HomeMy WebLinkAboutReports - 2023.11.16 - 40721AGENDA ITEM: Residential Lease Agreement with Aaron Stepp for Property Located at
Independence Oaks County Park
DEPARTMENT: Parks & Recreation
MEETING: Board of Commissioners
DATE: Thursday, November 16, 2023 9:30 AM - Click to View Agenda
ITEM SUMMARY SHEET
COMMITTEE REPORT TO BOARD
Resolution #2023-3482
Motion to approve the Residential Lease Agreement between the County of Oakland and Aaron
Stepp for property located at 9489 Sashabaw Road, Clarkston, MI 48348.
ITEM CATEGORY SPONSORED BY
Lease Gary McGillivray
INTRODUCTION AND BACKGROUND
In April 2009, the Oakland County Parks and Recreation Commission approved the Residential
Property Lease Policy. The purpose of the policy was to set forth procedures and guidelines to
manage residential properties located on Oakland County Parks property. The Oakland County
Parks and Recreation Director shall oversee the implementation and interpretation of this policy.
The property at Independence Oaks County Park is located at 9489 Sashabaw Road in Clarkston,
was built in 1974, is 1200 square feet, has 3 bedrooms, 1.5 baths, a basement and garage, and sits
adjacent to the maintenance building. This property has been analyzed by the County’s Property
Management Specialist to provide a market rate in accordance with the Residential Lease Policy.
It is the desire of the Oakland County Parks and Recreation Commission to lease said house to
Aaron Stepp for a period commencing January 1, 2024 through December 31, 2028. The house has
been occupied by Aaron Stepp and his family for the past 9 years. Mr. Stepp is a full-time employee
with Oakland County Parks. Staff is requesting to move forward with a 5-year lease renewal as is
standard practice for all of our residential property leases and has the standard terms for terminating
the lease early.
Under the terms and conditions of the attached Lease Agreement, Aaron Stepp will pay all utility
costs and rent as follows:
January 1, 2024 – December 31, 2024 $974.00 per month
January 1, 2025 – December 31, 2025 $994.00 per month
January 1, 2026 – December 31, 2026 $1,014.00 per month
January 1, 2027 – December 31, 2027 $1,034.00 per month
January 1, 2028 – December 31, 2028 $1,054.00 per month
The rent amount received will be deposited in the Oakland County Parks and Recreation Rental
House Revenue fund line item.
The attached lease agreement has been prepared and reviewed by Oakland County Corporation
Counsel.
The attached agreement is a continuation of the current lease. No budget amendment is required at
this time.
POLICY ANALYSIS
The pending agreement fee schedule starts with a 2% increase over the previous agreement and
maintains an annual 2% increase in the rental fee. Utilities are the responsibility of the tenant and
shall be in the tenant’s name. The rental fee includes a discount off market rate for performing
residential duties. Pursuant to the Parks & Recreation Residential Property Lease Policy, 1) the
market lease rate of the residential property shall be established by the Chief of P&R Business
Operations, working with the Property Management Specialist from the Oakland County Department
of Facilities Management and Operations, on a case- by-case basis using comparable rental
properties in the same area as the residential property, taking year built, square footage, number of
bedrooms and bathrooms into consideration; and 2) the percentage discount shall be 30% for
performing residential duties (i.e., securing and protecting park property, arrange for emergency
repair and maintenance services for Park Property and facilities as needed, make reports to the
Park Supervisor or other entity as may be required).
The previous 5-year residential lease agreement for this property was executed through
Miscellaneous Resolution #18369 on November 14, 2018, between the County and Aaron Stepp.
BUDGET AMENDMENT REQUIRED: No
Committee members can contact Michael Andrews, Policy and Fiscal Analysis Supervisor at
248.425.5572 or andrewsmb@oakgov.com, or the department contact persons listed for additional
information.
CONTACT
Jim Dunleavy
ITEM REVIEW TRACKING
Aaron Snover, Board of Commissioners Created/Initiated - 11/16/2023
AGENDA DEADLINE: 11/16/2023 9:30 AM
ATTACHMENTS
1.Independence Oaks Residential Lease - Stepp
2.Independence Oaks Residential Lease - Stepp Map
COMMITTEE TRACKING
2023-11-07 Legislative Affairs & Government Operations - Recommend to Board
2023-11-16 Full Board - Adopt
Motioned by: Commissioner Yolanda Smith Charles
Seconded by: Commissioner Philip Weipert
Yes: David Woodward, Michael Spisz, Michael Gingell, Penny Luebs, Karen Joliat, Kristen
Nelson, Christine Long, Robert Hoffman, Philip Weipert, Gwen Markham, Angela Powell, Marcia
Gershenson, Janet Jackson, William Miller III, Yolanda Smith Charles, Brendan Johnson, Ajay
Raman (17)
No: None (0)
Abstain: None (0)
Absent: Charles Cavell (1)
Passed
RESIDENTIAL LEASE AGREEMENT
NOTICE: MICHIGAN LAW ESTABLISHES RIGHTS AND OBLIGATIONS FOR PARTIES TO
RENTAL AGREEMENTS. THIS AGREEMENT IS REQUIRED TO COMPLY WITH THE TRUTH
IN RENTING ACT. IF YOU HAVE A QUESTION ABOUT THE INTERPRETATION OR
LEGALITY OF A PROVISION OF THIS AGREEMENT, YOU MAY WANT TO SEEK
ASSISTANCE FROM A LAWYER OR OTHER QUALIFIED PERSON.
This Lease Agreement ("Lease") is entered into between the County of Oakland, 1200 North Telegraph,
Pontiac, MI 48341 ("Landlord"), by and through its statutory agent the Oakland County Parks and
Recreation Commission (“OCPRC”) and Aaron Stepp ("Tenant") according to the terms and conditions
set forth below.
1.Premises. Tenant leases from landlord the real property located at 9489 Sashabaw Road,
Clarkston, MI 48348 ("Premises"), together with any furnishings, fixtures, personal property,
and appurtenances provided by Landlord for Tenant’s use.
2.Term. The term of this Lease shall be for five (5) years, beginning on January 1, 2024, and
ending on December 31, 2028. References in this Lease to the term of the Lease shall include
any renewal term(s). Tenant shall receive possession of the Premises upon execution of the
Lease.
3.Tenant Monetary Obligations.
3.1.The rental rate for the first year is set by taking the market rate and applying the discount
for performing residential duties. The rent is then increased 2% each year. Tenant shall
pay Landlord the following rent on or before the first day of each month during the term
of this Lease:
January 1, 2024 – December 31, 2024 $974.00 per month
January 1, 2025 – December 31, 2025 $994.00 per month
January 1, 2026 – December 31, 2026 $1,014.00 per month
January 1, 2027 – December 31, 2027 $1,034.00 per month
January 1, 2028 – December 31, 2028 $1,054.00 per month
3.2.The rent shall be paid by check or money order made payable to the “County of Oakland”
and sent to the following address: Oakland County Parks and Recreation, 2800 Watkins
Lake Road, Waterford, Michigan 48328, or another address designated by Landlord in
writing.
3.3.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 Lease is executed on another
day than the first day of the month.
3.4.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.
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.
3.5.During the term of this Lease, Tenant shall obtain and maintain comprehensive personal
liability or tenant’s form insurance coverage in the minimum amount of One Hundred
Thousand Dollars ($100,000.00). Tenant shall also provide the Landlord with a
certificate of insurance coverage listing the County of Oakland and its employees,
officers, and elected and appointed officials as additional insureds.
4.Use of Premises.
4.1.Tenant shall use the Premises for private residential purposes only. No persons other
than the following listed person(s) shall occupy the Premises for more than fourteen (14)
days during the term of this Lease without the prior written approval of Landlord: Kyla,
Cooper, Bailey Stepp.
Landlord’s approval shall be given by the OCPRC Director or his or her designee.
4.2.Tenant shall not do any of the following or allow another person to do any of the
following:
4.2.1.Create any excessive noise or public nuisance;
4.2.2.Do anything to the Premises or its surroundings that may be hazardous or that
will cause Landlord’s insurance to be cancelled or premiums to increase;
4.2.3.Deface or damage any part of the Premises;
4.2.4.Change the locks or install any additional locks or bolts without Landlord’s
prior written approval. Landlord’s approval shall be given by the OCPRC
Director or his or her designee;
4.2.5.Place a waterbed or other heavy article on the Premises without Landlord’s
prior written approval. Landlord’s approval shall be given by the OCPRC
Director or his or her designee;
4.2.6.Install any equipment or appliances that, in Landlord’s opinion, would cause
unsafe conditions on or around the Premises;
4.2.7.Accumulate refuse on or around the Premises that might pose a health hazard to
Tenant or to the surrounding properties;
4.2.8.Permit any flammable liquids or explosives to be kept on or around the
Premises; and
4.2.9.Bring any animals on the Premises without Landlord’s prior written approval.
Landlord’s approval shall be given by the OCPRC Director or his or her
designee.
4.3.Tenant Duties.
4.3.1.To the extent permitted by law, Tenant shall secure and protect the Park
Property and facilities therein, especially during "Park Closed" hours. This shall
include contacting and coordinating with police, fire or other agencies as may
be required and the preparation of an Unusual Incident Report as required by
Landlord.
4.3.2.Tenant shall arrange for emergency repair and maintenance services for Park
Property and facilities, as needed.
4.3.3.Tenant shall make reports to the Park Supervisor or other entity as may be
required by Landlord.
4.3.4.Landlord shall install smoke-detection devices for the Premises along with
batteries to operate the devices. Tenant must regularly test the devices to ensure
that they are operational and if not notify Landlord immediately. Tenant must
never remove batteries from smoke-detection devices, except when necessary
to replace the batteries.
4.3.5.The performance of “tenant duties,” set forth in the Lease does not and is not
intended to create an employee/employer relationship between Landlord and
Tenant.
5.Use of Illegal Substances. Tenant shall not violate or knowingly allow another person to violate
federal, state, or local laws regarding the use of controlled substances or the use of alcohol by
minors in or around the Premises. When aware of a violation of this section, Landlord will file a
formal police report.
6.Condition of Premises.
6.1.Except as otherwise expressly stated herein or in an Amendment to this Lease, Tenant
acknowledges that no representations were made by Landlord about the condition of the
Premises or promises to alter or to improve the Premises before or during the term of the
Lease.
6.2.Throughout the term of the Lease, Tenant shall keep the Premises in a good and clean
condition and shall allow no waste of the Premises or any utilities.
6.3.Except for normal wear and tear, Tenants shall return the Premises to Landlord in the
same condition as they were upon commencement of this Lease, including cleanliness.
7.Utilities and Services for Premises. Tenant is responsible for the costs of utilities and services
for the Premises and for establishing accounts, if they are not already established for the term of
this Lease including but not limited to the following: (a) garbage removal; (b) water and sewer;
(c) gas/propane; (d) electricity; (e) ice removal, including salting the driveway and any walks
surrounding the Premises or on the Premises; (f) telephones; (g) cable television; (h) Internet;
and (i) cleaning for the interior of the building located on the Premises. All accounts for utilities
and services shall be in the name of Tenant.
8.Maintenance, Repairs, and Damage to Premises.
8.1.Landlord shall be responsible for snow removal and lawn/grounds services for the
Premises.
8.2.Landlord shall provide repair and maintenance for the Premises and its parking lot or
parking area, including but not limited to, building infrastructure, HVAC system, utility
infrastructure, plumbing and electrical system. Tenant shall notify Landlord, in a timely
manner and without delay, when there is a need for repairs to the Premises.
8.3.Except for normal wear and tear to the Premises, Tenant shall be liable for any damage to
the Premises or other property of Landlord that is caused by the acts or omissions of
Tenant or Tenant’s guests, including but not limited to broken glass and lost or broken
keys. If damage occurs, Landlord or its agents shall make the necessary repairs and
Tenant shall reimburse Landlord for all costs associated with the repairs. Such
reimbursement shall be paid by Tenant within thirty (30) days of receiving an invoice
from Landlord. If Landlord makes a claim and receives payment under its property
insurance for damage to the Premises, then Tenant shall only be liable to Landlord for the
amount of the deductible for the property insurance for the Premises. Landlord shall send
an invoice to Tenant for the amount of the deductible and Tenant shall pay this amount
within thirty (30) days of receiving the invoice.
8.4.To the extent permitted by law, Landlord and Landlord’s agents shall not be liable for
any damage to property or loss of property that is caused by theft or casualty on the
Premises. Landlord recommends that Tenant obtain insurance to protect Tenant’s
personal property against such loss or damage.
9.Decorations and Alterations to Premises. Tenant shall not alter or decorate the Premises,
including but not limited to, removing any furnishings Landlord provides to Tenant, driving nails
into the woodwork, painting or using any adhesive material on the walls without prior written
approval from Landlord. Landlord’s approval shall be given by the OCPRC Director or his or
her designee. Landlord’s approval of a particular decoration or alteration shall not be deemed
consent to future decorations or alterations.
10.Assignment and Sublease of Premises. Tenant shall not assign or sublease the Premises or any
portion thereof.
11.Access to the Premises. Tenant shall allow Landlord and Landlord’s agents reasonable access to
the Premises to inspect, repair, alter, or improve the Premises. Landlord and Landlord’s agents
shall have immediate access to the Premises in case of an emergency or if an emergency repair
to the Premises is required. Tenant shall also allow insurance carriers and representatives, fire
department inspectors, police, or local health authorities to inspect the Premises. Tenant shall
allow Landlord or Landlord’s agents to show the Premises to prospective tenants or purchasers at
reasonable times during the sixty (60) days prior to the expiration of this Lease.
12.Vacation or Abandonment of the Premises. If Tenant removes substantially all Tenant’s
property from the Premises for a period of thirty (30) days, Landlord may immediately enter and
redecorate the Premises without abatement of rent and proceed as if Tenant terminated this
Lease. These acts by Landlord shall not affect Tenant’s obligations under this Lease. If Tenant
abandons the Premises before the Lease expires, all rent for the remainder of the term of the
Lease shall immediately become due.
13.Damage or Destruction of the Premises. If a casualty partially destroys the Premises but they
can be restored to a tenantable condition within thirty (30) days, Landlord shall repair the
Premises with reasonable dispatch; however, Landlord’s obligation to repair the Premises shall
be limited to the amount of insurance proceeds actually received by Landlord. Tenant’s
obligation to pay rent shall be suspended while the Premises are untenantable. If a casualty
damages the Premises to the extent that they cannot be restored to a habitable condition within
thirty (30) days, either Party may terminate this Lease by giving the other party written notice
within fifteen (15) days after the casualty. Landlord shall not be liable for any reasonable delay
or for providing housing for Tenant during repairs.
14.Termination of Lease.
14.1.Tenant may terminate this Lease for any reason upon thirty (30) days written notice to
Landlord.
14.2.Landlord may terminate this Lease for any reason upon ninety (90) days written notice to
Tenant.
14.3.Upon termination of this Lease, Tenant shall surrender the Premises to Landlord in the
same condition they were upon commencement of Lease, normal wear and tear excepted.
Upon termination of this Lease, Tenant shall also notify Landlord of the move-out date,
return all keys to the Premises to Landlord, and transfer all utility and service accounts
into the name of the “County of Oakland.”
15.Default of Lease and Landlord’s Remedies.
15.1.If Tenant defaults on any obligations under this Lease or misrepresents any information
in the application for this lease, Landlord may, on written notice to Tenant, terminate the
Lease and enter the Premises as permitted by law; Tenant and any other occupants shall
surrender the Premises to Landlord by the date stated in the notice. If Landlord
terminates the Lease, Landlord may recover Landlord’s expenses for enforcing
Landlord’s rights under the Lease and applicable law, including court costs and attorney
fees, from Tenant, as permitted by statute; and rent for the rest of the term of the Lease
shall immediately become due. Tenant may not be liable for the total accelerated amount
because of Landlord’s obligation to minimize damages, and either party may ask a court
to determine the actual amount owed, if any. If Tenant fails to pay rent or any other sums
when due to Landlord, Landlord serves a notice of default on Tenant as required by law,
and Tenant fails to remit the amounts due before the notice period expires, the amount of
court costs and attorney fees incurred by Landlord in enforcing Landlord’s remedies and
allowed by statute shall be added to the amount of the arrearage.
15.2.It is a violation of this Lease if Tenant, a member of Tenant’s household, or any other
person under Tenant’s control unlawfully manufactures, delivers, possesses with intent to
deliver, or possesses a controlled substance as defined by Michigan law anywhere on the
Premises or surrounding the Premises. Pursuant to Michigan law, if Tenant violates this
provision Landlord may serve a written demand for possession for termination of this
Lease giving Tenant 24 hours’ notice of the Lease termination and demand for
possession. Tenant acknowledges that an order of eviction/writ of restitution may be
issued by the court immediately after the entry of a judgment for possession. Tenant’s
initials:______
15.3.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.
16.Notices. Any notices under this Lease shall be in writing and delivered to the recipient
personally or by first class mail fully prepaid at the following locations:
Tenant:
Landlord:
Aaron Stepp
Oakland County Department of
Facilities Management Property Management
One Public Works Drive, Bldg. 95W
Waterford, MI 48328
and
Oakland County Parks and Recreation Director
2800 Watkins Lake Road, Bldg. 97W
Waterford, MI 48328
Unless otherwise required by law, the date of service shall be the date of hand delivery or the
mailing date.
17.Modifications. No modifications of this Lease shall be binding unless they are in writing and
signed by Landlord and Tenant.
18.Whole Agreement. This Lease sets forth the entire agreement between Landlord and Tenant.
There are no verbal or written agreements that are not contained in this Lease between the
parties.
19.Binding Effect. This Lease shall bind and benefit the parties to the Lease and their heirs,
personal representatives, successors, and permitted assigns.
20.Severability. If any provision of this Lease is invalid, unlawful, or unenforceable to any extent,
the rest of the Lease and the application of the provision to the persons or circumstances other
than those for which it is invalid, unlawful, or unenforceable are not affected.
21.Time of the Essence. Time shall be deemed to be of the essence in the performance of this
Lease.
22.Effective Date. This Lease is effective on the date stated in Section 2.
TENANT LANDLORD
_____________________________________________________________
Date_________________________Date____________________________
Revision Date:
JUNE 22, 2016 By Dean Serafimovski Location: K:\
ParksRec\General\Design\
Data_Share\Dean\Residential Lease Properties\Final_Approved\9489
Sashabaw Rd, Clarkston Location Map Independence Oaks, 9501
Sashabaw Rd. Clarkston, MI 48348 Independence Oaks Parcels:
Parcel No. 08-09-200-004 - 1,058
Acres Parcel No. 08-03-201-007 - 164
Acres Parcel No. 08-15-100-
007 - 37 Acres Parcel No.
08-03-201-006 -
23 Acres
Parcel No. 08-
03-401-004 -
2
Acres Independence
Oaks Total Acres =
1,284 Oakland
County Parks and
Recreation 2800 Watkins Lake
Road Waterford, MI 248-
858-0906 www.DestinationOakland.com 145
2015 IMAGERY 9489
Sashabaw Rd. On
Indrependence Oaks
County
Park
Property See
Zoom Detail
A
Independence Oaks
County Park Parcel No. 08-
09-200-004 9501
Sashabaw
Rd
Clarkston, MI
48348 1058
Acres Maintenance Building
Carpenter Shop and