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Burlington Trailways Lease Agreement Copyright 2014 City of Dubuque Items to be set for Public Hearing # 1. ITEM TITLE: Burlington Trailways Lease Agreement SUMMARY: City Manager recommending that a public hearing be set for August 17, 2015 to approve a lease agreement with Burlington Trailways at the Intermodal Transit Facility. RESOLUTION Setting a public hearing on the disposition of an interest in property owned by the City of Dubuque, Iowa by Lease Agreement to Burlington Stage Lines, LTD SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Adopt Resolution(s), Set Public Hearing for 8/17/15 ATTACHMENTS: Description Type ❑ Burlington Trailways Lease Agreement-MVM Memo City Manager Memo ❑ Staff Memo Staff Memo ❑ Intermodal Lease Agreement Supporting Documentation ❑ Resolution—Setting Public Hearing Resolutions ❑ Public Hearing Notice Supporting Documentation ❑ Disposition By Lease Resolutions THE CITY OF Dubuque UBE I erica .i Masterpiece on the Mississippi 2007-2012-2013 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Burlington Trailways Intermodal Lease DATE: July 28, 2015 Transit Manager Candace Eudaley recommends the City Council set a public hearing for August 17 to approve a lease agreement with Burlington Trailways at the Intermodal Transit Facility. I concur with the recommendation and respectfully request Mayor and City Council approval. Mic ael C. Van Milligen MCVM:jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Teri Goodmann, Assistant City Manager Candace Eudaley, Transit Manager Maurice Jones, Economic Development Director THE CDubuque DUUL TE All-America City Masterpiece on the Mississippi 2012 TO: Michael C. Van Milligen, City Manager FROM: Candace Eudaley, Transit Manager DATE: July 14, 2015 RE: Burlington Trailways Intermodal Lease INTRODUCTION With the opening of the new Intermodal Terminal scheduled for August 2015, Burlington Trailways has committed to locate its ticket office in the space and pay rent to the city beginning September , 2015. A lease agreement has been negotiated and reviewed by Assistant City Attorney Crenna Brumwell, agreed to by Burlington Trailways and is provided for approval by City Council. BACKGROUND Intercity bus service is an integral component transportation in the city of Dubuque. Burlington Trailways is the main intercity provider of this service to the city and is a key partner in the Intermodal Facility project. Regular service is provided between Chicago, Dubuque and Des Moines. During calendar year 2014, 7,227 rides began or ended in Dubuque with trip origin and destinations shown below. Tri p Ridership Chicago to Dubuque 2,728 Des Moines to Dubuque 788 Dubuque to Chicago 2,956 Dubuque to Des Moines 755 DISCUSSION As part of the contract for intercity bus services with Burlington Trailways, the City assisted with the cost of rent at their current location on Rhomberg Avenue in the amount of$800/month. The city's final monthly payment toward this location is for the month of August 2015. September 1, 2015, Trailways will move their office to the Intermodal Facility and begin to pay rent to the city in the amount of$500/month as well as $125 per month toward the facility's maintenance, insurance and taxes (MIT). BUDGET IMPACT The Jule budgeted for the expected revenue of$6,000 from the Burlington Trailways lease during the FY16 budget process. RECOMMENDATION I recommend that a public hearing be set for August 17th with approval of the lease agreement with Burlington Trailways at the Intermodal Facility following the hearing. cc: Maurice Jones, Economic Development Director 2 Dubuque Intermodal Facility Commercial Tenant Lease 1. BASIC PROVISIONS rN 1.1 Parties: This lease dated for reference purposes only the day of M,t�("l , 2015, is made by and between the City of Dubuque, Iowa, d/b/a Th�Jule (hereinafter referred to as "Landlord") and Burlington Stage Lines, LTD d/b/a Burlington Trailways, (hereinafter referred to as "Tenant") (collectively the "Parties" or individually a "Party") for the property located at 930 Elm Street, Dubuque, IA 52001 (hereinafter referred to as "Intermodal Facility"). 1.2 Premises: (a) Exclusive Premises: That certain real property for the exclusive use of Tenant, consisting of approximately 354 square feet of floor space in the carrier office area including all improvements therein, and more particularly described on Exhibit "A-1" (hereinafter referred to as "Exclusive Premises"). (b) Common Areas: That certain real property for the common use of the Landlord, Tenant and other tenants of Landlord, consisting of approximately 3,931 square feet of floor space in the entry vestibule/waiting area and restroom area" including all improvements therein or to be provided by Landlord under the terms of this Lease, and more particularly illustrated in Exhibit "A-1" (herein referred to as "Common Areas"). (c) Address: The legal address of the exclusive premises is as follows: 930 Elm Street Dubuque, Iowa 52001 (d) Hours of Operation: That certain real property for the exclusive or common use of the Tenant will be available for use by the Tenant 8am to 5pm Monday through Friday. Tenant will have a company representative on site during times when the Premises are utilized by Tenant or Tenant's clients. 1.3 Term: The term of this Lease commences on September 1, 2015 (hereinafter referred to as "Commencement Date") and ends June 30, 2020 (hereinafter referred to as "Expiration Date") with options to renew for up to two (2) additional one-year terms at the expiration of this Lease upon mutual consent of both parties. (See paragraph 3 for further provisions.) If Tenant requests an option to renew, then the parties agree to meet no later than six (6) months before the end of said lease commencement/option period and to negotiate in good faith further extensions of this Lease. Any leasehold encumbrance must be approved by the Federal Transit Administration prior to execution of an agreement or extension of the agreement. 1 1.4 Rental: (a) Base Rent: Tenant shall pay monthly base rent for the Leased Premises equal to $500.00 per month (the "Monthly Base Rent"), plus maintenance, insurance and taxes (MIT) which includes utilities, payable in advance prior to the first day of each month. The first month's rent will be paid upon execution of this Commercial Tenant Lease Agreement (hereinafter referred to as "Agreement"). To the extent the Term commences on a day other than the first day of the month, the first month's rent shall be prorated accordingly. (b) Maintenance, Insurance and Taxes (MIT). Beginning on the Commencement Date, and on the first day of each month thereafter during the term of this Lease and any extensions or renewals, Tenant shall also pay a portion of the maintenance, insurance and taxes (MIT) in connection with the Premises and the Building. Tenant shall pay $4.25 per square foot per year ($125 per month) concurrent with each monthly rental payment. Within 31 days of the end of each fiscal year, Landlord shall provide an itemized statement of the actual MIT expenses incurred by Landlord during the calendar year. This itemized statement, and a refund of any overpayment made by Tenant, shall be provided to Tenant within 31 days of the end of each fiscal year. If Tenant has underpaid Tenant's MIT obligations for the year, Tenant shall make payment of the difference between what Tenant paid and what Tenant owed for the previous year, to Landlord within 30 days of receipt of the itemized statement from Landlord. This process of Landlord estimating the MIT expenses and providing an annual itemization and reconciliation shall occur during each year of the Term of this Lease. If the Lease terminates prior to December 31 in any year, the reconciliation and Landlord refund, if any, shall occur within 30 days of the end of the Term and Tenant shall pay any additional sums due Landlord within 30 days of receipt of the itemization. Tenant's share of MIT shall be determined by multiplying the total cost of MIT by the percentage which is equal to the total square foot Leased by Tenant (354 square feet) divided by the rentable square footage of the Building which contains the Premises (2,949 square feet). Therefore, Tenant's percentage of MIT shall be 12%. The sums due under this paragraph shall be deemed rental in addition to the rental provided in the first paragraph of this paragraph 1.4. (c) Rent Increases: If contract extensions are requested by Tenant and agreed to by Landlord, the "Monthly Base Rent" shall increase during the term of the lease extension according to the Producers Price Index (PPI) as referenced in paragraph (d). (d) PPI Adjustments: The PPI Adjustment shall be accomplished through the use of the following procedures: (i) The "Reference Date" shall be the lease Commencement Date. The "Comparison Date" shall be in all instances the last day of the Lease 2 Year immediately preceding the Lease Year as to which the PPI Adjustment is to be applicable. (ii) The PPI for Operators and Lessors of Non-Residential Buildings (Base Year 2012 = 100) published by the United State Department of Labor, Bureau of Labor Statistics (the "Index"), which is published most immediately preceding the Comparison Date (the "Comparison Index"), shall be compared with the PPI published most immediately preceding the Reference Date (the "Reference Date"). (iii) The Monthly Rent for the applicable Lease Year shall be the product that results when the initial Monthly Rent specified above is multiplied by a fraction, the numerator of which is the applicable Comparison Index and the denominator of which is the Reference Index. In no event, however, shall the PPI Adjustment be greater than three percent (3%) with respect to any Lease Year. As soon as the Monthly Rent for the affected Lease Year is set, Landlord shall give Tenant notice of the amount of the Monthly Rent for the Lease Year. (iv) If the Index is changed so that the Base Year differs from that used as of the lease Commencement Date, the Index shall be converted in accordance with the conversion factor published by the United States Department of Labor, Bureau of Labor Statistics. If the Index is discontinued or revised during the Lease Term, such other governmental index or computation with which it is replaced shall be used in order to obtain substantially the same results as would be obtained if the Index had not been discontinued or revised. (e) Rent Payable: Rent shall be payable to Landlord and sent to the following individual and address: City of Dubuque Attn: Candace Eudaley 350 Elm St Dubuque, IA 52001 Notice of change will be transmitted to Tenant by Landlord as described in Section 17 of this Agreement entitled "Notices." 1.5 Permitted Use: Operation of a bus terminal and the handling of passengers, baggage and package express by the Tenant and its affiliated or tenant carriers. (See paragraph 5.1 for further provisions.) The Tenant shall have the exclusive right to use the Exclusive Premises for such purposes; however, the use of Common Areas shall be non-exclusive and the Common Area may be used by Landlord for such other purposes it deems appropriate. 3 1.6 Parking Spaces: Included in the lease of the Premises is one parking space at no cost. A second parking space will be provided at the "Covered Annual Permit" rate, payable July 1 of each year. The location of these spaces will be on the second level of the Intermodal Ramp. 2. PREMISES 2.1 Letting: Landlord hereby leases to Tenant, and Tenant hereby leases from landlord, the Premises, for the term, at the rental and upon all of the terms, covenants and conditions set forth in this Lease. Unless otherwise provided herein, any statement of square footage set forth in this Lease, or that may have been used in calculating rental, is an approximation which Landlord and Tenant agree is reasonable and the rental based thereon is not subject to whether or not the actual footage is more or less. 2.2 Condition: Landlord shall deliver the Premises to Tenant with all leasehold improvements described in the construction plans and specifications dated March 3, 2014. Tenant shall provide all remaining furnishings and fixtures to be utilized by Tenant in the Exclusive Premises. Any alteration of the Premises must be approved by Landlord's Representative in writing prior to said alteration. 2.3 Compliance: Landlord represents and warrants to Tenant that the Premises comply with all applicable zoning requirements, ordinances, regulations and all applicable law affecting Premises and/or required in Tenant's use of the Premises or common areas appurtenant to the Premises, including the Americans With Disabilities Act (or other laws affecting handicapped access) and any environmental impact or traffic studies or requirements. 3. TERM 3.1 Term: The Commencement Date, Expiration Date and Original Term of this Lease are as specified in paragraph 1.3. 3.2 Extension: If the Lease is still in force and effect, Tenant shall have an annual option(s) to request extensions for additional terms of one year provided Tenant is not, at the date of the request, in default hereunder of such a nature as would allow Landlord to terminate the lease, and further provided Tenant has given written notice of the request to Landlord not less than six (6) months prior to the expiration of the then current Term (original or extended). If said requests for extension are made by Tenant and agreed to by Landlord in writing, the Term of this Lease shall be extended for the additional term, without requirement of any further instrument, upon all of the same terms, provisions and conditions set forth in the Lease but with the monthly base rent increased as provided in paragraph 1.4.b. In the event the aforesaid extension(s) are requested and granted, all references in the Lease to the term shall be construed to refer to the Original Term, as extended, whether or not specific reference thereto is made in the Lease. 4 4. REPRESENTATIONS AND WARRANTIES Landlord hereby represents and warrants to Tenant that as of the Commencement Date: (a) Landlord has full right, power and authority to enter into this Lease and to execute and perform all of the terms, provisions, covenants and agreements provided herein. (b) To the best of its knowledge, Landlord represents that there are no condemnation proceedings or eminent domain proceedings of any kind pending, contemplated or threatened against the Premises; (c) To the best of its knowledge, Landlord represents that there are no suits, judgments or notices from any governmental authority relating to any violation of any health, pollution control, building, fire or zoning laws of any governmental authority with respect to the Premises, and there is no litigation or proceeding pending or threatened against or affecting the Premises; (d) To the best of its knowledge, Landlord represents that there is no adverse fact relating to the physical, mechanical or structural condition of the Premises or any portion thereof which has been specifically disclosed to Tenant; (e) No commitments have been or will be made by the Landlord to any governmental authority, utility company or other organization relating to the premises which would impose an obligation upon Tenant to make any contribution of money or dedications of property or to construct any improvements; and no governmental authority has imposed a requirement that the owner or occupant of the Premises pay any special fees or incur any expenses or obligations in connection with the Premises; (f) To the best of its knowledge, other than this lease, Landlord represents that there are no contracts, leases or agreements of any kind whatsoever which restrict Tenant's rights under this Lease or the Exclusive Premises. 5. USE 5.1 Use: Tenant shall use and occupy the Premises only for the purposes set forth in paragraph 1.5 or any other use which is incidental thereto including, but not limited, to the supplying of goods and services customarily provided to the traveling public. Tenant shall not use or permit the use of the Premises in a manner that creates waste or a nuisance. Landlord acknowledges that Tenant's proposed use of the premises for its bus terminal operations does not constitute a nuisance. 5.2 Hazardous Substances: 5 (a) Tenant will comply with all environmental laws during the term of the Lease and agrees to indemnify, defend and hold the Landlord harmless from and against any and all loss, damage, liability and expense (including reasonable attorney's fees) that the Landlord may incur as a result of any claim, demand or action related to environmental conditions as a result of Tenant's use of the Premises. (b) Landlord represents and warrants to Tenant that the Premises do not contain any asbestos or Hazardous Materials (as defined below) and Landlord is not in violation of any federal, state or local law, ordinance or regulation relating to industrial hygiene or to the environmental conditions on, under or about the premises including, but not limited to, soil and ground water condition. (c) The term "Hazardous Material" as used herein shall include, but not be limited to, asbestos, flammable explosives, dangerous substances, pollutants, contaminants, hazardous wastes, toxic substances and any other chemical, material or related substance, exposure to which is prohibited or regulated by any governmental authority having jurisdiction over the Premises, any substances defined as "hazardous substances," "hazardous materials" or "toxic substances" in the Comprehensive Environmental Response Compensation and Liability Act of 1980, as amended, by the Superfund Amendments and Reauthorization Act 42 U.S.C. § 9601, et seq.; the Hazardous Material Transportation Act, 49 U.S.C. § 1801, et seq.; Clean Air Act 42 U.S.C. § 7901, et seq.; Toxic Substances Control Act, 15 U.S.C. § 2601 , et seq.; Clean Water Act, 33 U. S. C. § 1251, et seq.; the laws, regulations or rulings of the state in which the Premises is located or any local ordinance affecting the Premises; or the regulations adopted in publication promulgated pursuant to any of such laws and ordinances. 5.3 Tenant's Compliance with Law: Except as otherwise provided in this Lease, Tenant shall, at Tenant's sole cost and expense, fully, diligently and in a timely manner comply with all Applicable Law, which term is used in this Lease to include all laws, rules, regulations, ordinances, directives, covenants, easements and restrictions of record or permits relating to Tenant's use of the Premises, now in effect or which may hereafter come into effect, and whether or not reflecting a change in policy from any previously existing policy. Tenant shall, within ten (10) days after receipt of Landlord's or Landlord's Representative's written request, provide Landlord with copies of all documents and information including, but not limited, to permits, registrations, manifests, applications, reports and certificates evidencing Tenant's compliance with any Applicable Law, and shall promptly upon receipt notify Landlord in writing (with copies of any documents involved) of any threatened or actual claim, notice, citation, warning, complaint or report pertaining to or involving failure by Tenant to comply with any Applicable Law. 6 5.4 Ingress and Egress: Tenant shall have the non-exclusive right of ingress and egress to and from the Premises and shall not be unreasonably restricted in the operation of its motor buses to and from the Premises. 6. MAINTENANCE AND REPAIRS; IMPROVEMENTS, ADDITIONS & ALTERATIONS Tenant shall maintain the Exclusive Premises in a clean and orderly condition. Tenant shall, at Tenant's sole cost and expense, repair any and all damage done to the Exclusive Premises or Common Areas or the Landlord's adjoining premises by Tenant's employees, agents, contractors, business invitees, customers and patrons. Landlord shall maintain and promptly make all common area and exterior repairs (including landscaping, snow removal and common area maintenance), all repairs, replacements or retro-fitting of a permanent character (including, but not limited to, components in the air conditioning, boiler and heating systems, HVAC systems, sprinkler systems, gas lines, electrical and plumbing fixtures and hot water systems, including heaters), and all floors and floor surfaces, driveways, parking lots, bus docks, wall, roof (including water tightness), foundation, footings, Building Systems (as herein defined) and structural repairs, support systems, strengthening, alternations, reconstructions or additions necessitated by reason of lapse of time, weakness or decay, insect infestation, or damage to or destruction of the Premises, or to any part thereof, or which may, at any time, be required by any governmental or public authority, except for any damage caused solely by Tenant's negligence. The "Building Systems" shall be construed as the building utility elements essential for Tenant's use and occupancy of the Premises including, but not limited to, such systems as are not readily accessible to Tenant, such as underground water, sewer, electric and other utility lines and all trash removal related to the Premises. Tenant shall surrender the Premises in as good order, repair and condition as the same were in the commencement of the Term, damage by fire and items covered by extended coverage, insurance, unavoidable casualty, reasonable wear and tear, alternations, improvements and additions made by Tenant and Landlord's failure to repair excepted. 7. INSURANCE AND INDEMNITY 7.1 Landlord Insurance: Landlord is insured against all risks of physical loss or damage to the Premises in the amount of the full replacement cost thereof, against any perils commonly included in a broad form all risk policy, including the classifications of fire, lightning, explosion, vandalism, wind and hail. A copy of Landlord's evidence of property insurance will be available at Tenant's request. Landlord shall maintain during the Term of this Agreement Landlord's membership in the Iowa Communities Assurance Pool or obtain general liability insurance with equivalent coverage. 7.2 Tenant Insurance: At the time of execution of this Agreement Tenant shall provide City copies of Tenant's insurance certificates showing compliance with the City's standard insurance schedule, which may from time to time be amended. The current insurance schedule is attached to this Agreement as Insurance Schedule A. 7 7.3 Indemnity: Except as otherwise agreed upon herein, each party agrees to indemnify and save the other party harmless from any and all claims, demands, costs and expenses of every kind whatsoever, including reasonable attorney's fees for the defense thereof, arising from the indemnifying party's wrongful act or negligence in or about the Premises. In case of any action or proceeding brought against either party by reason of any such claim, upon notice from such party, the indemnifying party covenants to defend such action or proceeding by counsel reasonably satisfactory to the other party, unless such action or proceeding alleges the joining of concurring wrongful acts or negligence of both parties, in which case both parties shall share equally in the defense of such action or proceeding to the extent permitted by law. 7.4 Waiver of Subrogation: Landlord and Tenant and all parties claiming under or though them hereby mutually release and discharge each other and the officers, employees, agents, representatives, customers and business visitors of Landlord or Tenant from all claims, losses and liabilities arising from or caused by any injury to persons or property covered by third party insurance, even if caused by the fault or negligence of a released party, but only: (1) in the actual amount and to the extent that insurance proceeds are received by the agreed party from third party insurers, (2) if this provision does not void or render invalid any insurance coverage or policy, (3) if consent to this waiver of subrogation by a third party insurer is given after a request has been made therefore (if required under the terms or such policy in order not to void same) and/or an endorsement to the policy is obtained (if an endorsement can be obtained at no additional cost) and (4) applying, in the case of Tenant, to any amounts in excess of the amount of which Tenant may self-insure. 8. DAMAGE OR DESTRUCTION If the Premises are damaged or destroyed in whole or in part by fire or other casualty, Landlord shall repair and restore the premises to a good tenantable condition. All rent shall wholly abate in the case the entire Premises is untenantable, or shall abate pro rate for the portion rendered untenantable in case a part only is untenantable, until the Premises is restored to a tenantable condition. Landlord shall commence and complete all work required to be done under this paragraph 8 with reasonable promptness and diligence. In the event Landlord repairs or restores the Premises, the rent due under this Lease shall be abated or reduced proportionately during any period which, by reason of such damage or destruction, there is unreasonable interference with the operation of the business of Tenant. If Landlord does not commence the repair or restoration within thirty (30) days after the damage of destruction occurs, or if repair or restoration will and does require more than ninety (90) days to complete, Tenant may, at Tenant's option, terminate this Lease by giving Landlord notice of Tenant's election to do so at any time prior to the commencement of the repair or restoration. In that event, this Lease shall terminate as of the date of such damage or destruction. 9. ASSIGNMENT AND SUBLETTING 8 Other than that of an independent commission contractor, Tenant shall not have the right to assign this Lease, or sublease all or a part of the Premises for any transportation purpose, without the prior written consent of Landlord, which may not be unreasonably withheld, to any person or entity at any time and from time to time. Any such assignment or sublease shall not release Tenant of its obligations, liability and responsibilities under this Lease. Any assignment or subletting of the Premises will be to another qualified Over-the-Road Carrier only. 10. TERMINATION FOR CONVENIENCE Tenant and Landlord may, by written notice, terminate this contract, in whole or in part, when it is in either entities best interest. If this contract is terminated, a minimum of ninety (90) days written notice must be provided. Tenant shall be liable only for payment under the rental provision of this agreement rendered before the effective date of termination. 11 . DEFAULT; BREACH; REMEDIES 11 .1 Default: The occurrence of any of the following events constitutes a material default of this Lease by Tenant: (a) The failure by Tenant to make any payment of rent or any other payment required to be made by Tenant hereunder, as and when due, where the failure continues for a period of twenty (20) days after Tenant receives notice thereof from Landlord. (b) The failure by Tenant to observe or perform any of the covenants, conditions or provisions of this Lease to be observed or performed by Tenant, other than those described in subparagraph (a) above, where the failure continues for a period of thirty (30) days after Tenant receives notice thereof from landlord; provided, however, that if the nature of Tenant's default is such that more than thirty (30) days are reasonably required for its cure, then Tenant shall not be deemed to be in default if Tenant commences such cure within the thirty (30) day period and thereafter diligently completes the cure. (c) The making by Tenant of any general assignment or general arrangement for the benefit of creditors, the filing by Tenant of a petition to have Tenant adjudged a bankrupt and/or the judicial declaration of Tenant as bankrupt. (d) The appointment of a trustee or receiver to take possession of substantially all Tenant's assets located at the Premises or of Tenant's interest in this Lease, if possession is not restored to Tenant within thirty (30) days. (e) The attachment, execution or other judicial seizure of substantially all Tenant's assets located at the Premises or of Tenant's interest in this Lease, if the seize is not discharged within thirty (30) days. 9 (f) Tenant's action or inaction resulting in a lien being placed on all or part of the Leased Premises, if such lien is not bonded or discharged within thirty (30) days. 11.2 Remedies Upon Tenant's Default: In the event of any such material default by Tenant, Landlord may, after giving notice as provided above, enter into the Premises, remove Tenant's property and take and hold possession of the Premises, expel Tenant and pursue those remedies available to Landlord under the laws of the state in which the Premises is located. Landlord shall make reasonable efforts to relet the premises or any part thereof in order to mitigate any damages resulting from Tenant's default. 11 .3 Default by Landlord: Landlord shall not be in default unless Landlord or its Representative fails to perform any covenants, terms, provisions, agreements or obligations required of the Landlord within a reasonable time, but in no event later than thirty (30) days after notice by Tenant to Landlord; provided that if the nature of Landlord's obligation is such that more than thirty (30) days are reasonably required for performance, then Landlord shall not be in default if Landlord or its Representative commences performance within the thirty (30) day period and thereafter diligently completes performance. 11.4 Remedies upon Landlord's Default: If Landlord defaults in the performance of any of the obligations or conditions required to be performed by Landlord or its Representative under this Lease, Tenant may, after giving notice as provided above, either cure the default and deduct the cost thereof from rent subsequently becoming due hereafter, or elect to terminate this lease upon giving thirty (30) days notice to landlord of its intention to do so. In that event, this lease shall terminate upon the date specified in the notice, unless Landlord has meanwhile cured the default to the satisfaction of Tenant. In the event that any representations and warranties set forth in this Lease (including, but not limited to, those set forth in paragraph 4 herein) shall cease to be the case, and if Landlord shall have failed to commence to cure within sixty (60) days after notice from Tenant and thereafter diligently completes the cure of the same, then, except as specifically provided elsewhere in this Lease, Tenant shall have the right to terminate this Lease upon notice to Landlord. Tenant may also pursue those remedies available to it under the laws of the state in which the Premises are located. 12. SEVERABILITY The invalidity of any provision of this Lease, as determined by a court of competent jurisdiction, shall in no way affect the validity of any other provision hereof. 13. CONDITIONS PRECEDENT The rental and other monetary obligations of Tenant under this Lease shall not be effective unless and until Landlord receives a certificate of occupancy to operate Tenant's business on the Premises. In the event Landlord is unable to procure the 10 necessary permits to operate on the Premises within thirty (30) days of the Commencement Date, Tenant may terminate this Lease upon written notice to Landlord. 14. TIME OF ESSENCE Time is of the essence with respect to the performance of all obligations to be performed or observed by the Parties under this Lease. 15. RENT DEFINED All monetary obligations of Tenant to Landlord under the terms of this lease are deemed to be rent. 16. NO PRIOR OR OTHER AGREEMENTS This Lease contains all agreements between the parties with respect to any matter mentioned herein, and no other prior or contemporaneous agreement or understanding shall be effective. 17. NOTICES 17.1 All notices required or permitted by the Lease shall be in writing and may be delivered in person (by hand or by messenger or courier service) or may be by certified or registered mail or U.S. Postal Service Express Mail, with postage prepaid, or by a nationally recognized overnight courier (next day delivery) and shall be deemed sufficiently given if served in a manner specified in this paragraph 17. Timely delivery of notices as specified in this Lease to the individuals and addresses noted below shall constitute the Party's sufficient delivery of notice. Either Party may, by written notice to the other, specify a different address or individual for notice purposes. A copy of all notices required or permitted to be given to Landlord hereunder shall be concurrently transmitted to such party or parties at such addresses as Landlord may from time to time hereafter designate by written notice to Tenant. Landlord Tenant Attn: Candace Eudaley Attn: Marty Bradley 350 Elm St PO Box 531 Dubuque, IA 52001 W. Burlington, IA 52655 17.2 Any notice sent by registered or certified mail, return receipt requested, shall be deemed given on the date of delivery shown on the receipt card, or if no delivery date is shown, the postmark thereon. Notices delivered by United States Express Mail or overnight courier that guarantees next day delivery shall be deemed given twenty-four (24) hours after delivery of the same to the United States Postal Service or courier. If notice is received on a Sunday or legal holiday, it shall be deemed received on the next business day. 11 18. WAIVERS No waiver by Landlord of the Default or Breach of any term, covenant or condition hereof by Tenant shall be deemed a waiver of any other term, covenant or condition hereof, or of any subsequent Default or Breach by Tenant of the same or of any other term, covenant or condition hereof. Landlord's consent to, or approval of, any act shall not be deemed to render unnecessary the obtaining of Landlord's consent to, or approval of, any subsequent or similar act by Tenant, or be construed as the basis of an estoppel to enforce the provision or provisions of this Lease requiring such consent. Regardless of Landlord's knowledge of a Default or Breach at the time of accepting rent, the acceptance of rent by Landlord shall not be a waiver of any preceding Default or Breach by Tenant of any provision hereof, other than the failure of Tenant to pay the particular rent so accepted. Any payment given Landlord by Tenant may be accepted by Landlord on account of moneys or damages due Landlord, notwithstanding any qualifying statements or conditions made by Tenant in connection therewith, which such statements and/or conditions shall be of no force or effect whatsoever unless specifically agreed to in writing by Landlord at or before the time of deposit of such payment. 19. HOLDOVER If Tenant remains in possession of the Premises after the expiration or termination of the Lease, and without the execution of a new Lease, Tenant shall be deemed to be occupying the Premises as a Tenant from month-to-month, subject to all of the conditions, provisions and obligations of this Lease insofar as they are applicable to a month-to-month tenancy. 20. CUMULATIVE REMEDIES No remedy or election hereunder shall be deemed exclusive but shall, wherever possible, be cumulative with all other remedies at law or in equity. 21. COVENANTS AND CONDITIONS All provisions of the Lease to be observed or performed by Tenant are both covenants and conditions. 22. BINDING EFFECT; CHOICE OF LAW This Lease shall be binding upon the parties, their personal representatives, successors and assigns and be governed by the laws of the State of Iowa. Any litigation between the parties hereto concerning this Lease shall be initiated in Dubuque County, Iowa. 23. ATTORNEY'S FEES 12 If any Party brings an action or proceeding to enforce the terms hereof or declare rights hereunder, the Prevailing party (as herein defined) in any such proceeding, action or appeal thereon shall be entitled to reasonable attorney's fees. Such fees may be awarded in the same suit or recovered in a separate suit, whether or not such action or proceeding is pursued to decision or judgment. The term "Prevailing Party" shall include, without limitation, a party who substantially obtains or defeats the relief sought, as the case may be, whether by compromise, settlement, judgment or the abandonment by the other Party of this claim or defense. The attorney's fees award shall not be computed in accordance with any court fee schedule, but shall be such as to fully reimburse all attorney's fees reasonably incurred. 24. LANDLORD'S ACCESS; REPAIRS Landlord and/or Landlord's Representative shall have the right to enter the Premises at any time, in the case of an emergency, and otherwise at reasonable times for the purpose of showing the same to prospective purchasers, lenders or tenants and making such alterations, repairs, improvements or additions to the Premises or to the building of which they are a part, as Landlord may reasonably deem necessary, provided such activities shall not unreasonably interfere with Tenant's operations. All such activities of Landlord or its Representative shall be without abatement of rent or liability to Lease. 25. SIGNS Upon written permission of the Landlord, the Tenant may erect such signs on the interior of the Premises as Tenant may deem desirable: (a) if the signs do not violate the laws, rules or regulations of the municipality in which the Premises are situated and (b) if the Landlord determines such signs are compatible with the architecture and aesthetics of the principle structure. 26. QUIET POSSESSION Landlord covenants and agrees that so long as Tenant observes and performs all of the agreements and covenants required of it hereunder, Tenant shall peaceable and quietly have, hold and enjoy the Premises for the Term without any encumbrance, interference or hindrance by Landlord. If Tenant's use of the Premises is limited or denied through rezoning, environmental impact edict or other action of any public or quasi-public agency or governmental authority, the Lease, at the sole option of the Tenant, shall terminate as of the effective date of such action and the rent applying to the unexpired portion of the Term will be abated. 27. PERFORMANCE UNDER PROTEST If at any time a dispute shall arise as to any amount or sum of money to be paid by one party to the other under the provisions hereof, the party against whom the obligation to pay the money is asserted shall have the right to make payment "under protest" and such payment shall not be regarded as a voluntary payment and there shall survive the 13 right on the part of said party to institute suit for recovery of such sum. If it shall be adjudged that there was no legal obligation on the part of said party to pay such sum or any part thereof, said party shall be entitled to recover such sum or so much thereof as it was not legally required to pay under the provisions of this Lease. 28. AUTHORITY If either party hereto is a corporation, trust or general or limited partnership, each individual executing this Lease on behalf of such entity represents and warrants that he or she is duly authorized to execute and deliver this Lease on its behalf. If it is a corporation, trust or partnership, Tenant shall, within thirty (30) days after request by Landlord, deliver the Landlord evidence satisfactory to Landlord of such authority. 29. CONFLICT Any conflict between the printed provisions of this Lease and the typewritten or handwritten provisions shall be controlled by the typewritten or handwritten provisions. 30. OFFER Preparation of this Lease by Landlord or its Representative and submission of same to Tenant shall not be deemed an offer to lease to Tenant. This Lease is not intended to be binding until executed by all parties hereto. 31. AMENDMENTS This Lease may be modified only in writing, signed by the Parties in interest at the time of the modification. 32. MULTIPLE PARTIES Except as otherwise expressly provided herein, if more than one person or entity is named herein as either Landlord or Tenant, the obligations of such Multiple Parties shall be the joint and several responsibility of all persons or entitled named herein as such Landlord or Tenant. 33. NO INTERPRETATION AGAINST DRAFTER Each party recognizes that this lease is a legally binding agreement and acknowledges that it has had the opportunity to consult with legal counsel. In any construction of the terms of this lease, the same shall not be construed against either party on the basis of that party being the drafter of such terms. LANDLORD AND TENANT HAVE CAREFULLY READ AND REVIEWED THIS LEASE AND EACH TERM AND PROVISION CONTAINED HEREIN, AND BY THE 14 EXECUTION OF THE LEASE SHOW THEIR INFORMED AND VOLUNTARY CONSENT THERETO. The parties hereto have executed this Lease at the place on the dates specified above to their respective signatures. City of Dubuque Burlington Stage Lines, LTD d/b/a The Jule d/b/a Burlington Trailways Date: Date: - 1 15 City of Dubuque Insurance Requirements for Tenants and Lessees of City Property or Vendors (Suppliers, Service Providers), and Right of Way Permit Holders Insurance Schedule A 1. shall furnish a signed Certificate of Insurance (COI)to the City of Dubuque, Iowa for the coverage required in Exhibit I prior to contract or lease commencement. All lessees of City property and Right of Way Permit Holders shall submit an updated COI annually. Each Certificate shall be prepared on the most current ACORD form approved by the Department of Insurance or an equivalent. Each certificate shall include a statement under Description of Operations as to why issued. Eg: Project # or Lease of premises at or construction of or right of way permitted location and description 2. All policies of insurance required hereunder shall be with a carrier authorized to do business in Iowa and all carriers shall have a rating of A or better in the current A.M. Best's Rating Guide. 3. Each Certificate shall be furnished to the contracting department of the City of Dubuque. 4. Failure to provide minimum coverage shall not be deemed a waiver of these requirements by the City of Dubuque. Failure to obtain or maintain the required insurance shall be considered a material breach of this agreement. 5. All required endorsements to various policies shall be attached to Certificate of insurance. 6. Whenever a specific ISO form is listed, an equivalent form may be substituted subject to the provider identifying and listing in writing all deviations and exclusions that differ from the ISO form. 7. Provider shall be required to carry the minimum coverage/limits, or greater if required by law or other legal agreement, in Exhibit I. 8. Whenever an ISO form is referenced the current edition of the form must be used. Page 1 of 3 Schedule A, Property Or Vendors(Suppliers,Service Providers)April 2014.Doc City of Dubuque Insurance Requirements for Tenants and Lessees of City Property or Vendors (Suppliers, Service Providers), and Right of Way Permit Holders Insurance Schedule A (continued) Exhibit I A) COMMERCIAL GENERAL LIABILITY General Aggregate Limit $2,000,000 Products-Completed Operations Aggregate Limit $1,000,000 Personal and Advertising Injury Limit $1,000,000 Each Occurrence $1,000,000 Fire Damage Limit(any one occurrence) $ 50,000 Medical Payments $ 5,000 a) Coverage shall be written on an occurrence, not claims made,form. All deviations from the standard ISO commercial general liability form CG 0001,or Business owners form BP 0002, shall be clearly identified. b) Include ISO endorsement form CG 25 04 "Designated Location(s)General Aggregate Limit." c) Include endorsement indicating that coverage is primary and non-contributory. d) Include endorsement to preserve Governmental Immunity. (Sample attached). e) Include an endorsement that deletes any fellow employee exclusion. f) Include additional insured endorsement for: The City of Dubuque, including all its elected and appointed officials, all its employees and volunteers, all its boards, commissions and/or authorities and their board members, employees and volunteers. Use ISO form CG 20 10. (Ongoing operations). g) If vendor utilizes Trikkes or Segways in the conduct of business, include an endorsement reflecting that these vehicles are not excluded from Commercial General Liability coverage. B) WORKERS'COMPENSATION & EMPLOYERS LIABILITY Statutory benefits covering all employees injured on the job by accident or disease as prescribed by Iowa Code Chapter 85 as amended. Coverage A Statutory—State of Iowa Coverage B Employers Liability Each Accident $100,000 Each Employee-Disease $100,000 Policy Limit-Disease $500,000 Policy shall include an endorsement providing a waiver of subrogation to the City of Dubuque. Page 2 of 3 Schedule A, Property Or Vendors(Suppliers,Service Providers)April 2014.Doc City of Dubuque Insurance Requirements for Tenants and Lessees of City Property or Vendors (Suppliers, Service Providers), and Right of Way Permit Holders Preservation of Governmental Immunities Endorsement 1. Nonwaiver of Governmental Immunity. The insurance carrier expressly agrees and states that the purchase of this policy and the including of the City of Dubuque, Iowa as an Additional Insured does not waive any of the defenses of governmental immunity available to the City of Dubuque, Iowa under Code of Iowa Section 670.4 as it is now exists and as it may be amended from time to time. 2. Claims Coverage.The insurance carrier further agrees that this policy of insurance shall cover only those claims not subject to the defense of governmental immunity under the Code of Iowa Section 670.4 as it now exists and as it may be amended from time to time. Those claims not subject to Code of Iowa Section 670.4 shall be covered by the terms and conditions of this insurance policy. 3. Assertion of Government Immunity. The City of Dubuque, Iowa shall be responsible for asserting any defense of governmental immunity, and may do so at any time and shall do so upon the timely written request of the insurance carrier. 4. Non-Denial of Coverage. The insurance carrier shall not deny coverage under this policy and the insurance carrier shall not deny any of the rights and benefits accruing to the City of Dubuque, Iowa under this policy for reasons of governmental immunity unless and until a court of competent jurisdiction has ruled in favor of the defense(s) of governmental immunity asserted by the City of Dubuque, Iowa. No Other Change in Policy. The above preservation of governmental immunities shall not otherwise change or alter the coverage available under the policy. SPECIMEN Page 3 of 3 Schedule A, Property Or Vendors(Suppliers,Service Providers)April 2014.Doc ARCHITECT OF RECORD Neumann Monson PC 221 East College Street I Suite 303 Iowa City,Iowa 52240 T 319.338.7878 418 6th Avenue I Suite 209 Des Moines,Iowa 50309 T 515.339.7800 CONSULTANTS RICH AND ASSOCIATES - PARKING CONSULTANTS 26877 NORTHWESTERN HWY,STE 208 SOUTHFIELD,MI 48033 248.353.5080 RAKER RHODES ENGINEERING STRUCTURAL CONSULTANTS GRANDAVE. DES DES MOINES, IA 50312 515.277.0275 DESIGN ENGINEERS M.E.P.CONSULTANTS 8801 PRAIRE VIEW LANE,STE 200 CEDAR RAPIDS,IA 52404 EMPLOYEE 319.841.1944 AREA LEGEND RESTROOMS BACK OF HOUSE IIWENGINEERING 560 SF CIVI4155 ENGINEERINGPENNSYLVANIA CONSULTANTS O 244 SF 4155 PENNSYLVANIA AVE. ❑ CUSTOMER WAITING AREAS DUBUQUE,IA 52002 563.556.2464 II��� ��5 Ile PUBLIC RESTROOMS 'OFFICE CCF � BREAK RM. JAN. FLED ARCHIT CTURET NSULTOME ENS LAND ARCHITECTURE CONSULTANTS ggg zsa7s zaan AVE. LONG GROVE,IA 52756 ❑ TRANSIT OFFICES 563.225.2255 TRANSIT OFFICES CORRIDOR O ❑ INTERCITY BUS OFFICES 1791 SF <� OPENOFFIC� OFFICE � ❑ EMPLOYEE RESTROOMS x x� ' x M7� ENS LL WOM ENS x x x ❑ BACK OF HOUSE tj `- AREA SCHEDULE Z NORTH LOBBY HALL SOUTH LOBBY Name Area � � � x x x a x x x I x x x I LJ � LJ LJ � � � � � � � � Z � Fill/ \ Z Z Z � Z Z � Z I � I III \ II I BREAK RM. 211 SF CANOPYABOVE FAM. R.R. 88 SF L------------------------------------------------------------------------------------------------------------------------------ 0 Ali MECH./ELEC. 1595 SF ---------------------------- ------------------------------------------------------- WATER SERV. 96 SF CUSTOMER WAITING INTERCITY BUS PUBLIC RESTROOMS I I ELEV. MACH. 35 SF AREAS OFFICES 621 SF I.T. 132 SF 3310 SF 354 SF CLOS. 48 SF ELEV. 2 63 SF BACK OF HOUSE D1 FIRST LEVEL AREA PLAN CORRIDOR 409 SF 1/16" = V-0" JAN. 104 SF Ld CUSTOMER WAITING AREAS NORTH LOBBY 1059 SF SOUTH LOBBY 964 SF HALL 388 SF HALL 991 SF EMPLOYEE RESTROOMS PROJECT NAME W 96 SF MENS DUBUQUE MENS 96 SF INTERCITY BUS OFFICES INTERMODAL OFFICE 274 SF AREA LEGEND PUBLIC RESTROOMS TRANSPORTATION WOMENS 179 SF MENS 164 SF CENTER TRANSIT OFFICES ❑ PEDESTRIAN BRIDGE MECHANICAL ROOF BELOW LOBBY OPEN OFFICE 945 SF 1823 SF F—] LOBBY [572 SF CONFERENCE 211 SF CANOPY o I OPEN TO BELOW ❑ MECHANICAL OPEN TO BELOW 0- (t 0 0 CANOPY 3439 SF KEY PLAN Q PEDESTRIAN BRIDGE 1167 SF RAMP PEDESTRIAN BRIDGE OWNER CITY OF DUBUQUE, IOWA PROJECT NO. 12.045 ISSUE DATE DESCRIPTION 03.03.2014 BID DOCUMENTS PARKING RAMP i I � ONEUMANN MONSON PC n� Unauthonzed copying,disclosure orconstruction withoutwntten Al SECOND LEVEL AREA PLAN /L permission by Neumann Monson PC is prohibited 1/16" = V-0" SHEET NAME FIRST & SECOND LEVEL AREA PLANS SHEET NUMBER A=100T RESOLUTION NO. 264-15 RESOLUTION SETTING A PUBLIC HEARING ON THE DISPOSITION OF AN INTEREST IN PROPERTY OWNED BY THE CITY OF DUBUQUE, IOWA BY LEASE AGREEMENT TO BURLINGTON STAGE LINES, LTD WHEREAS, the City of Dubuque, Iowa (City) owns the real property described as the Intermodal Transportation Center, located at 950 Elm Street in the City of Dubuque, Iowa; and WHEREAS, City and Burlington Stage Lines, LTD have negotiated a proposed Lease Agreement for space in the Intermodal Transportation Center, a copy of which Lease Agreement is on file at the office of the City Clerk, City Hall, 13th and Central Avenue, Dubuque, Iowa; and WHEREAS, the City Council believes it is in the best interests of the City of Dubuque to approve the proposed Lease Agreement. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. That the City of Dubuque sets a public hearing on the Lease Agreement with Burlington State Lines LTD for the 17th day of August, 2015 at 6:30 p.m. in the City Council Chamber, Historic Federal Building, 350 W. 6th Street, Dubuque, Iowa.. Passed, approved and adopted this 3rd day of August, 2015. Attest: Kevin Firnstahl, City Cle —G Roy D. Buol, Mayor CITY OF DUBUQUE OFFICIAL NOTICE NOTICE OF PUBLIC HEARING OF THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA, ON THE MATTER OF A 5-YEAR LEASE AGREEMENT WITH BURLINGTON STAGE LINES LTD DISPOSING OF THE CITY'S INTEREST IN CERTAIN REAL ESTATE PUBLIC NOTICE IS HEREBY GIVEN that the City Council of the City of Dubuque, Iowa will hold a public hearing on the 17th day of August 2015 at 6:30pm, in the Historic Federal Building, City Council Chambers (second floor), 350 West 6th Street, Dubuque, Iowa, at which meeting the City Council proposes to take action approving a 5-year Lease Agreement with Burlington Stage Lines LTD, and disposing of the City's interest by lease of the following described real estate (the Property): 354 sq. feet, main floor Intermodal Transportation Center (Located at 950 Elm Street, Dubuque, Iowa) If approved, the Lease Agreement will take effect on September 1 , 2015. At the meeting, the City Council will receive oral and written objections from any resident or property owner of the city to the above action. After all objections have been received and considered, the City Council may at this meeting or at any adjournment thereof, take additional action for the disposition of the city's interest in the Property and the approval of the Lease Agreement, or will abandon the proposal. By order of the City Council the hearing and appeals there from will be held in accordance with and governed by the provisions of Iowa code Section 403.9. Any visual or hearing-impaired persons needing special assistance or persons with special accessibility needs should contact the City Clerk's office at (563) 589-4120 or TDD at (563) 690-6678 at least 48 hours prior to the meeting. If you cannot attend in person, you may comment on the proposed Lease Agreement in writing by submitting comments to the City Clerk prior to the time of the public hearing: EMAIL: kfirnstaO-cityofdubugue.org MAIL: City Clerk; 50 W. 13th St; Dubuque, Iowa 52001 Any comments submitted will be considered by the City Council and following the public hearing. This notice is given by order of the City Council of the City of Dubuque, Iowa, as provided by Iowa Code Chapter 403. Dated this_ day of 12015 Kevin S. Firnstahl City Clerk of Dubuque, Iowa