Resolution - City of Chesapeake

DOCKET ITEM:
NPPH_K
Chesapeake
VIRGINIA
Office of the City Attorney
306 Cedar Road
Chesapeake Virginia 23322
May 14
TO
757 3826586
Fax 757 3828749
2014
Mayor Krasnoff ViceMayor de Triquet and Members of the City Council
Re
RESOLUTION AUTHORIZING THE CITY MANAGER AND CITY
CLERK TO EXECUTE A LEASE AGREEMENT AND ADDENDUM
WITH CARTWRIGHT FARMS LLC FOR 10
0 ACRES MORE OR
LESS OF FARMLAND OWNED BY THE CITY OF CHESAPEAKE
BEING A PORTION OF TAX PARCEL 0920000000091 LOCATED AT
BELLE HAVEN STREET CHESAPEAKE VIRGINIA
Enclosed please find a Resolution authorizing the City Manager and City Clerk to
execute a lease agreement and addendum by and between the City of Chesapeake Virginia
City and Cartwright Farms LLC Cartwright Farms for 10
0 acres more or less of
farmland owned by the City being a portion of Tax Parcel 0920000000091 located at Belle
Haven Street Chesapeake Virginia Leased Property
Cartwright Farms has farmed the Leased Property for the past 65 years and wishes to
continue to do so Cartwright Farms agrees to pay the City rent in the amount of 50
00 per acre
for a total of 500
00 annually
The term of the proposed lease is from May 1 2014 to April 30 2015 Upon agreement
of the parties the lease agreement may be renewed for an additional oneyear period not to
exceed four additional years however the rental price may be renegotiated pursuant to market
values should the lease be extended
The land has been designated as a City park site and the City may terminate the lease
when it begins development of the site or needs the site for any reason
The lease addendum requires Cartwright Farms to post general liability insurance in the
amount of 1 million as required by Risk Management
A public hearing is required by law and is scheduled for the May 20 2014 City Council
Meeting A copy of the proposed lease agreement and addendum are enclosed The lease has
been reviewed and approved by the Directors of Public Works and Parks Recreation and
Tourism
The City of Chesapeake adheres to the principles of equal employment opportunity
This
policy extends to
all programs and services
supported by the City
Please advise if you have any questions or concerns
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James E Baker City Manager
Dolores Moore City Clerk
Eric J Martin Director Public Works Department
Michael D Barber Director Department of Parks Recreation and Tourism
Anna M D
Antonio Assistant to the City Manager
RESOLUTION AUTHORIZING THE CITY MANAGER AND CITY CLERK TO
EXECUTE A LEASE AGREEMENT AND ADDENDUM WITH CARTWRIGHT
FARMS LLC FOR 10
0 ACRES MORE OR LESS OF FARMLAND OWNED BY
THE CITY OF CHESAPEAKE BEING A PORTION OF TAX PARCEL
092000000091 LOCATED AT BELLE HAVEN STREET CHESAPEAKE VIRGINIA
WHEREAS the City of Chesapeake Virginia Lessee
owns 10
0 acres more or
less of farmland being a portion of Tax Parcel 0920000000091 located at Belle Haven
Street Chesapeake Virginia Leased Property
and
WHEREAS Cartwright Farms LLC Lessor
has farmed the Leased Property for
the past 65 years and wishes to continue to do so and
WHEREAS Lessee desires to enter into a lease Agreement for said Leased Property
for a period of one 1 year commencing May 1 2014 and ending on April 30 2015 with the
option to renew for an additional oneyear period not to exceed four additional years
however the rental price may be renegotiated pursuant to market values should the lease
agreement be extended and
WHEREAS Lessee shall pay to Lessor rent accruing at the rate of 50
00 per acre
for a total of 500
00 annually and
WHEREAS the Lease includes an Addendum requiring Lessee to obtain general
liability insurance in the amount of 1 million naming the City as an additional insured
NOW THEREFORE BE IT RESOLVED by the Council of the City of
Chesapeake Virginia that the City Manager and City Clerk are hereby authorized to execute
a lease agreement and addendum with Cartwright Farms LLC for said leased property for a
period of one 1 year commencing May 1 2014 and ending on April 30 2015 with the
option to renew for an additional one year period not to exceed four additional years
City Attorneys Office
City of Chesapeake
Municipal Center
306 Cedar Road
Chesapeake Virginia
23322
757 3826586
Fax 757 3828749
however the rental price may be renegotiated pursuant to market values should the lease
agreement be extended A copy of the lease agreement and addendum are attached hereto and
made a part hereof
ADOPTED
by
the Council of the
City
of
Chesapeake Virginia
May 2014
APPROVED
Mayor
ATTEST
Clerk of the Council
City Attorneys Office
City of Chesapeake
Municipal Center
306 Cedar Road
Chesapeake Virginia
23322
757 382 6586
Fax 757 382 8749
this
day of
LEASE AGREEMENT
WITH CARTWRIGHT FARMS LLC
THIS LEASE
AGREEMENT
made this
day
of
e
tr
2014 by and between
the CITY OF CHESAPEAKE VIRGINIA a municipal corporation hereinafter called Lessor
or City and CARTWRIGHT FARMS LLC a Virginia limited liability company hereinafter
called Lessee
WITNESSETH That for and in consideration of rent hereinafter specified to be paid by
the Lessee and the covenants and agreements hereinafter contained by the Lessee to be kept and
performed the Lessor hereby lets and demises unto the Lessee approximately 10
0 acres more
or less of farmland located in the City of Chesapeake Virginia being a portion of the former
Ernestine F Lister Family Trust property which property fronts on Old U
S Route 17 as shown
on an
exhibit entitled EXHIBIT A TM 092000000091 Eva Lister
Higgins
Catharine Lister
Reinhardt To be dedicated to the City of Chesapeake Va dated March 2013 and recorded in
the Clerk
s Office of the Circuit Court of the City of Chesapeake Virginia in Deed Book 9117
at page 413 The terms and conditions shall be as follows
1
The term of the lease shall be for the period beginning May 1 2014 and ending
April 30 2015 The lease may be renewed for an additional oneyear period not to exceed four
additional years upon agreement of both parties The land is to be used as a City park site and
the lease will end when the City begins development of the site or needs the site for any reason
If the Lessee desires to renew the lease it shall give the City notice on or before February 1st of
each year for the renewable period In turn the City will give notice to the Lessee on or before
March 1st of each year for the renewable
period
whether
or
not
the
City
will
renew
the lease
2
All notices to the parties shall be given by certified or registered letter to the
following
For the
City
City Manager of Chesapeake
306 Cedar Road 6 Floor
Chesapeake Virginia 23322
With copy to
Carole A F Gillespie Right of Way Agent
306 Cedar Road 4 Floor
Chesapeake Virginia 23322
For the Lessee
Cartwright Farms LLC
3705 Belle Haven Street
Chesapeake Virginia 23322
3
Lessee covenants and agrees to pay the Lessor as rent for said leased premises at
the rate of 50
00 per acre for a total of 500
00 annually The rent shall be paid to the City of
Chesapeake on or before June 1 2014 in care of the Director of Chesapeake Department of
Parks and Recreation 1224 Progressive Drive Suite 200 Chesapeake Virginia 23320 Should
the lease be extended as set out in paragraph 1 the rental price may be renegotiated pursuant to
market values as determined by the City and will be payable on or before June 1st of each year
4
Lessee agrees to maintain the property to ensure an optimum pH 6
0 to 6
5 and
apply best management practices to include erosion practices as set forth in an approved nutrient
management program
5
Lessee agrees to use all precautions to prevent mud or soil to be transported from
adjacent properties to this leased area in order to prevent infestations and nuisances of any type
6
Lessee agrees to indemnify and hold harmless the Lessor its officials employees
and agents against any and all claims for property damage or personal injury including death
arising out of the use and occupancy of the demised premises by the Lessee
2
7
No hunting fishing trapping dumping or storing of other materials is permitted
by the Lessee or any person on this property
8
In the process of using farm machinery should Lessee spill any petroleum or
other hazardous products on the property Lessee shall be responsible for the cleanup of same
Should the Lessee not clean up the spills in a timely and satisfactory manner the City may have
the site cleaned and bill the Lessee for all costs
9
Lessee accepts this property for use AS IS
10
This lease shall be between the parties hereto and their respective successors in
interest and may not be assigned or sublet by Lessee without written consent from the City
11
Lessee agrees that any failure or refusal to perform any material provision of this
lease shall give the Lessor the right to terminate this lease in addition to damages and all other
remedies provided by law Such termination shall become effective thirty 30 days after written
notice of termination specifying that delinquency has been served upon the Lessee by certified or
registered mail unless during the thirty 30 day period the Lessee has cured the delinquency
12
Lessor and Lessee acknowledge that in the event of a major weather event the
Lessor may have the need to deposit fallen trees and other debris on the property In such event
the Lessor will take reasonable steps to avoid or minimize any damage to the Lessee
s crops
13
This lease shall be governed by the laws of the Commonwealth of Virginia
14
This lease was authorized by resolution adopted by Chesapeake City Council on
2014
WITNESS the following signatures and seals
3
CARTWRIGHT FARMS LLC
A Virginia limited liability company
Lessee
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By
Print
name
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Title Managing Member
COMMONWEALTH OF VIRGINIA
CITY OF
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to wit
The foregoing instrument bearing date of May2 2014 was acknowledged before me this
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Managing Member
for Cartwright Farms LLC a Virginia limited liability company HeShe is o personally known
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Approved as to form
Assistant City Attorney
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CITY OF CHESAPEAKE VIRGINIA
Lessor
By
City Manager
ATTEST
City Clerk
COMMONWEALTH OF VIRGINIA
CITY OF CHESAPEAKE towit
The foregoing instrument bearing date of May 2 2014 was acknowledged before me this
day of
2014 by James E Baker City Manager and attested
of the City Clerk
s Office of the City of Chesapeake
by
Virginia They are personally known to me
Notary Public
Registration No
My commission expires
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2014
ADDENDUM TO LEASE AGREEMENT
THIS ADDENDUM TO LEASE AGREEMENT
the
and between the CITY OF CHESAPEAKE VIRGINIA
a
Addendum
made this 8th day of May 2014 by
municipal corporation the City
or
Lessor
and
CARTWRIGHT FARMS LLC a Virginia limited liability company the Lessee
The undersigned hereby agree that this Addendum shall become a part of the Lease Agreement
dated May 2 2014
the Agreement
between Lessor and Lessee for the property
the Property
as
set out in the Lease Agreement and described as follows
Approximately 10
0 acres more or less of farmland located in the City of
Chesapeake Virginia being a portion of the former Ernestine F Lister
Family Trust property which property fronts on Old U
S Route 17 as shown
on an exhibit entitled EXHIBIT A TM 0920000000091 Eva Lister Higgins
Catharine Lister Reinhardt To be dedicated to the City of Chesapeake Va
dated March 2013 and recorded in the Clerk
s Office of the Circuit Court
of the City of Chesapeake Virginia in Deed Book 9117 at page 413
The Lessor and Lessee make the following terms and conditions part of the Lease Agreement
The Lessee agrees to obtain and maintain at its sole cost and expense a
general liability umbrella insurance policy in the amount of 1 million dollars
satisfactory to Lessor
s Risk Manager naming the City of Chesapeake as an
additional insured and which policy shall indemnify and hold Lessor its officials
and employees harmless against any and all claims and shall keep the same in
force during the term of this lease agreement and any extensions thereof Such
insurance shall be placed with an insurance company licensed to conduct business
in the Commonwealth of Virginia Lessee shall furnish the City Manager or his
designee with a certificate of insurance containing sufficient evidence that the
required coverage and limits have been secured prior to Lessee beginning farming
activities on the Property The certificate of insurance will have a sixty 60 day
notice of cancellation non renewal or change in coverage clause from the insurance
company to the City Manager or designee The Lessee shall provide annually to the
City Manager or designee a copy of all declaration pages showing the required coverage
All other clauses contained in the Lease Agreement shall remain in full force and effect
This Addendum was authorized by the City Council of the City of Chesapeake Virginia by
resolution
adopted
2014
on
WITNESS the
following signatures
and seals
Lessor
CITY OF CHESAPEAKE VIRGINIA
A municipal corporation
By
James E Baker City Manager
ATTEST
City Clerk
STATE OF VIRGINIA
CITY OF CHESAPEAKE to wit
The foregoing Addendum dated the 8th day of May 2014 was acknowledged before me this
day of
2014 by James E Baker City Manager and
of the City Clerk
s Office of the City of Chesapeake Virginia
They are personally known to me
Notary Public
Registration No
My commission expires
Lessee
CARTWRIGHT FARMS LLC
A Virginia limited liability company
By
William H Cartwright Managing Member
STATE OF VIRGINIA
CITY COUNTY OF
a
to wit
The foregoing Addendum dated the 8th day of May 2014 was acknowledged before me this
day of May 2014 by William H Cartwright Managing Member of Cartwright Farms LLC
Virginia limited liability company He is personally known to me or produced
as identification
Notary Public
Registration No
My commission expires
Approved as to form
Assistant
City Attorney