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HomeMy WebLinkAboutResolutions - 2010.01.20 - 10093MISCELLANEOUS RESOLUTION # 09323 December 9, 2009 BY: Planning and Building Committee, John Scott, Chairperson IN RE: PARKS AND RECREATION COMMISSIONIDEPARTMENT OF FACILITIES MANAGEMENT - REQUEST FOR APPROVAL OF LEASE AGREEMENT WITH STEVEN ERNST, WATERFORD OAKS COUNTY PARK To the Oakland County Board of Commissioners Chairperson, Ladies and Gentiemen: WHEREAS, the County of Oakland is the owner of Waterford Oaks County Park; and WHEREAS, an older barn is located easterly of 1580 Scott Lake Road on the grounds of Waterford Oaks County Park; and WHEREAS, it is the desire of the Oakland County Parks and Recreation Commission to lease said barn and a small plot of lane located at 1580 Scott Lake Road to Steven Ernst for a period of five years commencing January 1. 2010; and WHEREAS. under the terms and conditions of the attached Lease Agreement Mr. Ernst will pay rent in the amount of $75.00 per month during the term of the lease, and WHEREAS. the Departments of Facilities Management and Corporation Counsel have reviewed and/or prepared all necessary documents related to the attached lease agreement; and WHEREAS. it is the recommendation of the Oakland County Parks and Recreation Commission and the Department of Facilities Management that the Oakland County Board of Commissioners accept and approve the terms aid uiiditioriS of the attached Lease Agreement. NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners hereby approves and authorizes the attached Lease Agreement between the County of Oakland and Mr. Steven Ernst BE IT FURTHER RESOLVED that the rent amount received be deposited in the Oakland County Parks and Recreation Rental House Revenue Fund line item. BE IT FURTHER RESOLVED that the Oakland County Board of Commissioners hereby directs its Chairperson or rils designee +,o execute the attached Lease Agreement and all other related documents between the County of Oakland and Steve Ernst, which may be required_ Chairperson. on behalf of the Planning and Building Committee, I move the adoption of the foregoing resolution. L ANNI NG,AK-15-2ILDI NG MITTEE PLANNING & BUILDING COMMITTEE VOTE: Motion carried unanimously on a rd call vote. Approval and Acceptance of Lease Agreement Waterford Oaks County Park The Oakland County Parks and Recreation Commission is requesting Board of Commissioners approval of a lease agreement to lease a county owned barn located at Waterford Oaks County Park identified as easterly of 1580 Scott Lake Road to Steven Ernst. The Departments of Parks and Recreation and Facilities Management with the assistance cf County Corporation Counsel have drafted the terms and conditions of the attached lease agreement. Property Description: Older two-story barn and small plot of land. Rent: 575 .00/month. Term: 5 years commencing on January 1, 2010. Tenant responsibilities: Maintain premises in good condition. County responsibilities: General building maintenance, snow removal and lawn services. Termination: Tenant may terminate for any reason with 30 days notice. County may terminate for any reason with 90 days notice. It is the recommendation of the Oakland County Parks and Recreation Commission and the Department of Facilities Management that the Oakland County Board of Commissioners accepts and approves the attached lease agreement. rndh PRO9-013 RESOLUTION PROPERTY LEASE WHEREAS, the Oakland County Parks and Recreation Commission currently leases properties within the Oakland County Parks system: and WHEREAS, the leases provide a source of revenue, which assists in meeting the Oakland County Parks and Recreation Commission's goal of creating a fiscally sustainable parks system; and WHEREAS, this lease agreement encompasses a barn and a 10' x 50' parcel of land directly north of the barn located at 1580 Scott Lake Road in Waterford Township ., and WHEREAS, the barn and land will be leased by Steven Ernst for personal gardening purposes; and WHEREAS, this lease agreement will be for one five-year term commencing January 1. 2010; and WHEREAS, this effort ties into the Oakland County Parks and Recreation Commission's strategic plan to standardize business practices and enable staff to operate more efficiently; and WHEREAS, this lease agreement has been developed by Oakland County Corporation Counsel. NOW THEREFORE BE IT RESOLVED that the Oakland County Parks and Recreation Commission hereby requests the Oakland County Board of Commissioners authorize and approve the lease agreement with Steven Ernst for a barn and 10' x 50 parcel of land directly north of the barn located at 1580 Scott Lake Road in Waterford Township. BE IT FURTHER RESOLVED that the Oakland County Parks and Recreation Commission hereby requests the Board of Commissioners direct its Chairperson or designee to execute said lease agreement on behalf of the County of Oakland. Moved by: John McCulloch Supported by: Robert Kostin Date: November 4, 2009 3. LEASE This Lease is made and entered into on the January 1,2010. by Steven Ernst, 1600 Scott Lake Road, Waterford, MI 48328 ("Tenant"), and the COUNTY OF OAKLAND, a Michigan Constitutional and Municipal Corporation, 1200 North Telegraph Road, Pontiac, Michigan 48341 ("Landlord"). INTRODUCTION A. On May 21, 2009, the Landlord and Eric M. Ernst and Diane Ernst entered into a Purchase Agreement for the sale of property commonly known as 1580 Scott Lake Road, Waterford. Michigan. B. Section 7.4 of the Purchase Agreement provides the following: "At closing. the Purchaser [Landlord] shall enter into a separate document leasing the barn on the Premises and a 10 feet by 50 feet portion of the Premises directly north of the barn. to Steven Ernst for a period of five (5) years. The barn and the portion of the Premises shall be used for personal gardening purposes." C. In consideration of the mutual covenants contained in this Lease, the Parties agree to the following terms and conditions: AGREEMENT 1, Leased Premises. The Landlord leases to the Tenant the barn located at 1580 Scott Lake Road. Waterford, MI 48328 together with a ten (10) feet by fifty (50) feet area of land located immediately north of the barn ("Premises"), which is depicted in the attached aerial photograph, Exhibit A. 2. Term and Commencement Date. The term of this Lease shall be for five (5) years. beginning on January 1, 2010 ("Commencement Date") and ending on December 31. 2014. Tenant shall receive possession of the Premises upon execution of the Lease. Termination. Tenant may terminate this Lease for any reason upon thirty (30) days written notice to Landlord. Landlord may terminate this Lease for any reason upon ninety (90) days written notice to Tenant. 4. Rent. 4.1. Tenant shall pay Landlord, by check or money order, at the following address: Oakland County Parks and Recreation, 2800 Watkins Lake Road, Waterford. MI 48328 or another address designated by Landlord in vaiting seventy-five dollars ($75.00) per month on or before the first day of each month during the term of this Lease. Tenant shall pay the first monthly installment when Tenant executes this Lease. The first monthly installment shall be pro-rated for such month. if the Final--Ernst Lease.doc Lease is executed on another day than the first day of the month. Tenant shall pay Landlord a late fee of $25 for each monthly installment not received by Landlord within five days of its due date. This increase shall be considered additional rent and shall compensate Landlord for costs incurred because of late payments. Landlord's right to collect this additional rent shall be in addition to Landlord's right to take action under other provisions of this Lease for Tenant's default in paying rent. The Tenant shall pay all additional rent to Landlord promptly after the due date of the delinquent installment. All rent paid after the due date and payments to cover checks that have been returned for insufficient funds must be paid at the place designated for payment, by cashier's check, certified check, or money order. 5. Hold Over. Tenant may, with Landlord's permission, continue to occupy the Premises after the term of this Lease expires without renewing this Lease or signing another Lease for the Premises. Such tenancy shall be on a month-to-month basis and subject to the provisions of this Lease except that the monthly rent shall increase by ten (10) percent from the rent for the last month of the term of the Lease, and Landlord may increase rent on thirty (30) days' notice to Tenant. 6. Alterations or Improvements. Tenant shall not make any alterations or improvements to or upon the Premises without the prior written consent of Landlord. Any alterations or improvements made to or upon the Premises shall become an integral part of the Premises and shall become the sole property of Landlord immediately upon completion unless Landlord notifies Tenant, prior to construction, that the alterations or improvements shall be removed by Tenant at the conclusion or termination of the Lease at Tenant's sole expense. Any alterations or improvements made to or upon the Premises shall be performed by a properly qualified contractor approved by Landlord. Any alterations or improvements shall be done only during normal business hours and done in such a way as not to interfere with the use of the Premises. Any contractor retained by Tenant shall comply with MCL 129.201, et seq. Any remodeling, renovation, improvements, or other modifications to the Premises by the Tenant will be at Tenant's sole expense, unless otherwise agreed by the Parties in writing. 7. U.se and OccutDan. During the term of this Lease the Premises shall be used for personal gardening purposes and for storage of personal gardening equipment and other equipment_ owned by Tenant, which may be lawfully stored on the Premises. 8. Condition Upon Surrender. Upon expiration or termination of this Lease, the Tenant shall surrender the Premises in the same condition as it was on the Commencement Date when taken (reasonable wear and tear excepted), and shall remove its personal property. 9. Equipment and Furnishings. The Tenant shall provide, at its own expense. furniture and equipment it deems necessary. The Tenant, at its own expense, shall be solely responsible for the maintenance and repair of all furniture and equipment used on the Premises. Final--Ernst Lease.doc 10. Taxes. All taxes are included in the Rent due under Paragraph 4 of this Lease. 11. Maintenance and Repairs. The Landlord shall maintain and keep the Premises in good repair during the term of this Lease If any repairs to the Premises are required (except for normal wear and tear), as a result of the Tenant's actions or the actions of its employees, agents. customers. licensees or invitees, the Tenant shall be responsible for making such repairs. 12. Utilities and Services. 12.1. The Parties acknowledge that there will be no utilities on the Premises. 12.2, The Landlord shall provide, at its own expense lawn care services for the Premises. 13. Compliance with Laws. The Landlord agrees, at its own expense, to promptly comply with all applicable federal, state and municipal laws and regulations affecting the Premises, including any barrier-free requirements. If the Landlord fails to comply with such laws and regulations, the Tenant may give the Landlord written notice of its intent to terminate the Lease one hundred fifty (150) days after the Landlord's receipt of the written notice. If the Landlord complies with the laws and regulations within the one hundred fifty (150) day period. then Tenant's notice will be deemed withdrawn. 14. Destruction of Premises. 14.1. In the event, the Premises are partially or entirely damaged or destroyed as a result of the Tenant's actions or the actions of its employees, agents, customers, licensees, or invitees, the Tenant shall be responsible for repairing all damage or destruction, unless such damage or destruction is covered and paid for by the Landlord's insurance, in which case the Tenant shall reimburse the Landlord for any deductible it must pay in connection with the damage or destruction. 14.2. In the event, the Premises are partially damaged or destroyed by fire or other casualty, the damage to the Premises shall be promptly repaired or rebuilt by the Landlord. In the event the Premises cannot be repaired or rebuilt within one hundred eighty (180) days after such destruction. the Tenant shall have the right to terminate this Lease and vacate the Premises within ninety (90) days after the occurrence of such damage or destruction. During the time between when the Premises are damaged and the Tenant remains on the Premises during repair o: vacates the Premises altogether, the Rent owed by the Tenant shall be reduced in proportion to the fraction of the Premises rendered unusable (in the discretion of the Tenant). If more than thirty-five percent (35%) of the Premises are damaged or destroyed by a casualty, the Tenant may elect to remain on the Premises or to vacate the Premises. 14,3. In the event that more than thirty-five (35%) percent of the Premises are damaged or destroyed by fire or other casualty, the Landlord may elect to either repair or 3 Final--Ernst Lease.doe rebuild the Premises, or to terminate this Lease by giving written notice to the Tenant within ninety (90) days after the occurrence of such damage or destruction. Tenant will have ninety (90) days from the date of the notice to vacate the Premises, If the Landlord elects to rebuild or repair the Premises, then the Rent owed by the Tenant shall be reduced in proportion to the fraction of the Premises rendered unusable (in the discretion of the Tenant) until the Premises are repaired or rebuilt. In no event shall the Landlord be required to repair or replace any property of the Tenant. 14.4. In the event that less than Thirty-five (35%) percent of the Premises are damaged or destroyed by fire or other casualty the Rent owed by the Tenant shall be reduced in proportion to the fraction of the Premises rendered unusable (in the discretion of the Tenant) until the Premises are repaired or rebuilt. 15. Care of Premises. Tenant shall keep the Premises in good repair, wear and tear from reasonable use and damage from the elements excepted. 16, Access. The Landlord shall have twenty-four (24) hour access to the Premises for the purpose of inspecting, repairing, and maintaining the Premises. 17, Assignment. The Tenant shall not assign. sublet or in any manner transfer this Lease or any estate or interest therein without the prior written consent of the Landlord. 18, Eminent Domain. If the whole Premises are taken by any public authority under the power of eminent domain_ then this Lease shall be terminated on the day the public authority takes possession of the whole Premises. If less than the whole_ but more than thirty-five percent (35%) of the Premises are taken by any public authority under the power of eminent domain, then either Party may terminate this Lease upon thirty (30) days written notice to the other Party. In the event neither Party elects to terminate this Lease. the Lease shall terminate on the date the public authority takes possession of the Premises. Neither Party shall have any future liability or obligation under the Lease if it is terminated under this Paragraph. 19, Quiet Enjoyment. Upon performance of its obligations under this Lease, the Tenant shall peacefully and quietly hold and enjoy the Premises for the Term of this Lease without hindrance or interruption by the Landlord, its agents or employees, subject to the terms of this Lease. 20, Modifications. This Lease may be modified or amended only by written agreement of the Landlord and the Tenant. Remedies Not Exclusive. It is agreed that each and every right and benefit provided by this Lease shall be cumulative and shall not be exclusive of any other right, remedy or benefit allowed by law or in equity to either Party. 4 Finals-Ernst Lease.doe ,1 . Use of Words. The pronouns and relative words used in this Lease shall be read interchangeably in masculine, feminine or neuter, singular or plural, as the context requires. Security Deposit. No security deposit is being required of Tenant. 24. Governing Law, This Lease shall be interpreted under and governed by the laws of the State of Michigan. 25. Severabilitv. If a term, condition, or provision of this Lease is found, by a court of competent jurisdiction, to be invalid, unenforceable, or to violate or contravene federal or state law, then the term, condition, or provision shall be deemed severed from this Lease; all other terms, conditions and provisions shall remain in full force and effect. 26. Waiver. No waiver of any term, provision or condition of this Lease, whether by conduct or othenvise, in one or more instances, shall be deemed or construed as a further continuing waiver of a term, provision or condition of this Lease. No remedy available to a Party for the other Party's breach of this Lease is intended to be an exclusive remedy. A Party's exercise of any remedy for breach of this Lease shall not be deemed or construed to be a waiver of its right to pursue another remedy. 27. Entire Agreement. This Lease constitutes the entire agreement of the Parties with respect to the Premises and all prior negotiations, agreements and understandings, either oral or written, are merged herein. 28. Binding Effect. The terms and conditions of this Lease shall be binding and shall inure to the benefit of the Parties and their respective heirs, representatives, successors and assigns. 29. Notice. 29.1. All notices, requests, demands, and other communications required by this Lease shall be in writing and shall be deemed given if personally delivered or mailed, certif .: ed mail, return receipt requested, to the following addresses: To Landlord With a copy to: Park and Recreation Commission Executive Director 2800 Watkins Lake Road Building #97 West Waterford, MT 48328 Property Management Specialist Oakland County Department of Facilities Management I Public Work Drive Waterford, MI 48328 5 Final—Ernst Lease.doc To Tenant: Steven Ernst 1600 Scott Lake Road Waterford, MI 48328 30. Reservation of Rights. This Lease does not and is not intended to impair divest, delegate. or contravene any constitutional, statutory. and/or other legal right, privilege, power. obligation, duty. capacity. or immunity of the Parties. 31. Default. If the Tenant defaults in any of its obligations under this Lease, the Landlord shall have all remedies available to it under the law. Execution in Counterparts. This Lease may be executed in several counterparts, each of which shall be an original and all of which shall constitute but one and the same instrument. TENANT By: Date COUNTY OF OAKLAND Landlord By: BILL BULLARD, JR. Chairperson Date Oakland County Board of Commissioners 6 Final—Ernst Lease.doc Resolution #09323 December 9, 2009 The Chairperson referred the rescAution to the Finance Committee. There were no objections. FISCAL NOTE (MISC. #09323) January 20, 2010 BY: Finance Committee. Tom Middleton, Chairperson IN RE: OAKLAND COUNTY PARKS AND RECREATION COMMISSION AND DEPARTMENT OF FACILITIES MANAGEMENT — REQUEST FOR APPROVAL OF LEASE AGREEMENT WITH STEVEN ERNST, WATERFORD OAKS COUNTY PARK To the Oakland County Board of Commissioners Chairperson. Ladies and Gentlemen: Pursuant to Rule XII-C of this Board, the Finance Committee has reviewed the above referenced Miscellaneous Resolution and finds: 1. The Oakland County Parks and Recreation Commission is seeking approval and acceptance of a lease agreement between the County of Oakland and Steven Ernst for the rental of a barn and 10' X 50' plot of land located easterly of 1580 Scott Lake Road on the grounds of Waterford Oaks County Park. 2. The residential lease agreement with Steven Ernst stipulates he will pay rent in the amount of $75 per month, commencing January 1, 2010. 3. A late fee of $25 will be paid for each monthly rent not received within five days of its due date and will be considered additional rent to compensate for costs incurred because of late payments. 4. The lease agreement was recommended for approval by the Oakland County Parks and Recreation Commission on November 4, 2009 5. The monthly rent amount will oe deposited in the Oakland County Parks and Recreation Fund, Waterford Oaks Rent House revenue line item. 6. No General Fund/General Purpose or Parks and Recreation funding is required. 7. No budget amendment is recommended. FINANCE COMMITTEE FINANCE COMMITTEE Motion carried unanimously on a roll call vote. 7/2s/i o Resolution #09323 January 20, 2010 Moved by Coleman supported by Potter the resolutions (with fiscal notes attached) on the Consent Agenda be adopted (with accompanying reports being accepted). AYES: Burns, CapeIlo, Coleman, Coulter. Douglas, Gershenson, Gingell, Gosselin, Greimel, Hatchett. Jackson jacobsen, Long. McGirivray, Middleton, Nash, Potter, Potts, Runestad, Schwartz, Scott, Taub, Woodward, Zack, Bullard, (25) NAYS: None. (0) A sufficient majority having voted in favor, the resolutions (with fiscal notes attached) on the Consent Agenda were adopted (with accompanying reports being accepted). r-- I HEREBY APPROVVHE FORGING RESOLUTION STATE OF MICHIGAN) COUNTY OF OAKLAND) I, Ruth Johnson, Clerk of the County of Oakand, do hereby certify tnat tie foregoing resolution is a true and accurate copy of a resolution adopted by the Oakland County Board of Commissioners on January 20, 201C, wit n the original record thereof now remaining in my office, In Testimony Whereof, I have hereunto set my hand and affixed the seal of the County of Oakland at Pontiac, Michigan this 20th day of January, 2010, eat Ruth Johnson, County Clerk