HomeMy Public PortalAboutORD14436 BILL NO. 2008-90
• SPONSORED BY COUNCILMAN Penfold
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ORDINANCE NO. 1 `'c -3 4/�
AN ORDINANCE OF THE CITY OF JEFFERSON, MISSOURI, AUTHORIZING THE MAYOR AND
CITY CLERK TO EXECUTE AN AGREEMENT WITH FISCHER GRAIN FARMS FOR AN
AGRICULTURAL LEASE FOR AIRPORT AND WASTEWATER LANDS
WHEREAS, Fischer Grain Farms has submitted the best proposal for an Agricultural Lease for
Airport and Wastewater Lands;
NOW, THEREFORE, BE IT ENACTED BY THE COUNCIL OF THE CITY OF JEFFERSON,
MISSOURI, AS FOLLOWS:
SECTION 1. The proposal submitted by Fischer Grain Farms is declared to be the best
proposal and is hereby accepted.
SECTION 2. This agreement shall be substantially the same in form and content as that
agreement attached hereto as Exhibit A.
SECTION 3. This ordinance shall be in full force and effect from and after the date of its
passage and approval.
Passed: — M irv-- 1 -7 9V Approved: l�
Presidin Off' er ay
ATTEST: APP ED O FORM:
'Cify Clerk City Coufise lor
•
1
CITY OF JEFFERSON
AGRICULTURAL LEASE AGREEMENT RENEWAL
WHEREAS, the City of Jefferson, Missouri, a municipal corporation, with offices at 320 East
McCarty, Jefferson City, Missouri, 65101, hereinafter designated "Lessor," entered into a Lease
Agreement with Jay P. Fischer of Fischer Grain Farms,located at 1905 Old Mokane Road,Jefferson
City, Missouri, 65101, hereinafter referred to as "Lessee," on November 20, 2008, and amended
December 14, 2009, January 6, 2011, and November 29, 2011; and
WHEREAS, the Lease Agreement was for lease of agricultural property; and
WHEREAS,both parties wish to renew the Lease Agreement for the fourth of four additional one
year temis as stipulated in Paragraph 1 of the Lease Agreement dated November 20, 2008, and
amended December 14, 2009, January 6, 2011, and November 29, 2011.
NOW,THEREFORE,be it agreed by the parties that the Lease Agreement is hereby renewed for
the fourth of four additional one year terrns to end December 31, 2013.
IN TESTIMONY WHEREOF,the parties have hereunto set their hands and seals this
day of November, 2012.
CITY OF JEFFERS N, MISSOURI JAY P. FISCHER, FISCHER GRAIN
FARMS ,
Mayor J y Fischer
ST: ATTEST= f,
ji"N ffikw�4
City Clerk Ki berly A. i cher
APPROVED O FORM:
City Counselor
144
• CITY OF JEFFERSON
AGRICULTURAL LEASE AGREEMENT
THIS LEASE AGREEMENT,executed thio_day of November,2008,by and between the City
of Jefferson, Missouri, a municipal corporation, hereinafter referred to as "Lessor," and Fischer
Grain Farms, hereinafter referred to as"Lessee."
WITNESSETH:
THAT WHEREAS, Lessor has this day leased unto Lessee the following described property,
situated in the County of Callaway, State of Missouri, to-wit:
Certain tillable land, the total area of which is approximately one hundred sixty
(160) tillable acres located on the Jefferson City Memorial Airport shown on the
attached Exhibit A; and,
Certain tillable land, the total area of which is approximately two hundred seventy-two
(272) acres around the landing areas of the Jefferson City Memorial Airport shown on the
attached Exhibit B.
NOW THEREFORE, for the considerations herein expressed, it is agreed by and between the
Lessor and the Lessee:
1. Lease Period.
The initial period of this Lease shall be effective from the January 1, 2009, through December 31,
2009. With the consent of both parties,this contract may be extended for four(4)additional one(1)
year periods.
2. Notice of Termination of Agreement.
Lessee shall inform Lessor of its desire to extend this lease by September 30" of each year for each
one (1)year option.
3. Rental.
The Lessee, in consideration of the leasing of the above described premises, hereby covenants and
agrees with the Lessor to pay the Lessor as rent for said premises the price of Two Hundred Dollars
Fifty-One Cents($200.51)per tillable acre as described in Exhibit A, and the price of Two Hundred
One Dollars Fifty-One Cents ($201.51)per tillable acre as described in Exhibit B. Unless such an
agreement modification has been established,rent shall be calculated for a total of one hundred sixty
(160)tillable acres,for a total of Thirty-Two Thousand Eighty-One Dollars Sixty Cents($32,081.61)
for acres described in Exhibit A and on a total of 272 tillable acres with 140 tillable acres being tilled
per year for a total of Twenty-Eight Thousand Two Hundred Eleven Dollars Forty Cents($28,211.40)
for acres described in Exhibit B for the 2009 growing season. Lessee shall pay Lessor as rental for
the following growing season in the following amount:
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EXHIBIT A EXHIBIT B
GROWING AMOUNT PER AMOUNT PER
SEASON TILLABLE ACRE TILLABLE-ACRE
2010 $200.51 $201.51
2011 $200.51 $201.51
2012 $200.51 $201.51
2013 $200.51 $201.51
Such rental is due and payable on or before December 31 of each year. In the event of flooding during
a growing season, rent shall be one-third(1/3)of the cash value of any crop harvested.
4. Expenses.
Lessee shall provide and pay for all items and expenses involved in planting and harvesting the crops.
The Lessor shall be solely responsible for any levee assessments on the land.
5. Crops Sown.
The entire 160 acres(Airport Fields)must be used as delineated on the Attached map based on FAA
restrictions.
The entire 272 acres (Wastewater Fields) shall be used as tillable, 50 acres located in a different
segment each year are to be annually sown in winter wheat so that harvest will occur in mid to late
summer. Only one parcel comprising half of the acreage(approximately 140 acres)will be sown each
year. The other half will be used by the City annually. The remaining 140 acres are to be sown as
follows:
. Year 1 -corn
Year 2-soybeans
Year 3 -oats
Year 4-wheat
Wastewater property where sludge has been applied shall not be open to the public for a one year
period from the time the sludge is applied. (Property cannot be used for corn maze, etc.)
6. Harvestinix and Removal of Crops.
All crops shall be harvested and removed prior to December 31 of any year which is a termination
anniversary of the lease,unless other specific arrangements are made in writing between the parties.
7. Interference with Airport Operations.
It is understood and agreed by the parties hereto that the Lessee will not at any time sow, plant,
cultivate, harvest or do any other work of whatsoever nature on any of the areas specified in said
Lease, when same shall interfere with any aeronautical activities of the Jefferson City Memorial
Airport. The rights granted by this agreement will not be exercised in such a way as to interfere with
or adversely affect the use, operation, maintenance or development of the airport.
8. Right to Reclaim Acreage.
It is understood that the City of Jefferson has the right to reclaim any part of the acreage should it
be needed for airport purposes and an appropriate reduction in the rents to be paid will be made,as
• may be agreed upon by the Lessor and the Lessee.
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• 9. Runwav Visibility.
No corn shall be planted on any plot that interferes with runway visibility, and such corn that is
planted shall be planted at the direction of the Director of Community Development so as not to
interfere with runway visibility or constitute an obstruction on approaches. These are the areas
designated as Restricted Tillable.
10. Operation of Equipment.
The Lessee should inform the Airport Division Director or the on-duty tower controller before
operating vehicles or equipment on airport property. No farm machinery or vehicles of any kind are
to be left unattended or overnight within seven hundred fifty(750)feet of the centerline of runway
12/30,nor within the thresholds of runway 12/30 within a strip three thousand(3,000)feet(or to the
property line) from the end of the runway along the extended centerline and one thousand five
hundred(1,500) feet wide; nor within five hundred(500) feet of runway 9/27, nor within restricted
areas around the Instrument Landing System (ILS) as designated by the Director of Community
Development,or other areas designated by the Director of Community Development. Equipment and
vehicles should not traverse in front of the ILS Glide Slope without clearance from the Jefferson City
Control Tower or Airport Division Director.
11. Grass Control.
It is agreed that Lessee shall maintain an effective Johnson Grass Control Program. The City shall
furnish fifty percent(50%)of sprays or chemicals as may be necessary to control or kill the Johnson
Grass.
12. Covenant to Comply with Federal Regulations.
The Lessee, for himself, his personal representatives, successors in interest, and assigns, as a part
of the consideration hereof,does hereby covenant and agree as a covenant running with the land that:
(1)no person on the grounds of race,color,or national origin shall be excluded from participation in,
denied the benefits of,or be otherwise subjected to discrimination in the use of said facilities,(2)that
in the construction of any improvements on,over,or under such land and the furnishing of services
thereon, no person on the grounds of race, color, or national origin shall be excluded from
participation in,denied the benefits of,or otherwise be subjected to discrimination,(3)that the Lessee
shall use the premises in compliance with all other requirements imposed by or pursuant to federal,
state and local laws and regulations.
13. Insurance.
Lessee agrees that it will at all times maintain general liability insurance,with a reputable insurance
company, in the amount of$2,000,000. This insurance shall assure the obligation of the Lessee to
save the Lessor harmless from any and all claims for damages arising on the demised premises or
resulting as a direct or indirect consequence of the occupation and use of said demised premises.
Current copies of said insurance policy or certificate of insurance shall be furnished to the Lessor and
shall be promptly replaced upon expiration. Lessor shall be named as an additional insured on the
policy. Lessee shall save Lessor harmless from any loss,cost or damage that may arise in connection
with this lease or the use of demised premises by Lessee,or his/her agents,or employees,or any other
person using the premises.
14. Use of Well.
• A well is located upon the property described in Exhibit A and Exhibit B. Such well shall be made
available to Lessee for Lessee's use and enjoyment.
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• 15. Assignment and Mortgage.
Neither the demised premises nor any portion of them shall be sublet, nor shall this lease, or any
interest in it be assigned, hypothecated or mortgaged by Lessee, and any attempted assignment,
subletting,hypothecation or mortgaging of this lease shall be of no force or effect,and shall confer no
rights upon any assignee, sublessee, mortgagee or pledgee.
In the event that Lessee shall become incompetent, bankrupt, or insolvent, or should a guardian,
trustee,or receiver be appointed to administer Lessee's business or affairs,neither this lease nor any
interest here shall become an asset of such guardian, trustee or receiver, and in the event of the
appointment of any such guardian,trustee, or receiver,this lease shall immediately terminate and
end.
16. Default.
In the event that Lessee shall be in default of any payment of any rent or in the performance of any
of the terms or conditions agreed to be kept and performed by Lessee,then in that event,Lessor may
terminate and end this lease,immediately,and Lessor may enter upon the premises and remove all
persons and property,and Lessee shall not be entitled to any money paid or any part of that money;
in the event Lessor shall bring a legal action to enforce any of the terms of this lease, or to obtain
possession of the premises by reason of any default of Lessee, or otherwise, Lessee agrees to pay
Lessor all costs of such legal action,plus the sum of Five Hundred Dollars ($500.00).
17. Waiver.
Waiver by Lessor of any default in performance by Lessee of any of the terms, covenants, or
conditions contained here,shall not be deemed a continuing waiver of that default or any subsequent
default.
18. Compliance with Laws.
Lessee agrees to comply with all laws, ordinances, rules and regulations that may pertain or apply
to the demised premises and their use.
19. Lessor Mav Enter.
Lessee agrees that Lessor,its agents or employees,may enter upon the premises at any time during
the term or any extension of it for the purpose of inspection,maintenance,digging test holes,making
surveys, taking measurements, and doing similar work necessary for the preparation of plans for
construction ofbuildings or improvements on the premises,with the understanding that the work will
be performed in such a manner as to cause a minimum of interference with the use of the property
by Lessee.
20. Successors in Interest.
All of the terms, covenants and conditions contained here shall continue, and bind all successors in
interest of Lessee.
21. Lessor's Reserved Rights.
A. Lessor reserves the right(but shall not be obligated to Lessee)to maintain and keep
in repair the landing area of the airport and all publicly-owned facilities of the
. airport, together with the right to direct and control all activities of the Lessee in
this regard.
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B. Lessor reserve the right further to develop or improve the landing area and all
publicly-owned air navigation facilities of the airport as it sees fit,regardless of the
desires or views of the Lessee, and without interference or hindrance.
C. Lessor reserves the right to take any action it considers necessary to protect the
aerial approaches of the airport against obstruction, together with the right to
prevent Lessee from erecting, or permitting to be erected, any building or other
structure on the airport which in the opinion of Lessor would limit the usefulness of
the airport or constitute a hazard to aircraft.
D. During time of war or national emergency,Lessor shall have the right to enter into
an agreement with the United States Government for military or naval use of part
or all of the landing area, the publicly-owned air navigation facilities and/or other
areas or facilities of the airport. If any such agreement is executed, the provisions
of this instrument, insofar as they are inconsistent with the provisions of the
agreement with the Government, shall be suspended.
E. It is understood and agreed that the rights granted by this agreement will not be
exercised in such a way as to interfere with or adversely affect the use, operation,
maintenance or development of the airport.
F. There is hereby reserved to the City of Jefferson City,its successors and assigns,for
the use and benefit of the public, a free and unrestricted right of flight for the
passage of aircraft in the airspace above the surface of the premises herein conveyed,
together with the right to cause in said airspace such noise as may be inherent in the
operation of aircraft, now known or hereafter used for navigation of or night in the
air, using said airspace or landing at, taking off from, or operating on or about the
airport.
G. This lease shall become subordinate to provisions of any existing or future
agreement between the Lessor and the United States of America or any agency
thereof relative to the operation, development, or maintenance of the airport, the
execution of which has been or may be required as a condition precedent to the
expenditure of federal funds for the development of the airport.
H. Lessor,through its duly authorized agent,shall have at any reasonable time during
business hours the full and unrestricted right to enter the leased premises for the
purpose of inspection.
22. Paragraph Headings.
The paragraph headings contained herein are for convenience in reference and are not intended to
define or Limit the scope of any provision of this lease.
23. Notices, Consents and Approvals.
Whenever any notice or payment is required by this Lease to be made, given or transmitted to the
parties hereto,such notice or payment shall be deemed to have been given if enclosed in an envelope
with sufficient postage attached to insure delivery, and deposited in the United States mail,
addressed to:
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LESSOR City of Jefferson City of Jefferson
• Community Development Dept. Community Development Dept.
Airport Division-Exhibit A Wastewater Division-Exhibit B
320 East McCarty Street 320 East McCarty Street
Jefferson City,MO 65101 Jefferson City,MO 65101
LESSEE Jay P.Fischer
Fischer Grain Farms
1905 Old Mokane Road
Jefferson City,MO 65101
or such other place as either party shall in writing designate in the manner herein provided.
24. Successors and Assigns.
All of the terms, covenants and agreements herein contained shall be binding upon and shall inure
to the benefit of successors and assigns of the respective parties hereto.
25. Amendments to Lease.
All amendments to this lease must be made in writing by mutual agreement to the parties, and no
oral amendments shall be in force or effect whatever.
26. Jurisdiction.
This Lease shall be governed by and construed in accordance with the laws of the State of Missouri.
27. Complete Agreement.
This covenants and agreements contained in this Lease shall be binding upon and shall inure to the
benefit of the parties of this Lease,their respective successors,administrators,executors and assigns.
IN TESTIMONY WHEREOF, the parties have hereunto set their hands and seals this p day of
November,2008.
CITY OF JEFFERSON, MISSOURI FISCHER GRAIN FARMS;-
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May Tit :
ATT ATTEST:
City Cler Title (��n�
AP D C F
City Counselor
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EXHIBIT B
City aof,
1111 u° n�e
J o
f erson n ON•11 COMMUNITY DEVELOPMENT M e m o ra n d u m
320 East McCarty Street • Jefferson City, Missouri 65101 P: 573.634.6410 F: 573.634.6457 www.jeffcitymo.org/cd
DATE: October 24, 2008
TO: Terry Stephenson, Purchasing Agent, Finance Department
THROUGH: a ullivan, P.E., Director of Community Development
FROM: ,g 1 ric Seaman, P.E., Deputy Director for Wastewater
`► Janice McMillan, AICP, Deputy Director for Planning and Transportation Services
SUBJECT:, \Recommendation on Agricultural Lease for Airport and Wastewater Lands
Dave Erwin, Wastewater Plant Manager, and Ron Craft, Airport Manager, have completed their review
of the proposals submitted for leasing the agricultural lands managed by their respective divisions,
which were received by the Purchasing Agent on September 23, 2008. We concur with their
recommendation to accept the proposal submitted by Jay Fischer on behalf of Fischer Grain Farms,
1905 Old Mokane Road, Jefferson City, MO 65101 and urge you to include this item on the Council's
agenda for November 3, 2008.
Fischer Grain Farms proposes to lease the 160 acres of Airport property at $200.51 per acre and
proposes to lease the 140 acres of Wastewater property for $201.51 per acre, for a total lease payment
over five years of $301,465.
Six proposals were received, with the average number of points assessed as follows (100 points max):
1. Jay Fischer 99.5
2. Leon Hellenbusch 95.5
3. Moreau Valley Farms 81.5
4. David Thompson 75.0
5. Bill LePage 74.5
6. Forck Farms 67.5
Each proposal was reviewed in accordance with the six criteria outlined in the request for proposals. In
addition to being experienced in the appropriate farming methods for both Airport and Wastewater
lands, the Fischer proposal included the highest payment. Attached to this memo is the tabulation of
the six (6) proposals as prepared by Ron Craft and Dave Erwin.
Attachments: Proposal Tabulation Sheet
"building a better community'
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