEN
KERR COUNTY AND THE MOUNTAIN HOME VOLUNTEER FIRE DEPARTMENT
THE STATE OF TEXAS §
THE COUNTY OF KERR §
This agreement, made and entered into by and between the Mountain Home Volunteer
Fire Department, aduly-organized volunteer fire department under the laws of the State of
Texas, hereinafter called "MHVFD" and Kerr County, a body corporate and politic under the
laws of the State of Texas, hereinafter sometimes referred to as "Kerr," as follows:
WHEREAS, Kerr County is aduly-organized political subdivision of the State of Texas,
engaged in the administration of county government and related services for the benefit of the
citizens of Ken County; and
WHEREAS, MHVFD is aduly-organized, not-for-profit, 501 (c)(4) volunteer fire
department under the laws of the State of Texas and under the laws of the United States of
America, engaged in providing fire protection and related services for the benefit of the citizens
of a designated azea of Kerr County; and
WHEREAS, pursuant to Chapter 352, Texas Local Government Code, Kerr has the duty,
obligation and ability to furnish fire protection to areas of Kerr outside county municipalities by
contract with incorporated volunteer fire departments; and
WHEREAS, the improvement in services and property improvements contemplated by
this agreement would enhance MHVFD's ability to provide such fire protection services; and
WHEREAS, Kerr owns a certain tract of land which is located in the MHVFD district;
and
WHEREAS, MHVFD desires to keep secure the approximately 2.1 acre tract of land by
erecting and extending fencing, desires to construct a new fire department building upon said
land, desires to have a location for an office, meeting place and restroom facilities, desires for its
fire fighting equipment to be stored and protected in said new building, desires to have a location
upon which it may park and store its additional fire fighting equipment, desires to maintain their
own fuel tanks on said property for MHVFD purposes, desires to supply water to said tract of
land, and keep full as possible a 15,000 gallon water tank located upon said property, all on a
long term basis; and
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WHEREAS, Kerr desires to have its land secured, desires to have occasional access to an
ample supply of water for road purposes, desires to have the use of the Kerr County 10,000
gallon asphalt tank located on said property, desires to have improved fire fighting capabilities
and desires to have a dependable supply of water famished to the premises, all on a long term
basis; and
WHEREAS, MHVFD and Kerr find that it would be in the best interests of the citizens of
Kerr County and MHVFD to improve the efficiency and effectiveness of local governments and
governmental entities by authorizing the intergovernmental contracting at the local level for all
or part of the functions and services of fire protection and protection of citizens of Kerr and their
property, therefore, Kerr and MHVFD mutually desire to be subject to the provisions of Chapter
791, Texas Government Code, the Interlocal Cooperation Act; and
NOW, THEREFORE, in consideration of the mutual promises, benefits, consideration,
and covenants contained herein, MHVFD and Kerr agree as follows:
I. Basic Terms
The term of this agreement shall begin on the _ day of , 20
and continue in full force and effect until the day of , 20_, with
renewal options as stated herein.
Landlord: Kerr County, Texas
Landlord Address: Kerr County
C/O County Judge
700 Main Street, Suite 101
Kerrville, Texas 78028
Tenant: Mountain Home Volunteer Fire Department
Tenant's Address: Mountain Home Volunteer Fire Department
C/O Board of Directors
P.O. Box 191
Mountain Home, Texas 78058
Premises: Approximately 2.17 acres out of John Billings Survey No. 656, Abstract No 89
located at the intersection of State Highway 27 and State Highway 41.
Lease Term: 25 years
Annual Rent: $1.00 per year
Definitions:
"Landlord" means landlord and its agents, employees, invitees, licensees, or visitors.
"Tenant" means tenant and its agents, contractors, employees, invitees, licensees, or
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visitors.
"Essential Services" means utility connections reasonably necessary for occupancy
Of the premises for the permitted use.
II. Clauses and Covenants
A. Tenant agrees to:
1. Lease the premises for the entire term beginning on the commencement
date and ending on the termination date.
2. Accept the premises in their present condition "AS IS".
3. Obey all applicable laws relating to the use, condition, and occupancy of the
premises.
4. Pay the landlord as herein provided, said rent being due on the 315` day
December of each calendar year.
5. Obtain and pay for all essential services including but not limited to water and
electricity.
6. Allow Landlord to enter premises to perform landlord's obligations and to
inspect the premises, to access restroom facilities, to access water for Road
and Bridge use, and to access stored Road and Bridge materials.
7. Repair, replace, and maintain any improvements to premises.
8. Repair any damage to premises caused by tenant.
9. To operate the premises in an efficient and reputable manner.
10. Vacate the premises on the last day of the terrn unless renewed and extended
as provided by the extension option attached herein.
11. Indemnify, defend, and hold landlord harmless from any loss, attorney's fees,
court and other costs, or claims arising out of tenant's use of premises.
12. Provide landlord access to MHVFD restroom facilities and asphalt tank
located on premises.
13. Provide a portion of premises, as agreed between the parties, for Kerr County
Road and Bridge to fence and store materials.
14. Obtain and maintain a continuous supply of potable water to premises.
B. Tenant agrees not to:
1. Use the premises for any purpose other than the permitted use.
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2. Create any nuisance.
3. Permit any waste.
4. Alter the premises in any other way other than provided herein without the
prior written consent of landlord.
5. Allow a lien to be placed on the premises.
6. Assign this lease or sublease any portion of the premises without landlord's
prior written consent.
7. Interfere with landlord's operations on premises.
8. Deny Kerr County Road and Bridge a supply of water, subject to immediate
MHVFD fire-fighting needs.
9. Remove existing structures until tenant has provided documentation to
landlord affirming tenant's financial capability to remove existing structures
and complete construction of new structures in a timely manner.
C. Landlord agrees to:
1. Lease to tenant the premises for the entire term beginning on the
commencement date and ending on the termination date.
2. Tenant shall be entitled to remove existing structures only after providing
documentation to landlord that tenant has sufficient assets to timely complete
the project of removing existing structures and constructing new structures as
agreed between the parties.
3. Not to interfere with MHVFD's access to water and access to fire-fighting
Equipment.
4. Leave premises facilities in same or better shape as existed prior to any
landlord use.
D. Landlord and Tenant agree to the following:
1. Alterations -Any physical additions or improvements to the premises made
by tenant will become the property of landlord.
2. Abatement -Tenant's covenant to pay rent and landlord's covenants are
independent. Except as otherwise provided, tenant will not be entitled to abate
rent for any reason.
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3. Insurance -Tenant will maintain death bodily injury and property insurance
in an amount sufficient to cover statutory limits and value of facilities.
4. Subject to paragraph A-11 herein, landlord and tenant release each other from
all claims or liabilities, by subrogation or otherwise, for damage to the
premises by reason of fire or other elements, regardless of cause, including
negligence of landlord and tenant. This release only to the extent that it is
permitted by law, the damage is covered by insurance proceeds, and the
release does not affect any insurance coverage.
5. Default by landlord/events -Defaults by landlord aze failing to comply with
any provision of this lease within thirty days after written notice.
b. Default by tenantlevents -Defaults by tenant are failing to pay timely rent,
abandoning or vacating a substantial portion of premises, and failing to
comply within thirty days after written notice with any provision of this lease.
7. Remedy - It is agreed between the parties that prior to filing suit for damages,
the parties will negotiate with each other in a timely manner and failing
negotiation, mediate in good faith any disputes at the Hill Country Alternative
Dispute Resolution Center.
8. Default/WaiverlMitigation - It is not a waiver of default if the non-defaulting
Parry fails to declare immediately a default or delays in taking any action.
Pursuit of remedies set forth in this lease does not preclude pursuit of other
remedies applicable at law. Landlord and tenant have a duty to mitigate
damages.
9. Holdover - If tenant does not vacate this the premises following termination
of this lease, unless lease extension is exercised, tenant will become a tenant
at will and must vacate the premises on receipt of notice from the landlord. No
holding over by tenant, whether with or without consent of landlord, will
extend the term.
10. Venue -Exclusive venue is in Kerr County.
11. Entire Agreement -This lease is the entire agreement of the parties, and there
are no oral representations, warranties, agreements, or promises pertaining to
this lease not incorporated in this lease in writing.
12. Amendment -This lease may only be amended in writing signed by landlord
and tenant.
13. Notices -Any notice required or permitted under this lease must be in writing.
Any notice required by this lease will be deemed to be delivered when
deposited with the United States Postal Service, postage prepaid, certified
mail, return receipt requested, and addressed to the intended recipient at the
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address shown on this lease. Notice may also be given by personal delivery.
Any address for notice may be changed by written notice delivered as
provided herein.
14. Abandoned Property -Landlord may retain, destroy, or dispose of any
property left on the premises at the end of the term.
15. Extension Option - At end of the lease term, tenant has the option to extend
this lease upon the same terms and conditions for another twenty-five(25) year
term. Upon expiration of the second lease term, tenant has the option to
extend this lease upon the same terms and conditions For an additional twenty-
five (25) year term. To exercise either option tenant must give written notice
to landlord on or before thirty days prior to end of lease term.
SEVERABILITY: hi the event that one or more of the provisions contained in the
agreement shall for any reason be held to be invalid, illegal or unenforceable in any respect, such
invalidity, illegality or unenforceability of the agreement shall be construed as if such invalid,
illegal or unenforceable provision has never been contained herein, but shall not affect the
remaining provisions of this agreement, which shall remain in force and effect.
The Mountain Home Volunteer Fire Department has executed this agreement pursuant to
duly authorized resolution dated the day of , 20
Kerr County has executed this agreement pursuant to Commissioners Court Order No.
passed on the day of , 20
APPROVED AS TO FORM AND CONTENT:
KERB COUNTY
By:
Pat Tinley
Ken• County Judge
ATTEST:
By:
Jarmett Pieper, Kerr County Clerk
ATTEST: Mountain Home Volunteer Fire Department
By: By:
MHVFD Secretary Stephen J. Goebel, President
MHVFD Board of Directors
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