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HomeMy WebLinkAbout090517_ca01Consent Agenda Regular Agenda JEFFERSON COUNTY BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST TO: Board of County Commissioners FROM: Su Tipton DATE: $ 11V1 (Xr, , X I I RE: Lease of Johnston Building, Quilcene for 4H Afterschool/Community Boat Project STATEMENT OF ISSUE: 4H Afterschool/Community Boat Project is taking it's program to the Quilcene area. Wade & Lisa Johnston, owners of Johnston Real Estate Building, Quilcene are willing to lease the unused building to 4H for this project. ANALYSIS: Bringing this program to Quilcene enriches the high school students with an afterschool program that teaches skills, team building and confidence in this age group, who are not reached at this time. FISCAL IMPACT: The lease is renewable annually. The annual lease amount is S 1200.00; the Johnston's are asking to only cover their insurance, utilities and property taxes. The 41-1/Community Boat Project is funded by a YA4-H! Grant. RECOMMENDATION: Recommend approval. DEPARTMENT CONTACT: Su Tipton REVIEWED BY: ailip y, unty A inistrator Date COMMERCIAL LEASE AGREEMENT (WASHINGTON) THIS AGREEMENT made effective (Revised for new ownership) as of the 15TH Day of August 2017. BETWEEN: Wade Johnston Lisa Johnston PO Box 251 Brinnon, WA 98320 (The "Landlord") -And - Jefferson County 294773 HWY 101 Quilcene, WA 98376 (The "Tenant") OF THE FIRST PART OF THE SECOND PART THIS LEASE AGREEMENT made this 15th day of August, 2017, by and between the WADE JOHNSTON AND LISA JOHNSTON, Lessor, hereinafter referred to as "Landlord," and JEFFERSON COUNTY, a municipal corporation, on behalf of Jefferson County-WSU Jefferson County Cooperative Extension, a joint or cooperative undertaking pursuant to Ch. 39.34 RCW between Jefferson County and WA State University, hereinafter referred to as 'Tenant." IN CONSIDERATION of the mutual promises and at the rental and upon the covenants, conditions and provisions herein set forth, contained and other good and valuable consideration, Landlord leases to Tenant and Tenant leases from Landlord, the real property at 294773 US Highway 101, Quilcene, WA 98376, known as the south side of the Johnston Realty Building, is incorporated herein by this reference, together with all improvements now or hereafter located thereon and all appurtenances and privileges related thereto, all of which area is hereinafter referred to as the "Premises." Initial Term and Renewals (a) Landlord hereby leases the Leased Premises to Tenant, and Tenant hereby leases the same from Landlord, for an "Initial Term" beginning on August 15, 2017 and ending on August 14, 2018. Re -Negotiable at that time. Landlord shall use its best efforts to give Tenant possession as nearly as possible at the beginning of the Lease term. If Landlord is unable to provide Tenant with possession of the Leased Premises in a timely fashion, rent shall abate for the period of delay. Tenant shall make no other claim against Landlord for any such delay. -2- 2. Rent Landlord foregoes a formal rent of the property, instead Landlord desires Tenant to pay for the cost of insurance, utilities and property taxes. The cost of insurance, utilities and property taxes will therefore be referred to as rent. Tenant shall pay to Landlord during the Initial Term rental of one thousand two hundred ($1,200.00) dollars payable in installments of one hundred Dollars ($100.00) per month. Each installment payment shall be due in advance on the fifteenth (15th) day of each calendar month during the lease term to Landlord at PO Box 251, Brinnon, WA 98320 or at such other place designated by written notice from Landlord to Tenant. Tenant shall pay the first and last month's rent to Landlord at the time of the parties' execution of this Lease. If the lease term commences on a day other than the fifteenth day of a calendar month, the first month's rent shall be adjusted accordingly. 3. Use of Premises Tenant's use of the Leased Premises shall be in a lawful, careful, safe, and proper manner, and Tenant shall carefully preserve, protect, control and guard the same from damage. Tenant shall not use the parking area or the ingress and egress area of the Premises in an unreasonable manner so as to interfere with the normal flow of traffic or the use of such areas by occupants of properties adjacent to the Leased Premises. Tenant shall not use the Leased Premises for the purposes of storing, manufacturing or selling any explosives, flammables or other inherently dangerous substance, chemical, thing or device(without prior approval of landlord). In agreement with Landlord the premises will be used for Jefferson County 4-H Afterschool activities; included: informational open house for the local community regarding 4-H Afterschool Programs; Classroom time with children present; class prep time for the professional instructors for the programs, open house meetings for the community, mid and ending year program updates and information. (Building is not designed for high plumbing use and only has a 30 ft. w 4. Sublease and Assignment Tenant shall not sublease all or any part of the Leased Premises, or assign this Lease in whole or in part without Landlord's consent, such consent not to be unreasonably withheld or delayed. Provided, however, that no assignment of this Lease, whether by act of Tenant or by operation of law, and no sublease of the Leased Premises, or any part thereof, by or from Tenant, shall relieve or release Tenant from any of its obligations hereunder. Maintenance and Repairs At its expense, Tenant shall keep the interior of the leased premises in good condition and repair, including by way of example, but not limitation, windows, doors, interior wall surfaces, lighting fixtures, replacement bulbs and fluorescent tubes. Tenant will maintain the yard and flower beds in a presentable state. If Tenant refuses or neglects to commence or complete such repairs promptly and adequately, Landlord may, but shall not be required to do so, make or complete the repairs; and Tenant shall pay the cost thereof to Landlord upon demand. Because of the minimal rent, the Tenant shall repair all structural defects and exterior damages to the leased premises and shall keep the foundation, exterior walls and roof in good order and repair. In addition, Tenant shall be responsible for maintenance and repair of mechanical systems, including but not limited to, plumbing, electrical, and lighting located upon the premises. 6. Alterations and Improvements Tenant shall have the right to make, at no expense to Landlord, improvements, alterations, or additions (hereinafter collectively referred to as "Alteration") to the Leased Premises, whether structural or nonstructural, interior or exterior, provided that: -3- (a) no Alteration shall be made without the prior written consent of Landlord, which consent shall not be unreasonably withheld; (b) no Alteration shall reduce or otherwise impair the value of the Leased Premises; (c) no Alteration shall be commenced until Tenant has first obtained and paid for all required permits and authorizations of all governmental authorities having jurisdiction with respect to such Alteration; (d) any Alteration shall be made in a good workmanlike manner and in compliance with all laws, ordinances, regulations, codes, and permits; (e) Tenant shall hold Landlord harmless from and against any liens and claims for work, labor, or materials supplied to the Leased Premises at the direction of Tenant, and in the event that any such liens or claims shall be filed for work, labor or materials supplied to the Leased Premises at the direction of Tenant, Tenant shall, at Landlord's option, either escrow an amount equal to the amount of the lien or claim being filed, or obtain a bond for the protection of Landlord in an amount not less than the amount of the lien or claim being filed; and (f) Any Alteration shall become and remain the property of Landlord unless Landlord otherwise agrees in writing. 7. Taxes Landlord shall pay, prior to delinquency, all general real estate taxes and installments of special assessments coming due during the Lease term on the Leased Premises, and all personal property taxes with respect to Landlord's personal property, if any, on the Leased Premises. Tenant shall be responsible for paying all personal property taxes with respect to Tenant's personal property at the Leased Premises. 8. Insurance If the Leased Premises or any other part of the Building is damaged by fire or other casualty resulting from any act or negligence of Tenant or any of Tenant's agents, employees or invitees, rent shall not be diminished or abated while such damages are under repair, and Tenant shall be responsible for the costs of repair not covered by insurance. 9. Signs Tenant shall have the right, with Landlord's prior written consent, to place on the Leased Premises, at locations selected by Tenant, any signs which are permitted by applicable zoning ordinances and private restrictions. Landlord may refuse consent to any proposed signage that is in Landlord's opinion too large, deceptive, unattractive or otherwise inconsistent with or inappropriate to the Leased Premises or that hampers or restricts the use of any other tenant. Tenant is responsible for obtaining any necessary permission from governmental authorities or adjoining owners and occupants for Tenant to place or construct the foregoing signs. Tenant shall repair all damage to the Leased Premises resulting from the removal of signs installed by Tenant. 10. Landlord's Right of Entry Landlord shall have the right to enter upon the Leased Premises at all reasonable times for the purpose of inspecting the same, and during the last year of the Initial Term or any Renewal Term hereunder, Landlord may exhibit the same for sale or rent; provided, however, that Landlord shall not unreasonably interfere with Tenant's use of the Premises. -4- 11. Parking During the term of this Lease, Tenant shall have the non-exclusive use in common with Landlord, other tenants of the Building, their guests and invitees, of the non -reserved common automobile parking areas, driveways, and footways, subject to rules and regulations for the use thereof as prescribed from time to time by Landlord. Landlord reserves the right to designate parking areas within the Building or in reasonable proximity thereto, for Tenant and Tenant's agents and employees. (No parking behind building because of possible damage to plumbing lines. Boat builder's shelter is allowed.) 12. Damage or Destruction If by fire or other casualty the Leased Premises are destroyed or damaged to the extent that Tenant is deprived of occupancy or use of the Leased Premises (meaning such destruction cannot be repaired or restored within one hundred and twenty (120) days of the occurrence of the fire or other casualty Landlord may elect to: (a) cause the restoration of the Leased Premises to substantially the same condition as existed before such damage or destruction; or (b) Cancel this Lease as of the date of such fire or casualty by giving written notice to Tenant not more than 30 days thereafter. 13. Default by Tenant If Tenant fails to pay any installment of rent or make any other payment required to be made by Tenant when the same shall become due and payable hereunder, or if Tenant fails to observe and perform any other provision, covenant, or condition of this Lease required under this Lease to be observed and performed by Tenant within fifteen (15) days after Landlord shall have given notice to Tenant of the failure of Tenant to observe and perform the same, or if Tenant abandons or vacates the Leased Premises during the continuance of this Lease, or if Tenant makes an assignment for the benefit of creditors or enters into a composition agreement with its creditors, or if the interest of Tenant in the Leased Premises is attached, levied upon, or seized by legal process, or if this Lease is assigned in violation of the terms hereof or is terminated by operation of law, then, in any such event, immediately or at any time thereafter, at the option of Landlord, Landlord shall, as it elects, either: (a) declare this Lease to be in default, in which event this Lease shall immediately cease and terminate, and Landlord may possess and enjoy the Leased Premises as though this Lease had never been made, without prejudice, however, to any and all rights of action when Landlord may have against Tenant for rent and other charges payable by Tenant hereunder (both past due and future rent due Landlord and past due and future charges payable by Tenant), damages, or breach of covenant, in respect to which Tenant shall remain and continue liable notwithstanding such termination; or (b) relet the Leased Premises, or any part thereof, for such term or terms and on such conditions, as Landlord deems appropriate for and on behalf of Tenant, for the highest rental reasonably attainable in the judgment of Landlord, which reletting shall not be considered as a surrender or acceptance back of the Leased Premises or a termination of this Lease, and recover from Tenant any deficiency between the amount of rent and all other charges payable by Tenant under this Lease and those amounts obtained from such reletting, plus any expenses incurred by Landlord in connection with such reletting, including, without limitation, the expenses of any repairs or alterations Landlord deems necessary or appropriate to make in connection with such reletting and all sums expended for brokerage commissions and reasonable attorneys' fees, but Landlord shall be under no duty to relet the Leased Premises; or (c) declare the whole amount of the rent and other charges which would otherwise have been paid by Tenant over the balance of the lease term to be immediately due and payable, without -5 - prejudice, however, to any and all other rights of action which Landlord may have against Tenant for past due rent and other charges payable by Tenant hereunder, damages or breach of covenant, in respect to which Tenant shall remain and continue liable notwithstanding Landlord's election to proceed under this clause (c). 14. Quiet Possession Landlord covenants and warrants that upon performance by Tenant of its obligations hereunder, Landlord will keep and maintain Tenant in exclusive, quiet, peaceable and undisturbed and uninterrupted possession of the Leased Premises during the term of this Lease. 15. Condemnation All damages awarded for any such taking shall belong to and be the property of Landlord, whether such damages shall be awarded as compensation for diminution in value to the leasehold or to the fee of the Leased Premises, or otherwise, provided, however, that Tenant shall be entitled to any portion of the award made to Tenant for removal and reinstallation of Tenant's fixtures or for the cost of Tenant's immovable fixtures, if any. 16. Notices and Payment of Rent Any payment of rent, notice, exercise of option or election, communication, request or other document or demand required or desired to be given to Landlord or Tenant shall be in writing and shall be deemed given: (a) to Landlord when delivered personally to the managing partner of Landlord or when deposited in the United States mail, first-class, postage prepaid, addressed to Landlord at its address set forth at the beginning hereof; and (b) to Tenant when delivered in person to an officer of Tenant or when deposited in the United States mail, first-class, postage prepaid, addressed to Tenant at its address set forth at the beginning hereof. Either party may, from time to time, change the address at which such written notices, exercises of options or elections, communications, requests, or other documents or demands are to be mailed, by giving the other party written notice of such changed address. 17. Brokers [if applicable: Tenant represents that Tenant was not shown the Premises by any real estate broker or agent and that Tenant has not otherwise engaged in any activity which could form the basis for a claim for real estate commission, brokerage fee, finder's fee or other similar charge, in connection with this Lease.] 18. Non -Waiver and Right to Cure Defaults Neither a failure by Landlord to exercise any of its options hereunder, nor a failure to enforce its rights or seek its remedies upon any default, nor an acceptance by Landlord of any rent accruing before or after any default, shall affect or constitute a waiver of Landlord's right to exercise such option, to enforce such right, or to seek such remedy with respect to that default or to any prior or subsequent default. The remedies provided in this Lease shall be cumulative and shall not in any way abridge, modify or preclude any other rights or remedies to which Landlord is entitled, either at law or in equity. If Tenant fails to pay by their respective due dates all rents, charges or other obligations to be paid by it pursuant to the terms hereof, or fails to make necessary repairs to the Leased Premises, or fails to perform any other duties -6 - which it is required to perform hereunder, then Landlord, at its option, may do so and the amount of any expenditure attributable to such action by Landlord, plus accrued interest at the rate of TWELVE PERCENT (12%) per annum from the time each such expenditure is made until reimbursed, shall immediately become due and payable to Landlord and shall be considered additional rent hereunder; but no such payment or compliance by Landlord shall constitute a waiver of any such failure by Tenant or affect any right or remedy of Landlord with respect thereto. 19. Holding Over by Tenant If Tenant shall continue in possession of the Leased Premises beyond the termination of the Initial Term and any Renewal Term hereunder, such holding over shall be considered an extension of this Lease for a one-month period and so on, from month to month, until terminated by either party by giving not less than thirty (30) days written notice of termination to the other. Such holding over shall be upon the same terms and conditions as are set forth in this Lease. 20. Surrender of Premises Upon termination of this Lease, whether by lapse of time or otherwise, or upon the exercise by Landlord of the power to enter and repossess the Leased Premises without terminating this Lease, as hereinbefore provided, Tenant shall at once surrender possession of the Leased Premises to Landlord in a condition and order of repair substantially similar to its original condition and order of repair upon the commencement of the lease term, reasonable wear and tear and damage by events of casualty excepted, and shall at once remove all of Tenant's personal property and trade fixtures from the Leased Premises. Upon any such termination, Tenant shall, as directed by Landlord, either remodel any addition to the Premises constructed by Tenant, so as to facilitate use of such addition for office operations or remove such addition from the Leased Premises. Any such remodeling or removal of any addition to the Leased Premises shall be made by Tenant at its sole cost and expense. If, upon any such termination, Tenant does not at once surrender possession of the Leased Premises and remove such of its property as allowed by Landlord, Landlord may forthwith re-enter and repossess the same and remove all of Tenant's property without being guilty of trespass or of forceful entry or detainer or without incurring any liability to Tenant for loss or damage to Tenant's property. Upon any such removal of Tenant's property, it shall be considered to have been abandoned and may either be retained by Landlord as its property or may be disposed of at public or private sale as Landlord sees fit. If any such property is either sold at public or private sale or retained by Landlord, the proceeds of any such sale or the then current fair market value of the property, as the case may be, shall be applied by Landlord against Landlord's expenses of removal, storage or sale of such property, the arrears of rent and other charges or future rent and other charges payable hereunder, and any other damages to which Landlord may be entitled hereunder. Tenant shall repair, at its sole cost and expense, any damage to the Leased Premises resulting from the removal of its property as allowed hereunder. 21. Time of the Essence Time is of the essence in the performance and observance of each and every term, covenant and condition of this Lease by both Landlord and Tenant. 22. Headings The headings used in this Lease are for convenience of the parties only and shall not be considered in interpreting the meaning of any provision of this Lease. 23. Binding Effect The provisions of this Lease shall extend to and be binding upon Landlord and Tenant and their respective legal representatives, successors and assigns. -7- 24. Compliance with Law If any law, ordinance, order, rule or regulation is passed or enacted by any governmental agency or department having jurisdiction over the Leased Premises or Tenant's use of the same which requires Tenant to modify or alter its operations or use of the Leased Premises, this Lease shall in no way be affected and Tenant shall, at its sole cost and expense, promptly comply with such law, ordinance, order, rule, or regulation. 25. Entire Agreement This Agreement is the entire agreement between the parties with respect to the subject matter hereof, and terminates and supersedes all prior understandings or agreements. 26. Amendments No amendment to this Lease shall be valid or binding unless such amendment is in writing and executed by the parties hereto. 27. Governing Law This Agreement shall be governed, construed and interpreted by, through and under the Laws of the State of Washington. 28. Severability of Provisions The invalidity or unenforceability of any particular provision of this Lease shall not affect the other provisions hereof and this Lease shall be construed in all respects as if such invalid or unenforceable provision were omitted. -8- 29. Copy of Agreement Tenant acknowledges receipt of an executed copy of this Lease. IN WITNESS WHEREOF, the parties have executed this Lease as of the day and year first above written. LANDLORD: By: Wade Johnston Print Name Titre: Landlord By: Lisa Johnston Print Name Title: Landlord Mailing Address Wade Johnston Lisa Johnston PO Box 251 Brinnon, WA 98320 City / State / Zip Phone: TENANT: By: Kathleen Kier Print Name Title: Chair, Board of County Commissioner Approved as to Form: Philip Hu sucker Chief Civil Deputy Prosecutor Jefferson County Prosecutor's Office Mailing Address WSU Jefferson County Cooperative Extension Attn: Su Tipton Financial Coordinator 121 Oak Bay Road Port Hadlock, WA 98339 City / State / Zip Phone: 360-379-5610 x206 -9 - STATE OF WASHINGTON COUNTY OF JEFFERSON I certify that I know or have satisfactory evidence that signed this instrument and that he is authorized to execute the instrument and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the instrument. Dated: Signature of Notary Public: My Appointment Expires: -10 - Schedule "A" Description of Leased Premises