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U.S. Department of the Interior Biennial Report for Historic Federal Building Copyrighted March 20, 2017 City of Dubuque Consent Items # 16. ITEM TITLE: U.S. Department of the Interior Biennial Reportfor the Historic Federal Building SUMMARY: City Manager transmitting correspondence from the U.S. Department of the Interior related to the City's submission of the Biennial Report for the Historic Federal Building. SUGGESTED DISPOSITION: Suggested Disposition: Receive and File ATTACHMENTS: Description Type Letter from US Dept of the Interior Supporting Documentation Biennial Report pg 1-75 Supporting Documentation Biennial Report pgs 76-147 Supporting Documentation T Q� United States Department of the Interior NATIONAL PARK SERVICE National Park Service SSS CH 3 Midwest Region 601 Rivertront Drive Omaha Nebraska 68102-4226 January 26, 2016 Steven Sampson Brown Project Manager, Engineering Department City of Dubuque 50 West Thirteenth Street Dubuque, Iowa 52001 Dear Mr. Brown: Thank you for submitting the recent Biennial Report for the historic federal building formerly known as the U.S. Post Office and Courthouse (GSA Control No. 7-G-IA- 0495), located in Dubuque at 350 West Sixth Street. The report is very comprehensive, discussing the current condition and use of the building while also providing information about anticipated maintenance and capital improvements. We greatly appreciate the continued support that the City provides to this historic building and thank you especially for always keeping us informed about proposed physical changes to the property and its use. I look forward to continuing our discussion with the City and U.S. Postal Service about possible changes to the first floor as it consolidates operations in the former federal building. As always, I can be reached at 402-661-1928 or via electronic mail at rachel_franklin-weekley@nps.gov if I can provide any assistance. Sincerely, �{ Rachel Franklin Weekley Architectural Historian cc: Maurice Jones, Economic Development Director, City of Dubuque 50 West Thirteenth Street, Dubuque, Iowa 52001 TAKE PRIDE .� INAMER1C:A'. %w. Dubuque Engineering Department THE CrrY OF 50 W. 13'^Sheet DL7B pn IIII 'GmencaCBr Dubuque,lA 52001 Office(563)589-4270 1Fee(563)589-4205 Masterpiece on the Mississippi TDDe5 @ci56-9948 mm.wry.nm engine�@cityofdubuque.org www.cityofdubuque.org October 20, 2016 National Park Service Historic Surplus Property Cultural Resources 601 Riverfront Drive Omaha, Nebraska 68102 RE: Historic Federal Building (a/k/a U.S. Post Office and Courthouse) 350 West Sixth Street Dubuque, IA 52001 GSA Control Number: 7—G—IA-0495-1 Dear Ms. Franklin-Weekley: Enclosed is the City of Dubuque's biennial compliance report for the time period of July 2014 thru June 2016. Some minimal capital improvements have been made to the building since the submission of our last report. If you have any questions, please call me at(563) 5894270. Sincerely, Steven Sampson Brown Project Manager Engineering Department SeMce People Ineegiry Reepomibiliry 1—alion Teamwork THE CITY OF DUB E Masterpiece on the Mississippi Biennial Compliance Report For Surplus Property Historic Monument Transfers 2016 CDUBUQUE U.S. Post Office and Courthouse (Historic Federal Building) 350 West Sixth Street Dubuque, IA 52001 GSA Control Number: 7—G—IA-0495-1 Table of Contents Section Page Number I Improvements, Maintenance and Development......... 3 II Financial Statement.......................................................... 4 IIIIssues.................................................................................... 5 IVLegal Issues.......................................................................... 5 VFuture Program.................................................................... 6 VI Additional Information...................................................... 6 VIIPhotographs........................................................................ 6 VIIIAppendices........................................................................... Labeled A—Federal Building Income/Expense Reports B—Audit Report Executive Summary C—Copies of Third-Party Leases • Dubuque Area Labor Management Council • Dubuque County Juvenile Services • Dubuque County • United States Postal Service • DISTek Integration, Inc. • Iowa State University D—City of Dubuque CIP: Historic Federal Building E—Current Photos Biennial Compliance Report Federal Building (a/k/a U.S. Post Office and Courthouse) 350 West Sixth Street Dubuque, IA 52001 GSA Control Number:7-G-IA-0495-1 I. Improvements, Maintenance and Development: (A) Guided by the program for Preservation and Utilization,the City has completed two improvements to the Historic Federal Building since the last report, including: • Room 354: Painted to provide usable rental space. • Room 234: Painted to provide usable rental space for Iowa State University. (B) The City of Dubuque has allocated significant resources to maintaining the Historic Federal Building. The City currently employs one dedicated full-time maintenance worker and two full-time and one part-time custodial worker to perform repairs,to keep the building neat and orderly, and to oversee future improvements, The annual budget for this staff is approximately$412,925.00 budget. (C) All of the aforementioned improvements continue to progress in accordance with the "Program for Preservation and Utilization" as agreed between the City of Dubuque and the National Park Service. (D) The City of Dubuque and its third party lessees comply with the Americans with Disabilities Act at the Historic Federal Building. (E) The City of Dubuque would be receptive to technical assistance from the Nation Park Service in the event that such support is needed. II. Financial Statement: (A) Provided in Appendix A is a listing of the City of Dubuque's actual revenues & expenses for FY15 and FY 16. The revenue is generated from third party leases on the property. The net revenue of the building is shown in Appendix A and is used for maintenance and equipment replacement for the building. (B) Additionally, Appendix A provides a listing of expenses incurred as a result of the capital improvements as well as ongoing maintenance and administrative expenses. (C) Statement of disposition of excess income: n/a (D) Appendix B includes an executive summary of the City of Dubuque's Comprehensive Annual Financial Report for the last complete fiscal year. This is the City's financials as audited by an independent certified public accounting firm. (E) Historic Federal Building Expense Report Summary: FY 2015 FY 2016 Total Operating Expenses $379,841.05 $376,128.50 Total Operating Revenues $324,776.69 $321,185.47 Net Operating Revenues ($55,064.36) ($54,943.03) III. Issues: (A) The City of Dubuque has not received any ADA related complaints at the building. The Housing&Community Development Department, operating out of the Historic Federal Building, has been the respondent wherein the complainants allege discrimination in the administration of the Housing Choice Voucher program administered by that department.The City is not privy to any discrimination complaints against third-party lessees operating at the Historic Federal Building. (B) At present,the City of Dubuque has not encountered problems with vandalism, easements or incompatible new developments in the area. IV. Legal Issues: (A) The City of Dubuque presently holds 6legal agreements with various third-party organizations regarding leased portions of the building. Please referto Appendix C for copies of each agreement.. In the future,the City of Dubuque plans to enter into additional lease agreements to further increase revenue from the building. (B) There are no title problems associated with the building. (C) The City of Dubuque is not presently, nor was at any time during the review period, in violation of any building codes related to the various renovation projects. The Historic Federal Building was flagged by a city ordinance requiring that no exterior storm or area drains are to be tied into the sanitary sewer. The City is in the process of remedying the situation. V. Future Program: (A) The City of Dubuque is considering a change in the administration of the building by forming a joint building ownership group with Dubuque County. The joint ownership structure would provide the potential for 100% building utilization and further consolidate City and County government services resulting in improved convenience for area residents. If talks progress among the parties we will be sure to engage with the National Park Service for consultation on the potential arrangement. (B) The City has created a segmented maintenance and capital improvement schedule outlining future building improvements. This schedule includes supplementary repairs to the building's windows and tuck pointing, roof, loading dock and parking lot, improvements to the building's HVAC systems and additional office space renovation as needed. Appendix D provides the City's Capital Improvement Program that summarizes the estimated costs of these improvements. (C) At present,the City of Dubuque is very satisfied with the Program for Preservation and Utilization and does not foresee a need to modify the agreement. VI. Additional information: The third-party leases the City holds with businesses and government agencies in the Historic Federal Building produce approximately 500 visitors per day. Annually, the building generates rental revenue of approximately$321,185.00. With plans for further integration into Dubuque's sustainability and green energy programs,the Historic Federal Building is a high visibility venue in which city staff can showcase its upcoming initiatives and generate community interest in its projects, VII. Photographs Please refer to Appendix E for current photos of the Historic Federal Building. A compact disc with digital copies of the photos has also been included. Appendix A Finances FEDERAL BUILDING OPERATING ACTIVITY EXPENDITURE STATUS FISCAL YEAR: 2015 10057520 FEDERAL BUILDING MAINT. BUILDING SAFETY ACCOUNT TITLE BUDGET AMOUNT YIl)UPENSE ENNMB OUTSTANDING IYTD eAIANCE 61010 FULL-TIME EMPLOYEES 134,685.00 88,907,85 0.00 45,697.15 61020 PART-TIME EMPLOYEES 0.00 32,432.88 0.00 (32,432.88) WAGES 134,685.00 121,420.73 0.00 13,264.27 61310 PER$ 12,028.00 10,842.77 0.00 11185.23 61320 SOCIAL SECURITY 10,303.00 9,076.99 0.00 1,226.01 RETIREMENT BENEFITS 22,331.00 19,919.76 0.00 2,411.24 61410 HEALTH INSURANCE 32,130.00 32,130.00 0.00 D.DD 61415 WORXMENS'COMPENSATION 8,020.00 0,020.00 0.00 0.00 61416 LIFE INSURANCE 239.00 85.76 0.00 153.24 HEALTH BENEFITS 40,389.00 90,235J6 UAW 153.24 WAGES AND BENEFITS 197/405.00 181,576.25 0.00 15,828.75 62110 COPYING/REPRODUCTION 000 0.08 000 (0.08) PRINTING&PUBLISHING EXP 0.00 0.08 0.00 (0.08) 62415 UTILITY UPENSE STORMWATR 160.00 0.00. 0.00 16000 UTILITIES&PROPERTY MICE 160.00 0.00 0.00 160.00 SUPPLIES AND SERVICES 160.00 0.08 OAO 159.92 63311 ADMIN.OVERHEAD (197,957.00) (181,576.33) 0.00 (16,300.67) OVERHEAD/STORES/GARAGE (197,957.00) (181,576.33) 0.00 (16,380.67) ADMIN/OVERHEAD/STORES GAR (197,957.00) (181,576.33) 0.00 (16,380.67) 10057520 FEDERAL BUILDING MAINT. (392.00) 0.00 0.00 (392.00) REPORTTOTAL: (392.00) 0.00 0.00 (392.00) Jul 21,2016 1 1:09:43 PM FEDERAL BUILDING OPERATING ACTIVITY EXPENDITURE STATUS FISCAL YEAR: 2015 10061150 FEDERAL BUILDING MAINT. HOUSING&COMMUNITY DEV EACCOUNT TITLE BUOGETAMOUNT YTD EXPENSE ENCUMIOUISTANDING: YID eAIANCE 62010 OFFICE SUPPLIES 30000 02.00 0.00 217.94 62030 POSTAGE AND SHIPPING 35.0 0.00 0.00 35.00 62062 JANITORIALSUPRlES 3,354.00 2,666.26 OAO 687.74 SUPPLIES AND SERVICES 3,689.00 2,748.32 0.00 940.68 62206 PROPERTY INSURANCE 21,039.00 24,320.00 0.00 (2,489.00) 62207 9011ER INSURANCE 500.00 500.00 0.00 000. 62208 GENERAL LIABILITY INSURAN 1,048.00 1,013.00 O.W 35.00 62211 PROPERTY TAX 19,925.00 10,272.00 ON 1,653.0 INSURANCE TAXES R DAMAGE 43,312.00 44,113.00 0.00 (801.0) 62411 UITLITY E%P-ELECIRICITY 61,335.55 56,548.94 0.00 4,786.61 62412 UTILITY EXP-GAS 23,365.00 31,029.34 0.00 (716(4.34) 62415 UTILITY EXPENSE STORMWATR 8W.00 906.11 0.00 (106.11) 62416 UTILITY EXP-WATER 0.00 82.56 0.00 (82.56) 62421 TELEPHONE 618.00 2,261.45 0.0 (1,643.45) 62431 PROPERTY MAINTENANCE 25,764.00 38,599.43 0.0 (12,835.43) 62436 RENTAL OF SPACE 504.W 504.00 0.00 0.00 UTILITIES&PROPERTY PIECE 11;386.55 129,931.83 0.00 (17,545.28) 62511 FUEL,MOTOR VEHICLE 122.W 170.48 0.00 (48.48) 62521 MOTOR VEHICLE MAIM. 150.00 2,466.72 0.00 (2,316.72) MOTOR VEH EXP-LICENSED 272.00 2,63730 O.DD (2,365.20) 62611 MACH/EQUIP MAINTENANCE 17,740.00 17,106.43 0.00 633.57 62614 EQUIP MAINT CONTRACT 0.00 1,329.94 0.00 (1,329.94) MAINTENANCE&OPERATING 17,760.00 18,436.37 0.0 (696.37) SUPPLIES AND SERVICES 177,399.55 197,866.72 0.00 (20,467.17) 63311 ADMIN.OVERHEAD 197,957.00 181,576.33 0.00 16,380.67 OVERHEAD/STORES/GAILIGE 197,957.00 181,576.33 0.00 16,380.67 ADMIN/OVERHEAD/STORES GAR 197,957.00 181,376.33 0.00 16,380.67 21610 CUSTODIAL EQUIPMENT 0.00 398.00 0.00 (39EDO) PROPERTY MAINT.EQUIPMENT 0.00 398.00 0.00 (398.00) EQUIPMENT 0.00 398.00 0.00 (398.00) 10061150 FEDERAL BUILDING MAINT. 375,356.55 379,841.05 0.00 (4,484.50) REPORTTOTAL: 375,356.55 379,841.05 0.00 (4,484.50) Jul 21,2016 1 1:19:38 PM FEDERAL BUILDING OPERATING ACTIVITY REVENUE STATUS FISCAL YEAR: 2015 10057520 FEDERAL BUILDING MAINT. BUILDING SAFETY ACCOUNT TRLE BUDGETAMOUNT YTD RECEIPT ViO eA1ANCE 53605 MISCELLANEOUS REVENUE 0.00 300.00 (300.00) OTHER MISCELLANEOUS 0.00 300.00 (300.00) MISCELLANEOUS 0.00 300.00 (300.00) REPORT TOTAL: 0.00 300.00 (300.00) ]ul 21, 2016 1 1:14:15 PM FEDERAL BUILDING OPERATING ACTIVITY REVENUE STATUS FISCAL YEAR: 2015 10061150 FEDERAL BUILDING MAINT. HOUSING&COMMUNITY DEV L ACCOUNT TIRE BUDGE(AMOUNT Y D RECEIPT D BALANCE 43310 FEDERAL BUILDING LEASES 320,608.00 324,476.69 (3,868.69) RENTS AND ROYALTIES 320,608.00 324,476.69 (3,868.69) USE OF MONEY AND PROPERTY 320,608.00 324,476.69 (3,868.69) 53620 REIMBURSEMENTS- ENERAL 12,000.00 0.00 12,000.00 OTHER MISCELLANEOUS 12,000.00 0.00 12,000.00 MISCELLANEOUS 12,000.00 0.00 12,000.00 REPORT TOTAL: 332,608.00 324,476.69 8,131.31 Jul 21, 2016 1 1:25:50 PM FEDERAL BUILDING OPERATING ACTIVITY EXPENDITURE STATUS FISCAL YEAR:2016 10057520 FEDERAL BUILDING MAINT. BUILDING SAFETY ACCOUNT TmE BUDGETAMOUNT VIO EXPENSE ENCUMO OUTSTANDING MBALANCE 61010 FULL-TIME EMPLOYEES 150,488.00 133,622.27 0.00 16,860.23 WAGES 150,488.00 133,627.77 0.00 16,860.23 61310 IPERS 13,439.00 11,933.18 0.00 1,505.82 61320 SOCIAL SKURRY 11,513,00 9,891.68 0.00 1,621.32 RETIREMENTBENEFTES 24,952.00 21,824.86 O.OG 3,127.14 61430 HEALTH INSURANCE 48,113.00 52,122.42 0.00 (4,009.42) 61415 WORKMENS'COMPENSATION 7,667.00 2,667.00 0.00 0.00 61416 LIFE INSURANCE 301.00 118.85 0.00 182.12 HEALTH BENEFITS 56,081.00 59,908.30 0.00 (3,827.30) WAGES AND BENEFITS 231,521.00 215,360.93 0.00 16,160.07 63311 ADMIN.OVERHEAD (223,718.00) (215,360.93) 0.00 (8,357.07) OVERHEAD/STORES/GARAGE (223,718.00) (M,360.93) 0.00 (8,357.07) ADMIN/OVERHEAD/STORESGAR (223,718.00) (215,360.93) 0.00 (8,357.07) 10057520 FEDERAL BUILDING MAINT. 7,803.00 0.00 0.00 7,803.00 REPORT TOTAL: 7,803.00 0.00 0.00 7,803.00 Sul 21,2016 1 1:12:08 PM FEDERAL BUILDING OPERATING ACTIVITY EXPENDITURE STATUS FISCAL YEAR: 2016 10061150 FEDERAL BUILDING MAINT. HOUSING&COMMUNITY DEV ACCOUNT TITLE T BUDGET AMOUNT YTD RPENSE ENCUMB OUTSTANDING YRJ BALANCE 62010 OFFICE SUPPLIES 77.00 11.98 0.00 65.02 62062 JANITORIAL SUPPLIES 3,490.00 2,781.84 0.00 (4,291.64) SUPPLIESANDSERVICES 3,567.00 3,293.82 0.00 (4226.82) 62205 PROPERTY INSURANCE 26,031.00 24,474.00 0.00 1,557.00 62207 BOILER INSURANCE 519.00 500.00 0.00 19.00 62208 GENERAL LIABILITY INSURAN 1,042.00 958.00 0.00 84.00 62211 PROPER7YTA% 19,186.00 15,992.00 0.00 3,194.0 INSURANCETAXES&DAMAGE 46,338.00 41,920.00 0.00 4,854.00 62411 IRIL➢Y EXRELBCTRICTTY 53,204.00 52,686.59 0.00 517.41 62412 UTILRY EXP-GAS 18,692.00 18,041.92 0.00 650.08 62415 UTILITY EXPENSE STORMWATR 1,036.00 1,041.93 0.00 (5.93) 62421 TELEPHONE 484.00 2,157.31 0.00 (1,673.31) 62431 PROPER MAINTENANCE 54,389.00 25,019.15 0.00 29,369.85 62436 RENTAL OF SPACE 504.00 564.00 0.00 (60.00) UTILITIES&PROPERTY MICE 128,309.00 99,510.90 0.00 28,398.10 62511 FUP4 MOTOR VEHICLE 503.00 303.23 0.00 199.T7 62521 MOTOR VEHICLE MAINT. 86.0 113.14 O.OD (22.14) MOTOR VEH EXP-LICENSED 589.00 416.33 0.00 132.63 62611 MACH/EQUIP MAINTENANCE 17,756.00 9,403.56 0.00 8,352.34 62614 EQUIP MAINT CONTRACT 0,00 1,557.27 D.00 (1,557.22) 62663 SOFTWARE LICENSE EXP 161.55 161.55 O.DD 0.00 MAINTENANCE&OPERATING 37,913.55 11,122.48 0.00 6,795.03 SUPPLIES AND SERVICES 197,160.55 160,767.53 0.00 36,392.98 63311 ADMIN.OVERHEAD 223,718.00 215,360.93 0.00 8,357.07 OVERHEAD/STORES/GARAGE 223,318.00 215,360.93 0.00 8,353.03 ADMIN/OVERHEAD/STORES GAR 223,318.00 215,360.93 0.00 8,353.03 10061150 FEDERAL BUILDING MAINT. 420,838.55 336,128.50 0.00 44,750.05 REPORT TOTAL: 420,836.55 336,128.50 0.00 44,350.05 Jul 21,2016 1 1:24:24 PM FEDERAL BUILDING OPERATING ACTIVITY REVENUE STATUS FISCAL YEAR: 2016 10057520 FEDERAL BUILDING MAINT. BUILDING SAFETY ACCOUNT _ TITLE BUDGET AMOUNT YID RKEIPT - YTp BALANCE 43310 FEDERAL BUILDING LEASES am 208.00 (208.00) RENTS AND ROYALTIES 0.00 208.00 (208.00) USE OF MONEY AND PROPERTY 0.00 208.00 (208.00) 53605 MISCELLANEOUS REVENUE 0.00 368.75 (363.75) OTHER MISCELLANEOUS 0.00 368.75 (368.75) MISCELLANEOUS 0.00 368.75 (368.75) REPORTTOTAL: 0.00 576.75 (376.75) Jul 21, 2016 1 1:15:42 PM FEDERAL BUILDING OPERATING ACTIVITY REVENUE STATUS FISCAL YEAR: 2016 10061150 FEDERAL BUILDING MAINT. HOUSING&COMMUNITY DEV ACCOUNT I TORE BUDGET AMOUNT M RECEIPT YID BALANCE 43310 FEDERAL BUILDING LEASES 320,608.00 320,608.72 (0J2) RENTS AND ROYALTIES 320,508.00 320,608.72 (0.72) USE OF MONEY AND PROPERTY 320,608.00 320,608.72 (0.72) 53620 REIMBURSEMENTS-GENERAL 15,981.00 0.00 15,981.00 OTHER MISCELLANEOUS 15,981.00 0.00 15,981.00 MISCELLANEOUS 15,981.00 0.00 15,981.00 REPORTTOTAL: 336,589.00 320,608.72 15,980.28 Jul 21, 2016 1 1:28:53 PM Appendix B CAFR Executive Summary X0'"1 EideBailly, �1� CPAs&BUS114M ADVISORS Independent Auditor's Report To the Honorable Mayor and Members of the City Council City of Dubuque,Iowa Report on the Financial Statements We have audited the accompanying financial statements of the governmental activities,the business-type activities,the aggregate discretely presented component units,each major fund,and the aggregate remaining fund information of the City of Dubuque,Iowa as of and for the year ended June 30, 2015,and the related notes to the financial statements, which collectively comprise the City's basic financial statements as listed in the table of contents. Management's Responsibility for the Financial Statements Management is responsible for the preparation and fav presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation,and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor's Responsibility Our responsibility is to express opinions on these financial statements based on our audit. We did not audit the financial statements of Dubuque Initiatives and Subsidiaries,which represent 73 percent, 75 percent, and 48 percent of the assets, net position,and revenues of the aggregate discretely presented component units. Those fmancial statements were audited by other auditors whose report thereon has been famished to us,and our opinion,insofar as it relates to the amounts included for Dubuque Initiatives and Subsidiaries,is based on the report of the other auditors. We conducted our audit in accordance with auditing standards.generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States.Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.The financial statements of Dubuque Initiatives and Subsidiaries and Dubuque Convention and Visitors Bureau,discretely presented component units,were not audited in accordance with Government Auditing Standards. WWW. ;.com n 1545 Asswiaks or,,See 101 Dubuque,IA 520022299 T561556.1790 F56&557]842 EOE An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the financial statements,whether due to fraud or error, In making those risk assessments,the auditor considers internal control relevant to the entity's preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances,but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control.Accordingly,we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions, Opinions In our opinion,based on our audit and the report of other auditors,the financial statements referred to above present fairly, in all material respects,the respective financial position of the governmental activities,the business-type activities, the aggregate discretely presented component units,each major fund,and the aggregate remaining fund information of the City of Dubuque,Iowa,as of June 30,2015, and the respective changes in financial position and,where applicable,cash flows thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America. Emphasis of Matter As discussed in Notes 1 and 14 to the financial statements,the City of Dubuque,Iowa,has adopted provisions of GASB Statement No. 68,Accounting and Financial Reportingfor Pensions and GASB Statement No,71 Pension Transition for Contributions Made Subsequent to the Measurement Date, which has resulted in a restatement of the net position as of July 1,2014. Our opinions are not modified with respect to this matter. Other Matters Required Supplementary Information Accounting principles generally accepted in the United States of America require that the management's discussion and analysis and the other required supplementary information listed in the table of contents be presented to supplement the basic financial statements. Such information,although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board,who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational,economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries,the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. 7B Other Information Our audit was conducted for the propose of forming opinions on the financial statements that collectively comprise the City of Dubuque,Iowa's financial statements. The introductory section,combining nommajor fund financial statements, and statistical section are presented for purposes of additional analysis and we not a required part of the financial statements.The accompanying schedule of expenditures of federal awards is presented for purposes of additional analysis as required by U.S. Office of Management and Budget Circular A-133. Audits of States, Local Governments, and Non-Profit Organizations, and is also not a required part of the financial statements. The combining nonmajor fund financial statements and the schedule of expenditures of federal awards are the responsibility of management and were derived from and relate directly to the underlying accounting and other records used to prepare the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves,and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion,the combining r o r ajor fund financial statements and the schedule of expenditures of federal awards are fairly stated,in all material respects, in relation to the basic fmancial statements as a whole. The introductory and statistical sections have not been subjected to the auditing procedures applied in the audit of the basic financial statements and,accordingly,we do not express an opinion or provide any assurance on diem. Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards,we have also issued a report dated February 22, 2016,on our consideration of the City of Dubuque,Iowa's internal control over financial reporting and on our tests of its compliance with certain provisions of laws,regulations,contracts, grant agreements,and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That report is an integral pari of an audit performed in accordance with Government Auditing Standards in considering the City's mutual control over financial reporting and compliance. , X' 7" Dubuque, Iowa February 22, 2016 s THIS PAGE IS INTENTIONALLY LEFT BLANK CITY OF DUBUQUE, IOWA MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED.MINE 30,2015 This section of the City of Dubuque's annual financial report presents our discussion and analysis of the City's financial performance during the fiscal year that ended on June 30, 2015. Please read it in conjunction with the transmittal letter at the front of this report and the City's financial statements found in the next section of this report. FINANCIAL HIGHLIGHTS • The net position of the City of Dubuque increased to $472,356,199 compared to restated net position of $458,998,t48 for fiscal year 2014. • Governmental program revenues decreased by $3,281,887 from fiscal year 2014. The largest portion of the decrease is the lower grants reimbursement as the new terminal for the Dubuque Regional Airport nears completion, • The City's business type activities program revenues increased $8,793,211. Charges for services increased $1,544,1 t 1. Water (5%), sewer (500%), stormwater (7%), and refuse (4%) rates were increased in fiscal year 2015. Grants reimbursements for construction of the new Intermodal Facility accounted for the major portion of the increase. OVERVIEW OF THE FINANCIAL STATEMENTS The City's basic financial statements consist of government-wide financial statements, fund financial statements, and notes to the financial statements. This discussion and analysis is intended to serve as an introduction to the basic financial statements.This report also contains other supplementary information in addition to the basic financial statements themselves. Government-wide Financial Statements The government-wide financial statements are designed to provide readers with a broad overview of the City's finances, in a manner similar to private-sector business. The paragraphs below provide a brief description of the government-wide financial statements. The statement of net position presents information on all of the City's assets, deferred outflows, liabilities, and deferred inflows, with the difference between assets plus deferred outflows, and liabilities plus deferred inflows reported as net position. Over time, increases or decreases in net position may serve as a useful indicator of whether the financial position of the City is improving or deteriorating. To assess the overall health of the City, you need to consider additional non-financial factors such as changes in the City's property tax base and the condition of the City's infrastructure. The statement of activities presents information showing how the City's net position changed during the most recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in this statement for some items that will result in cash flows in future fiscal periods such as uncollected taxes and earned but unused sick and vacation leave, 21 CITY OF DUBUQUE, IOWA MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED,TUNE 30,2015 The government-wide financial statements include not only the City itself (known as the primary government), but also three other legally separate entities (known as component units), the Dubuque Metropolitan Area Solid Waste Agency(DMASWA), Dubuque Initiatives (DI) and Subsidiaries, and the Dubuque Convention and Visitors Bureau (CVB) for which the City of Dubuque is considered financially accountable. Financial information for DMASWA, DI,and CVB are reported separately from the financial information presented for the primary government. The Dubuque Metropolitan Area Solid Waste Agency, Dubuque Initiatives and Subsidiaries, and Dubuque Convention and Visitors Bureau issue separate financial statements. Dubuque Initiatives and Subsidiaries' financial statements are prepared on a calendar year basis while the Dubuque Metropolitan Area Solid Waste Agency's and Dubuque Convention and Visitors Bureau financial statements are prepared on the same fiscal year basis as the City of Dubuque. The government-wide financial statements are divided into two categories: Governmental activities. This category consists of services provided by the City that are principally supported by taxes and intergovernmental revenues. Basic City services such as police, fire, public works,planning, parks, library,and general administration are governmental activities. Business-type activities. These activities are supported primarily by user fees. The services provided by the City in this category include water,sewer, storm water, refuse,salt, parking, transit and the America's River project, Fund Financial Statements A fund is a group of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives.The City uses fund accounting to ensure and demonstrate compliance with legal requirements for financial transactions and reporting. All of the funds of the City can be divided into three categories: governmental funds, proprietary funds,and fiduciary fiords. Governmental funds. Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. However, unlike the government-wide financial statements, governmental fund financial statements focus on near-term inflows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating a government's near-term financial requirements. Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the City's near-term financial decisions, Both the governmental fund balance sheet and governmental fund statement of revenues, expenditures, and changes in fund balances are followed by a reconciliation to facilitate this comparison between governmental funds and governmental activities. 22 CITY OF DUBUQUE, IOWA MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED,NNE 30,2015 The City maintains three individual major governmental funds. Information is presented separately in the governmental fund balance sheet and in the governmental fund statement of revenues, expenditures, and changes in fund balances for the general fund, tax increment financing fund, and general construction fund, all of which are considered to be major funds. Data from all other governmental funds are combined into a single, aggregated presentation. Individual fund data for each of these nonmajor governmental funds is provided in the form of combining statements elsewhere in this report. The City legally adopts an annual budget by function. A budgetary comparison schedule has been provided. Proprietary funds. The City maintains two different types of proprietary funds. Enterprise funds are used to report the same functions presented as business-type activities in the government-wide financial statements. The City uses enterprises funds to account for its sewer, water, storm water, and refuse utilities, transit service, parking facilities, salt, and America's River Project. Internal service funds are accounting devices used to accumulate and allocate costs internally among the City's various functions. The City uses internal service funds to account for its engineering services, garage services, stores/printing, health insurance, and workers' compensation. The City's internal service funds predominately benefit the governmental activities and have been included in the governmental activities in the govemment-wide financial statements. Fiduciary funds. Fiduciary funds are used to account for resources held for the benefit of parties outside the government. Fiduciary funds are not reflected in the government-wide financial statements because the resources of those funds are not available to support the City's own programs. The accounting used for fiduciary funds is much like that used for proprietary funds. The City has two fiduciary funds, an agency fund reporting resources hold for the Dubuque Racing Association for improvements at the greyhound racing facility and an agency fund used for reporting resources from Mediacom for purchasing equipment relevant to public, educational, and governmental (PEG) access broadcasting. Notes to the financial statements. The notes provide additional information that is essential to a full understanding of the data provided in the goverment-wide and fund financial statements. Required supplementary information. In addition to the basic financial statements and accompanying notes, this report also presents certain required supplementary information concerning the budget and actual results of the City, the City's proportionate share of the net pension liability and related contributions for both of the City's pension plans,and the funding progress for the retiree benefit plan. Other information. The combining statements referred to earlier in connection with nonmajor governmental funds, non major enterprise funds, and internal service funds. as well as an individual agency fund statement,are presented immediately following the required supplementary information. 23 CITY OF DUBUQUE, IOWA MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED JUNE 30,2015 GOVERNMENT-WIDE FINANCIAL ANALYSIS Net position. As noted earlier, net position may serve as a useful indicator of a government's financial position when observed over time. The analysis that follows focuses on the change in net position for the governmental and business-type activities. The Governmental Accounting Standards Board Statement No. 68, Accounting and Financial Reporting for Pensions- an Amendment of GASB No. 27 was implemented during fiscal year 2015. The beginning net position for governmental activities and business-type activities were restated $38,036,256 and $4,613,113, respectively,to retroactively report the net pension liability as of June 30, 2013 and deferred outflows of resources related to contributions made after June 30, 2013 but prior to July 1, 2014.. The financial statement amounts for fiscal year 2014 net pension liabilities, pension expense, deferred outflows of resources and deferred inflows of resources were not restated because the information was not available. In the past, pension expense was the amount of the employer contribution. Current reporting provides a more comprehensive measure of pension expense which is more reflective of the amounts employees earned during the year. The largest part of the City's net position reflects its net investment in capital assets such as land, buildings, infrastructure, machinery, and equipment less any related debt used to acquire those assets that is still outstanding. The debt related to the investment in capital assets is liquidated with resources other than capital assets. Restricted net position represents resources subject to external restrictions, constitutional provisions or enabling legislation on how they can be used, Unrestricted net position, the part of net position that can be used to finance day-to-day operations without constraints established by debt covenants, legislation, or other legal requirements. CITY OF DUBUQUE'S NET POSITION Goydn.W Mt.w.es Businns-hpeA Wiis Total 2014 2014 2014 2015 No Rv wted 2015 No,Resumd 3015 No,Restated cnmmt and other cauls S 93399918 S 92,022599 5 56,8)],806 5 23,995,010 $ 150,176)24 S 116,017,609 Capllol aeuts 392,392,426 389254,518 271,529933 254,101 852 6o3,922.49 643,356.370 Tole) 485,691,34 481,1)],111 128.40],]29 278.096,862 814,099,073 759373,9)9 Oefened oulamvJ of,e re¢ 71605,182 769,132 8.373314 Lan94enn liabilities 120,426,392 84934,537 165,817,987 126.090,517 286,24{3]9 211.015,I54 0@e,liabililin 14310,333 13.434.655 10.229278 8.451,638 24,539,511 21.986.293 T9lol liabilities 134.)34635 98367292 I"M.04)263 134,532.155 3111,]83.890 232,901.441 nekmdlnfl vs of resources 37,919,563 21,825.015 1,413,735 39,43,298 24,825,415 Na position. Ne invnonenl in capital assen 348,1)3,26] 354,732,451 I4Ap97,126 138,842,390 496.660,393 493,5'/9,841 R9ebinled 22,047,405 21301.638 ],]96668 1315,519 29,84,073 36.917,157 Um...d (495]9334) 118,151,2791 (4568.933) (593202) (54,149261) 119.)44,4811 Tam1 n91pm Iioa 8 320,641.338 3 35A.092,810 5 151-]14,861 S 143564.707 5 472.356.199 A 5111.64]31) Net position of the governmental activities remained steady, increasing $594,784 over restated fiscal year 2014 balance of$320,046,554. Grant revenues decreased $3.3 million. Grant revenues for the new airport terminal decreased $5.8 million as the projects near completion, were offset by new grant revenues of$2.3 million for the South West Arterial. 24 CITY OF DUBUQUE, IOWA MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED.LUNE 30,2015 Net position for the business-type activities increased $12,763,267 over restated fiscal year 2014 of $138,591,594. Charges for services increased $1,544,11L The increase in charges for services revenue reflects the increase in water, stormwater, and refuse by 5% and the 5% in sewer rates for 2015. Non- operation grant revenues for transit system increased $4,952.,242 related to Transits portion of the grants for the Intermodal Transportation Center. A portion of the City's net position $29,844,073 or 6.3% represents resources that are subject to external restrictions on haw they may be used. At the close of fiscal year 2015 the City has negative total unrestricted net position. The govemment- wide negative unrestricted results from the $38 million reduction in net position from the GASB No.68 restatement, and TIF (governmental activities) debt being used to finance capital assets of the business-type activities. The City records a $2.7 million payable for settlement of the Zaber lawsuit involving over charging of franchise fees. The claim is scheduled to be paid in 2016. Business-type activities negative unrestricted results from the lag in storm water capital projects completed in fiscal year 2015 and reimbursement in 2016 with the State Revolving Loan fund proceeds, and the $4 million reduction in net position due to the GASB No. 68 restatement. Governmental activities. Taxes are the largest source of governmental revenues with property taxes of $36,277,719 in 2015 . Other governmental revenues included gaming $7,397,709, local option sales taxes $8,760,246, and charges for services $14,665,456. Gaming revenues continues to declined due to increased competition from neighboring Illinois that now allows video gambling in bars. Governmental operating expenses during 2015 totaled $87,054,103. The largest programs were public safety of $25,525,937, public works of $19,207,837, community and economic development of $18,064,831,and culture and recreation of$13,002,690. Business-type activities. Business-type activities increased net position by $12,763,267 in fiscal year 2015 compared to the restated fiscal year 2014 net position of $138,951.,594. Operating revenue increased $1,543,285. Water's supplies and services expenses were lower in fiscal year 2015 than fiscal year 2014, reflecting a milder winter and fewer main breaks. Intergovernmental revenue increased $8,286,768;of which,$5.2 million was an FTA capital grant for the Intermodal Transportation Center. 25 CITY OF DUBUQUE, IOWA MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED JUNE 30,2015 CITY OF DUBUQUE CONDENSED STATEMENT OF REVENUES,EXPENSES,AND CHANGES IN NET POSITION Gowmmemal/eroine5 Butdo -rave MYviYee Taal 2014 2014 2014 2015 Not Reaotad 3015 Not Restated 2015 Not Resoktl Revenues: Pnpmnn Gllarres foremces S 14,665,454 5 14,696.269 8 38,985,655 S 17.44L544 S 43651,111 5 42,137,813 Operand,Pants and contributions 11.991.439 1118.901 1,846,535 1717,208 13,858,974 KWit.115 C.pralb a.o and cWnibal.... 9,104.043 12162,549 10020,115 2,9A942 19.724.758 15083,591 General revenues propmtY Oxer 30,277,719 33,264383 - - 34:27],)19 13309,283 Local.Olio.sal.to 8,160.244 8111,366 - - 8,760,246 8311 366 Howumolel lax 2.611,551 ;006514 - - 2,623,551 2.006.514 Iltillly 8ane6r.bees 2.828.688 2,609,421 - - 2.828.688 2609.421 Gal 7,397,7W 7,878,008 1391,109 7,878008 Gut.bialed 61wsmlent emninaa 668.134 777.958 185,356 135461 853,490 913.419 Grin mt are ol'reand routs 1949i 483.782 6311 180339 26.066 664011 Total reven9ca 94.937,480 9.875.157 41,064,832 32395.384 13600238 1'1170,541 E"annea: Poirot sally 25,525,931 27,578,511 - 25,525.937 27578,517 Poblfo xrolxe 19.207.837 21,306,882 - - 19307,839 21.306,682 HerlW and social ssrvieee 928,968 1055,398 - - 92E,968 1055398 Wide and menrli.n 13002,690 13,696,331 - - 13002,690 13.694331 Community and x000mic deve101nnem 18.064,831 14.591357 - - 1H'W,831 14.501157 General8ovaredid ' 6,420,173 9,610,084 - - 6,420,173 9610,084 InlxN an lana-Imn debt 3903.641 ),684,993 3,W2,667 3684,993 Sd.d,deposal voorb - - 12,019,1166 11,48%103 12,019,866 11.481,103 We.,utility - 78001393 8,812,340 7,900,393 8,912340 Stmmwaof u01iry - 4,131,562 1)31,096 4,131562 3,431,096 park."fandl0. - - 3393.419 3332492 3383.419 3,732493 .on.'a Rim Pmleet - - 24.000 33.579 24,000 33,579 Refuse collood.l. - - V40.40,1 3.750,360 3,740.404 3.750,366 T,dan",lem - - 4245823 1,1097,320 4,245,823 3.847320 Sail 244.691 56.468 244.691 36468 Total eapetnes 81,054,103 91,523,462 35,590158 3;14)]64 122,64,4,361 126,668,216 Nan ee Ida sue)in aet frail... before eemordinary item and Oenafm 7,883377 3,351,695 5,J74674 12,149,380) 13358.051 602,315 Transfers 17,2885931 (2.444,846) 7,288,593 2,444.846 I.enne(detra.)In net pwildn 594,784 906,849 12,763,367 (304,534) 13,358,051 602,315 Net position,begienin8 tee resoled 320046,i54 357.175.861 138,951594 143,869341 458,998,148 501045.102 Net oarn.".ending 5 320,641.138 S 358,08;810 5 151,714,1161 S 143564701 5 472,356.199 5 501 6J1,Sll 26 CITY OF DUBUQUE, IOWA MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED JUNE 30,2015 I Governmental funds. The focus of the City's governmental funds is to provide information on near-tens inflows,outflows,and balances of spendable resources. Such information is useful in assessing the City's financing requirements. The City's governmental funds reported a combined fund balance of $59,401,841 at June 30, 2015. $7,196,053 is in nonspendable for inventory, advances to other funds, receivables, and prepaid items. $69,412 is nonspendable endowment corpus. .$30,496,183 is restricted for debt service and bond ordinance, road use tax funds, capital improvements, community development programs, employee benefits, endowments, and various grants. Council ordinance has committed $12,298,896 for capital improvements. $647,772 is assigned for capital improvements and equipment. This leaves $8,693,524 for unassigned fund balances in the government funds. The General Fund's fund balance reserve goal is 10% of budgeted annual expenditures. The fund balance of the General Fund decreased by $386,595 to $15,423,339. Gaming revenues declined $480,299 or 6.1% in fiscal year 2015, less than I% lower than expected. The gaming market continues to be adversely impacted by neighboring State of Illinois Video Gaming Act which legalized the use of video gaming terminals in liquor licensed establishments including bars, restaurants, truck stops and certain fraternal and veterans' organizations. Increase in tax revenue of $2.1 million was offset by a decrease in intergovernmental revenue of$1.2 million.The City still has outstanding legal fees related to the Utility Franchise Fee lawsuit(Zaber). These fees will be recovered in 2016 when the settlement is finalized. The fund balance of special revenue fund Tax Increment Financing increased by $1,967,868 to $6,049,530 due to an increase in tax revenue of$1,749,809. The fund balance of the Capital Projects Fund general construction decreased by $3,617,012 to $9,915,113. Revenue for capital projects are not always received in the same fiscal year as project expenses occur. Proprietary funds. The City's proprietary funds provide the same type of information found in the government-wide financial statements,but in more detail. The combined net position of the enterprise funds at lune 30, 2015, totaled $151,714,861 of which the unrestricted is a negative$4,568,933. This is primarily due to expenses in 2015 for stonnwater projects being reimbused through the State of Iowa revolving loan fund in 2016. The net position of the Internal Service Funds decreased by $1,064,162 to a negative $326,939. The Health Insurance Reserve Fund increased $307,191 while the Workers' Comp Reserve decreased $137,745. Bath funds experienced higher expenses in fiscal year 2015 Oran fiscal year 2014. The unrestricted net position of the Internal Service Funds is a negative$567,029. 27 CITY OF DUBUQUE, IOWA MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED JUNE 30,2015 The Sewer Fund had a decrease by$5,197,713 for total net position of $31,469,829 based on the restated fiscal year 2014 ending balance. Assets for green alley improvements were moved from Sewer Fund into Stormwater Fund to reflect the enterprise benefiting from the assets. The debt for the green alley project is paid with sewer revenue funds. This is an agreement with the Iowa State Revolving Loan. Debt service for the new Water and Resource Recovery Center was increased by $9.4 million and the interest rate was lowered so the net debt service cost for the City remained the same. The requirement was that the improvements had to be made in a service other than sewer. The City chose to use the funding for the green alley project which is a stormwater utility. Currently $3.2 million of debt for green alley is recorded in the Sewer Fund and assets in the stormwater fund. The Water Utility had an increase in net position by $407,589 for total net position of$22,501,868 based on the restated fiscal year 2014 ending balance. Water rates were increased 5% in 2015. The Storm Water Utility had a 22.300/ increase in net position of$7,005,598 based on the restated fiscal year 2014 ending balance . Ending net position is $38,469,652. $3.8 million in assets for green alley project was transferred to storm water from sewer. The debt for this asset is remaining in the sewer fund. The Parking Facilities held steady with a increase in net position of$659,027. Ending net position is $38,786,705. Revenues increased$116,066. Fiscal year 2015 fees for parking tickets and parking ramps were increased. The Transit System was moved to a major fund in 2015 due to increased grant revenue for Intermodal Transportation Center. Net positon increased $9,397,314 over 2014 restated ending balance. Other Enterprise Funds net position increased by $80,445 to $1,697,270 over fiscal year 2014 restated ending balance. This was primarily due to an increase of transfers in to the Salt Fund for reimbursement of prior year expenses. Health Insurance Reserve increased in fiscal year 2015 by $307,191. Revenues increased by $492,564 and claims increased 9%over 2014. BUDGETARY HIGHLIGHTS There were two amendments to the City's 2014-2015 cash basis budget. The first amendment was passed in September 2014 to reflect operating and capital budget carryovers (continuing appropriation authority) from fiscal year 2014 and amended the fiscal year 2014 budget for operating and capital City Council actions since the beginning of the fiscal year. The second budget amendment was passed in April 2015 to reflect City Council actions since the second budget amendment and amendments to add additional appropriation authority due to increased revenues. The final budget for total cash basis receipts increased by $13,372,555. The increase was primarily attributable to revenue associated with capital projects and operating carryovers which mainly include grants to intergovernmental funds. The final budget for total expenditures increased $60,824,958 from the original budget. The increase was primarily attributable to purchase order encumbrances carryover, capital projects, and operating carryovers from the prior year and expenditures associated with new grants received. 28 CITY OF DUBUQUE, IOWA MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED JUNE 30,2015 Actual cash basis revenues were $39,407,755 less than the final amended budget; and, cash basis expenditures were $101,371,598 less than the final amended budget due primarily to projected capital projects not completed by fiscal year end. CAPITAL ASSETS AND DEBT ADMINISTRATION Capital assets. The City's investment in capital assets for its governmental and business-type activities as of June 30, 2015,amounts to $663,922,349 (net of accumulated depreciation). This investment in capital assets includes land, buildings, improvements other than buildings, machinery and equipment, infrastructure, and construction in progress. Additional information on the City's assets can be found in Note 6 to the financial statements in this report. CAPITAL ASSETS(net of accumulated depreciation) Gweminenlel mfi*ks auxin—,s nmvldu T9u1 2015 1011 ]013 2014 2015 ]Old {tad S 69.1.,7 S 5 67,80,527 S 22.4974V S 18,721641 5 91.389,392 5 85803,168 BvilJings 127,812,256 127,599541 136A95.T-1 136.007.3782W 108,1T/ N1.606,719 oe ITpmnmmti ns lhsn bu06Nes '_A219,9d 23,]19,094 99,006,869 94,035495 121,23,963 116,274.589 Me9hinery vnd equipmml 40,667,T9 39,518.216 9U50.475 95].141 137518,454 130.850.339 NRunuchOc 216,205431 215,931579 A 216,20572721 215.9]1,5"19 CoiulNclian 720 p>8re55 5565,551 40,054,91ti NVA% 6,M,822 73,574,047 51.033,718 1u ...l W Jep—mfian (135,994,3901 (127,149,1551 (103,914525) 1969946271 (239,899.1131 no3 .H37a21 5 392,392',426 5 38925,1,518 S 2)L529,T-3 8 254,101,852 S 663.9=+.349 S 643356,370 Major expenditures during 2014-2015 were for the construction work on the Intermodal projects, Green Alley projects, new Airport terminal related contraction, and Bee Branch storm water projects. Long-term debt At year end,the City had $253,158,630 of debt outstanding, In fiscal year 2015,the City issued Sales Tax Incremental Revenue bonds (series 2015A) for flood mitigation projects in the Bee Branch area. This loan is part of the $98.7 million state grant award to the City that will be paid over the next twenty years for flood mitigation projects. The grant is computed based on the incremental increase in sales tax receipts collected by the state. The debt service payment for flood mitigation projects approved under this grant are reimbursed through this grant. In case the sales tax incremental receipts are not sufficient to cover the debt service a second lien is filed against property tax support. The City issued General Obligation bonds series 20148 for the purpose of acquisitions of ambulances and ambulance improvements, improvements to parks, airport, streets, sanitary sewer and water mains, equipping police, and street departments, General obligation bonds series 2014C for improvements to the parking ramps and lots, parking meter replacements,urban renewal projects including transit building roof repair, Central Avenue Master Plan, and bus storage and maintence facility improvements; and aquisition, construction, maintenance, improvements and equipping parking ramps, parking lots, and street parking. The City received $5,525,021 in distributions for the State of lova Revolving Loan Fund for Stormwater Bee Branch projects. The City continues to operate under the State debt capacity limitations. The State limits the amount of general obligation debt outstanding to 5% of the assessed value of all taxable property in the community, Thus the City's debt capacity is $193,113,721. With $173,597,304 of debt applicable against the capacity, the City is utilizing 89.9%of this limit. Additional information on the City's long-term debt can be found in Note 7 of this report. 29 CITY OF DUBUQUE, IOWA MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED NNE 30,2015 ECONOMIC FACTORS The City's unemployment rate as of December 2015 was 3.6%compared to 3.7°%. in December 2014.The national average was 5% for December 2015, according to the Bureau of Labor Statistics. State of Iowa was 3.4% as reported in November 2015. The assessed valuation of taxable property, net of exemptions, increased by 5% to $2,522,048,000. In fiscal year 2015,the minimum monthly refuse rate increased from $12.74 to$13.24, sewer and water rates increased 5%, and the storm water monthly fee increased from $5.60 to $5.98 per single family unit (SFU). Requests for information. This financial report is designed to provide a general overview of the City's finances for all those with an interest in the government's finances. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to the Finance Director,50 West 13th Street,Dubuque, Iowa 520064864. 30 Appendix C Lease Agreements LEASE AGREEMENT BETWEEN THE CITY OF DUBUQUE, IOWA AND DUBUQUE AREA LABOR-MANAGEMENT COUNCIL This Lease Agreement (the Lease), dated for reference purposes the 151 day of March 2015, is entered into by and between the City of Dubuque, Iowa (Landlord) whose address for the purpose of this Lease is 50 West 13Th Street, Dubuque IA 52001, and Dubuque Area Labor-Management Council (Tenant) whose address for the purpose of this Lease is P.O. Box 14, Dubuque, IA 52004-0014. SECTION 1. PREMISES AND TERM. The Landlord, in consideration of the rents, agreements and conditions herein contained, leases to the Tenant and Tenant leases from Landlord, according to theterms of this Lease, thefollowing described premises (the Leased Premises) situated in Dubuque County, Iowa: • 681 sq. feet, second floor Federal Building, located at 350 West 61h Street, Dubuque, IA, 52001, Rooms 236 and 237. with the improvements thereon, and all rights, easements and appurtenances, which, more particularly, includes the space and premises as may be shown on "Exhibit A," if attached, for a term of two (2) years (the Term), commencing at midnight of the day previous to the first day of the Lease Term, which shall be March 1, 2015, and ending at midnight on the last day of the Lease Term, which shall be February 28, 2017, upon the condition that the Tenant pays rent therefore, and otherwise performs as in this Lease provided. SECTION 2. RENTAL. Tenant agrees to pay to Landlord as rental for the Term, (March 1, 2015 — February 28, 2017), $681.00 per month, in advance, the first rent payment becoming due on the 1� day of March, 2015, and the stated amount, per month, in advance, on the 1 sr day of each month thereafter, during the Term of this Lease. All sums shall be paid at the address of Landlord, as above designated, or at such other place in Iowa, or elsewhere, as the Landlord may, from time to time, designate in writing. Delinquent payments shall draw interest at 9 % per annum from the due date, until paid. SECTION 3. POSSESSION. Tenant shall be entitled to possession on the first day of the Term of this Lease, and shall yield possession to Landlord at the end of the Term, except as herein otherwise expressly provided. Should Landlord be unable to give possession on said date, Tenant's only damages shall be a rebating of the pro rata rental. SECTION 4. USE OF PREMISES. Tenant covenants and agrees during the Term of this Lease to use and to occupy the Leased Premises only for business use. SECTION 5. QUIET ENJOYMENT. Landlord covenants that its estate in said Leased Premises is in fee simple and that the Tenant, if not in default, shall peaceably have, hold and enjoy the Leased Premises for the Term of this Lease. Landlord shall have the right to mortgage all of its right, title, and interest in the Leased Premises at any time without notice, subject to this Lease. SECTION 6. EQUIPMENT, DECORATING, REPLACEMENT, REPAIR AND MAINTENANCE. 6.1 Definitions. (1) "Maintain" means to clean and keep in good condition. (2) "Repair" means to fix and restore to good condition after damage, deterioration or partial destruction. 6.2 Conditions of Premises. (1) Tenant takes the Leased Premises in its present condition, except for such repairs and alterations as may be expressly otherwise provided in this Lease. 6.3 Repairs and Maintenance. (1) Landlord shall replace and repair the structural parts of the building. For purposes of this Lease, the structural parts of the building shall mean the foundation, exterior walls, load bearing components of interior floors and walls,the roof and all sewers, pipes, wiring and electrical fixtures outside of the structure. (2) Landlord shall be responsible for maintenance of all common area under Landlord's control. Tenant shall be responsible for all maintenance within the Leased Premises. (3) Each party shall perform their responsibilities of repair and maintenance to the end that the Leased Premises will be kept in a safe and serviceable condition. Neither party will permit nor allow the Leased Premises to be damaged or depreciated in value by any act, omission to act, or negligence of itself, its agents or employees. 6.4 Equipment Decorating and Alterations. (1) The space shall be used as an office. The landlord shall replace the window coverings and provide access to high speed internet. The landlord shall also put the tenants name on the office door in the leased space. (2) Any equipment, furnishings or fixtures to be supplied by Tenant shall be subject to the Landlord's prior written approval as to quality and method of installation. Tenant shall provide all trade equipment, furnishings and fixtures used in connection with the operation of its business, such as telephones, computers, desks, chairs, shelving and similar items. (3) Tenant shall be responsible for all interior decorating. Tenant shall make no structural alterations or improvements without the prior written consent of the 2 Landlord. 6.5 Americans With Disabilities Act. Tenant will make no unlawful use of the Leased Premises and agrees to comply with all valid regulations of the Board of Health, City Ordinances, the laws of the State of Iowa and the federal government, but this provision shall not be construed as creating any duty by Tenant to members of the general public, provided, however, responsibility for compliance with the Americans with Disabilities Act shall be performed and paid for by the parties as follows: Common areas Landlord: 100% Tenants' area: Initial compliance (specify) Landlord: 100% Future compliance Landlord: 100% SECTION 7. UTILITIES AND SERVICES. Utilities and services shall be furnished and paid for by the parties as follows: PROVIDED BY: PAID BY: % Landlord % Tenant Electricity Landlord 100 0 Gas Landlord 100 0 Water and Sewer Landlord 100 0 Garbage/Trash Landlord 100 0 Phone access* Landlord 100 0 Property Taxes Tenant 0 100 Janitor/Cleaning Tenant 0 100 Common areas Landlord 100 0 Other: Tenant 0 100 *Tenant buys phones and email system. SECTION 8. TERMINATION, SURRENDER OF PREMISES AT END OF TERM -- REMOVAL OF FIXTURES. 8.1 Termination. This Lease shall terminate upon expiration of the original Term. Either party may terminate this Lease by giving not less than 120 day's written notice to the other commencing with the day after the date of mailing such notice to the other party. 8.2 Surrender. Tenant agrees that upon termination of this Lease it will surrender and deliver the Leased Premises in good and clean condition, except the effects of ordinary wear and tear and depreciation arising from lapse of time, or damage without fault or liability of Tenant. 8.3 Holding Over. Continued possession by Tenant, beyond the expiration of its tenancy, coupled with the receipt of the specified rental by Landlord (and absent a written agreement by both parties for an extension of this Lease, or for a new lease) shall constitute a month to month extension of this Lease. 3 8.4 Removal of Fixtures. Tenant may, at the expiration of its tenancy, if Tenant is not in default, remove any fixtures or equipment which Tenant has installed in the Leased Premises, providing Tenant repairs any and all damages caused by removal. SECTION 9 ASSIGNMENT AND SUBLETTING. Any assignment of this Lease or subletting of the Leased Premises or any part thereof, without the Landlord's written permission shall, at the option of the Landlord, make the rental for the balance of the Lease Term due and payable at once. Such written permission shall not be unreasonably withheld. SECTION 10. INSURANCE. 10.1 Property Insurance. Landlord and Tenant agree to insure their respective real and personal property for the full insurable value. Such insurance shall cover losses included in the Insurance Services Official Broad Form Causes of Loss (formerly fire and extended coverage).To the extent permitted by their policies. Landlord and Tenant waive all rights of recovery against each other. 10.2 Liability and Indemnification. Lessee hereby agrees to hold harmless and indemnify Lessor from all claims, loss, damage, actions, causes of action, expense and or liability resulting from the use of the Leased Premises by Lessee, its employees, agents, students and contractors. 10.3 Certificates Of Insurance. Prior to the time this Lease takes effect Tenant shall provide Landlord with a certificate of insurance with these property and liability insurance requirements of this Lease, and such certificate shall include 30 days advance notice of cancellation to Landlord. A renewal certificate shall be provided prior to expiration of the current policies. 10.4 Acts By Tenant. Tenant will not do or omit doing of any act which would invalidate any insurance, or increase the insurance rates in force on the Leased Premises. 10.5 Recommendations - Iowa Insurance Services Office. Tenant further agrees to comply with recommendations of Iowa Insurance Services Office and to be liable for and to promptly pay, as if current rental, any increase in insurance rates on said premises and on the building of which said Leased Premises are a part, due to increased risks or hazards resulting from Tenant's use of the Leased Premises otherwise than as herein contemplated and agreed. 10.6 Copy of Lease to Insurer. Landlord and Tenant shall each provide a copy of this Lease to their respective insurers. SECTION 11. LIABILITY FOR DAMAGE. Each party shall be liable to the other for all damage to the property of the other negligently, recklessly or intentionally caused by that party (or their agents, employees or invitees), except to the extent the loss is insured and subrogation is waived under the owner's policy. SECTION 12. INDEMNITY. (see section 10.2) 4 SECTION 13. FIRE AND CASUALTY. 13.1 Partial Destruction of Premises. In the event of a partial destruction or damage of the Leased Premises, which is a business interference which prevents the conducting of a normal business operation and which damage is repairable within 60 days after its occurrences, this Lease shall not terminate but the rent for the Leased Premises shall abate during the time of such business interference, In the event of a partial destruction, Landlord shall repair such damages within 60 days of its occurrence unless prevented from doing so by acts of God, government regulations, or other causes beyond Landlord's reasonable control. 13.2 Zoning. Should the zoning ordinance of the municipality in which this property is located make it impossible for Landlord to repair or rebuild so that Tenant is not able to conduct its business on the Leased Premises, then such partial destruction shall be treated as a total destruction as provided in the next paragraph. 13.3 Total Destruction of Business Use. In the event of a destruction or damage of the Leased Premises including the parking area (if parking area is a part of this Lease) so that Tenant Is not able to conduct its business on the Leased Premises or the then current legal use for which the Leased Premises are being used and which damages cannot be repaired within 60 days, this Lease may be terminated at the option of either the Landlord or Tenant. Such termination in such event shall be effected by written notice of one party to the other, within 20 days after such destruction. Tenant shall surrender possession within 10 days after such notice issues and each party shall be released from all future obligations, and Tenant shall pay rent pro rata only to the date of such destruction. In the event of such termination of this Lease, Landlord at its option, may rebuild or not, at its discretion. SECTION 14. CONDEMNATION. 14.1 Disposition of Awards. Should the whole or any part of the Leased Premises be condemned or taken for any public or quasi-public purpose, each party shall be entitled to retain, as its own property, any award payable to it. Or in the event that a single entire award is made on account of the condemnation, each party will then be entitled to take such proportion of said award as may be fair and reasonable. 14.2 Date of Lease Termination. If the whole of the Leased Premises shall be condemned or taken, Landlord shall not be liable to Tenant except and as its rights are preserved in paragraph 13.1 above. 5 SECTION 15. DEFAULT, NOTICE OF DEFAULT AND REMEDIES. 15.1 Events of Default. (1) Each of the following shall constitute an event of default by Tenant: (a) Failure to pay rent when due. (b) Failure to observe or perform any duties, obligations, agreements or conditions imposed on Tenant pursuant to terms of the Lease. (c) Abandonment of the Leased Premises. "Abandonment" means Tenant has failed to engage in its usual and customary business activities on the Leased Premises for more than fifteen (15) consecutive business days. (d) Institution of voluntary bankruptcy proceedings in which the Court orders relief against the Tenant as a debtor; assignment for the benefit of creditors of the interest of Tenant underthis Lease agreement; appointment of a receiver for the property or affairs of Tenant, where the receivership is not vacated within ten (10) days after the appointment of the receiver. 15.2 Notice of Default. Landlord shall give Tenant a written notice specifying the default and giving the Tenant ten (10) days in which to correct the default. If there is a default(otherthanfor nonpayment of a monetary obligation of Tenant, including rent)that cannot be remedied in ten(10)days by diligent efforts of the Tenant,Tenant shall propose an additional period of time in which to remedy the default. Consent to additional time shall not be unreasonably withheld by Landlord. Landlord shall not be required to give Tenant any more than three notices for the same default within any 365 day period. 15.3 Remedies. In the event Tenant has not remedied a default in a timely manner following a Notice of Default, Landlord may proceed with all available remedies at law or in equity, including but not limited to the following: (1) Termination. Landlord may declare this Lease to be terminated and shall give Tenant a written notice of such termination. In the event of termination of this Lease, Landlord shall be entitled to prove claim for and obtain judgment against Tenant for the balance of the rent agreed to be paid for the Term herein provided, plus all expenses of Landlord in regaining possession of the Leased Premises and the reletting thereof, including attorney's fees and court costs, crediting against such claim, however, any amount obtained by reason of such reletting. (2) Forfeiture. If a default is not remedied in a timely manner, Landlord may then declare this Lease to be forfeited and shall give the Tenant a written notice of such forfeiture, and may, at the time, give Tenant the notice to quit provided for in Chapter 648 of the Code of Iowa. SECTION 16. RIGHT OF EITHER PARTY TO MAKE GOOD ANY DEFAULT OF THE OTHER. If default shall be made by either party in the performance of, or compliance 6 with, an of the terms or conditions of this Lease and Y n such default shall have continued for thirty (30) days after written notice thereof from one party to the other, the person aggrieved, in addition to all other remedies now or hereafter provided by law, may, but need not, perform such term or condition, or make good such default and any amount advanced shall be repaid forthwith on demand, together with interest at the rate of 9% per annum, from date of advance. SECTION 17. SIGNS. Tenant shall not attach, paint or exhibit any signs on the Leased Premises. The landlord will place name on the office door (Dubuque Area Labor Management) and will add tenants name to marquee in the building lobby. SECTION 18. MECHANIC'S LIENS. Neither Tenant nor anyone claiming by, through, or under Tenant, shall have the right to file or place any mechanic's liens or other lien of any kind or character whatsoever, upon said Leased Premises or upon any building or improvement thereon, or upon the leasehold interest of Tenant, and notice is hereby given that no contractor, sub-contractor, or anyone else who may furnish any material, service or labor for any building, improvements, alteration, repairs or any part thereof, shall at any time be or become entitled to any lien on the Leased Premises, and for the further security of Landlord, Tenant covenants and agrees to give actual notice thereof in advance, to any and all contractors and sub-contractors who may furnish or agree to furnish any such material, service or labor. SECTION 19. LANDLORD'S LIEN AND SECURITY INTEREST. 19.1 Landlord's Lien. Landlord shall have, in addition to any lien given by law, a security interest as provided by the Uniform Commercial Code of Iowa, upon all personal property and all substitutions thereof, kept and used on said Leased Premises by Tenant. Landlord may proceed at law or in equity with any remedy provided by law or by this Lease for the recovery of rent, or for termination of this Lease because of Tenant's default in its performance. SECTION 20. ENVIRONMENTAL. 20.1 Landlord. To the best of Landlord's knowledge to date: (1) Neither Landlord nor Landlord's former or presenttenants are subjectto any investigation concerning the Leased Premises by any governmental authority under any applicable federal, state, or local codes, rules and regulations pertaining to air and water quality, the handling, transportation, storage, treatment, usage, or disposal of toxic or hazardous substances, air emissions, other environmental matters, and all zoning and other land use matters. (2) Any handling, transportation, storage, treatment, or use of toxic or hazardous substances that has occurred on the Leased Premises has been in compliance with all applicable federal, state and local codes, rules and regulations. (3) No leak, spill release, discharge, emission or disposal of toxic or hazardous substances has occurred on the Leased Premises. 7 (4) The soil, groundwater, and soil vapor on or under the Leased Premises is free of toxic or hazardous substances. (5) Landlord shall assume liability and shall indemnify and hold Tenant harmless against all liability or expense arising from any condition which existed, whether known or unknown, at the time of execution of the Lease which condition is not a result of actions of Tenant or which condition arises after date of execution but which is not a result of actions of Tenant. 20.2 Tenant. Tenant expressly represents and agrees: (1) During the Lease Term, Tenant's use of the Leased Premises will not include the use of any hazardous substance without Tenant first obtaining the written consent of Landlord. Tenant understands and agrees that Landlord's consent is at Landlord's sole option and complete discretion and that such consent may be withheld or may be granted with any conditions or requirements that Landlord deems appropriate. (2) During the Lease Term, Tenant shall be fully liable for all costs and expenses related to the use, storage, removal and disposal of hazardous substances used or kept on the Leased Premises by Tenant, and Tenant shall give immediate notice to Landlord of any violation or any potential violation of any environmental regulation, rule, statute or ordinance relating to the use, storage or disposal of any hazardous substance. (3) Tenant, at its sole cost and expense, agrees to remediate, correct or remove from the Leased Premises any contamination of the property caused by any hazardous substances which have been used or permitted by Tenant on the Leased Premises during any term of this Lease. Remediation, correction or removal shall be in a safe and reasonable manner, and in conformance with all applicable laws, rules and regulations. Tenant reserves all rights allowed by law to seek indemnity or contribution from any person, other than Landlord, who is or may be liable for any such cost and expense. (4) Tenant agrees to indemnify and hold Landlord harmless from and against all claims, causes of action, damages, loss, costs, expense, penalties, fines, lawsuits, liabilities, attorney fees, engineering and consulting fees, arising out of or in any manner connected with hazardous substances,which are caused or created by Tenant on or after the date of this Lease and during any term of this Lease, including, but not limited to, injury or death to persons or damage to property, and including any diminution of the value of any Leased Premises which may result from the foregoing. This indemnity shall survive the cessation, termination, abandonment or expiration of this Lease. 8 SECTION 21. SUBSTITUTION OF EQUIPMENT, MERCHANDISE. ETC. 21.1 Tenant's Property. During its tenancy, Tenant shall have the right to sell or otherwise dispose of any personal property of Tenant situated on the Leased Premises, when in the judgment of Tenant it shall have become obsolete, outworn or unnecessary in connection with the operation of the business on the Leased Premises; provided, however, that Tenant shall, in such instance (unless no substituted article or item is necessary) at its own expense, substitute for such items a new cr other item in substitution thereof, in like or greater value. 21.2 Inventory. Nothing herein contained shall be construed as denying to Tenant the right to dispose of inventoried merchandise in the ordinary course of Tenant's trade or business. SECTION 22. RIGHTS CUMULATIVE. The various rights, powers, options, elections and remedies of either party, provided in this Lease, shall be construed as cumulative and no one of them as exclusive of the others, or exclusive of any rights, remedies or priorities allowed either party by law, and shall in no way affect or impair the right of either party to pursue any other equitable or legal remedy to which either party may be entitled as long as any default remains in any way unremedied, unsatisfied or undischarged. SECTION 23. NOTICES AND DEMANDS. Notices as provided for in this Lease shall be given to the respective parties hereto at the respective addresses designated on page one of this Lease unless either party notifies the other, in writing, of a different address. Without prejudice to any other method of notifying a party in writing or making a demand or other communication, such message shall be considered given under the terms of this Lease when sent, addressed as above designated, postage prepaid, by certified mail deposited in a United States mail box. SECTION 24. PROVISIONS TO BIND AND BENEFIT SUCCESSORS, ASSIGNS, ETC. Each and every covenant and agreement herein contained shall extend to and be binding upon the respective successors, heirs, administrators, executors and assigns of the parties; except that if any part of this Lease is held in joint tenancy, the successor in interest shall be the surviving joint tenant. SECTION 25. CHANGES TO BE IN WRITING. None of the covenants, provisions, terms or conditions of this Lease shall be modified, waived or abandoned, except by a written instrument duly signed by the parties. This lease contains the whole agreement of the parties. SECTION 26. RELEASE OF DOWER. Spouse of Landlord appears as a signatory to this Lease solely for the purpose of releasing dower, or distributive share, unless said spouse is also a co-owner of an interest in the Leased Premises. SECTION 27. CONSTRUCTION. Words and phrases herein, including acknowledgment hereof, shall be construed as in the singular or plural number, and as masculine, feminine or neuter gender according to the context. 9 LANDLORD TENANT CITY OF DUBUQUE DUBUQUE AREA LABOR- MANAGMEMENT COUNCIL Michael C. Van Milligan Kelly Cooper City Manager Executive-Director 10 Exhibit A EM Te RAM m � lwxso as u u O b 0.19 Wai 1WBF a NT r lam IW BF n,10 4111:13 PVR 2TEL ,. „SMEGONO FLOOR PLIry 11 INSURANCE SCHEDULE A INSURANCE REQUIREMENTS FOR TENANTS AND LESSEES OF CITY PROPERTY OR VENDORS (SUPPLIERS, SERVICE PROVIDERS)TO THE CITY OF DUBUQUE 1. All policies of insurance required hereunder shall be with an insurer authorized to do business in Iowa. All Insurers shall have a rating of A or better in the current A.M. Best Rating Guide. 2. All policies of insurance shall be endorsed to provide a thirty(30) day advance notice of cancellation to the City of Dubuque, except for 10 day notice for non-payment,if cancellation is prior to the expiration date. This endorsement supersedes the standard cancellation statement on the Certificate of Insurance. 3. shall furnish a signed Certificate of Insurance to the City of Dubuque, Iowa for the coverage required in Paragraph 6 below, Such certificates shall include copies of the following policy endorsements: a) Commercial General Liability policy is primary and non-contributing. b) Commercial General Liability additional insured endorsement. c) Governmental Immunity Endorsements. 4. Each certificate shall be submitted to the contracting department of the City of Dubuque. 5. 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. 6, shall be required to carry the following minimum coverage/limits or greater if required by law or other legal agreement, 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 Limit $1,000,000 Fire Damage Limit(any one occurrence) $ 50,000 Medical Payments $ 5,000 This coverage shall be written on an occurrence, not a claims made form. Form CG 25 04 03 97 "Designated Location(s)General Aggregate Limit' shall be included. All deviations or exclusions from the standard ISO commercial general liability form CG 0001, or Business Owners form BP 0002, shall be clearly identified. 12 INSURANCE SCHEDULE A (Continued) INSURANCE REQUIREMENTS FOR TENANTS AND LESSEES OF CITY PROPERTY OR VENDORS (SUPPLIERS, SERVICE PROVIDERS)TO THE CITY OF DUBUQUE Governmental Immunity Endorsement identical or equivalent to form attached. Additional Insured Requirement: 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 shall be named as an additional insured on General Liability Policies using ISO endorsement CG 20 26 0704"Additional Insured—Designated Person or Organization,"or it's equivalent.—See Specimen b)WORKERS'COMPENSATION 8 EMPLOYERS LIABILITY Statutory for Coverage A Employers Liability: Each Accident $100,000 Each Employee—Disease $100,000 Policy Limit—Disease $500,000 c) UMBRELLA EXCESS LIABILITY LIQUOR OR DRAM SHOP LIABILITY Coverage to be determined on a case by case basis by Finance Director. Completion Checklist ❑ Certificate of Liability Insurance(2 pages) ❑ Designated Location(s)General Aggregate Limit CG 25 04 03 97 (2 pages) ❑ Additional Insured 20 26 07 04 ❑ Governmental Immunities Endorsement 13 ACM. CERTIFICATE OF LIABILITY INSURANCE oz"ix4jioos nN (563)556-0272 FAR (563)556-4425 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION INSURANCE ACdNCY ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE OWER.THIS CERTIFICATE END OR STREET ADDRESS ALLVEER THE COVERAGE AFFORD D BV THE POLNT ICIES BELOW, CITY, STATE, ZIP CODE INSURERS AFFORDING COVERAGE NAM A--N any I...- Insurance CERTrany Street Address _ City, State, Zip Code nRsurarlc ___ nEuzRo RRURTE GOVERAIES THE FOOURENFW911RPllf.F:LIDTCDIHLOW HAVEBFENRUED TOTHE DO0VR!MMI AABGVEFORTHE POLICY CERTIFICATE AYSe ISSUEDOR IW NAYHERTAIFMENT.1EWANCCONGRIDE aANYCOMEB OR MBERMEREMENTWRH RESPECTTOVALC S,"TISM LUST CERTIFICATE MAYBEIBWW$ MAY PERTAIN.TNF:INS LIMUCENFOflOfO BY THE EER RCO DED BY PAID CLAI 15 BVBIECT TO0.LL Mt lERM9.E%CLU91PY5 AND CONpITI0N9 GF SUCH Y(N.ICIES.AGGNFGAIF lIMH99MOYJN MAY XPVE BEEN flEOULFD BY PAID CLAMS. aN IYPEOe PMVMM:E MW MUMMER Fil£CTYE PoJCr E[MMa = CIM@ a�ENulMaurr l4LLL m" cl1XFENa 1 11000,001 K etlNERCIY uE,SNu IvyEl Ir r¢cngmpyp� ! 50,00 l'R1Na Noce ffl NEO EYP IATN�M+d�l ! 5,00 A % m mx RADVMURV ! 11000,001 n N'. AAV a 2,000.001 mnAr aevAlEulrturtuvnw E+mums-coNN®PNG M 1,000, 1—FlM % me • Feeaa1YHMnY / M // CONONFDBIN0.CMNR % AmNRo AU IwmEDwrwv sc e^lN, A % IVPY , mxEouRm Nlnm IWN fANIC. NPEe9pV0.V W VXY AVIaa P+®JeN) F AIO. AWFE a PNaN wl)NR cwtisu..Rnr FumOwY we. a ARrnlrm (OHR MW Aal.. AaN a wmurEIoIANAannry Maaraflar. a ucR:un 0CIAWa. WBREWR a pCCW.TPLf C RErENDGR 6 W3RNCMICONPIMY.RDNAW % MC NFAIU� OIIF M A NAe EIPIOY819'wERnY el EAE .wm A 100, orilcNO'uwPXxliiX°EPniAicci�oWcrmE El olaxa-wen,MN.M M 100 e7u,%1 MIM YL.RWIe X U.ILNR a S00,000 .RPI 9OAg""s`CuStltlZONAL N10SURED' EN A LIABILITY POLICIES USING 750 ENDORSE- EC17 ooWOWUgOUE IS LISTED AN AOIN FORM CC 20 26 07 04 "ADDITIONAL INSURED-DESIGNATED PERSON OR ORGANIZATION" OR ITS EOUIVILANT, SENERAL LIASILITY POLICY 15 PRIMARY AND NW-CONIRIBVTING. TORN CG 25 04 03 97 'DESIGNATED LOCATIONS" NERAL LIABILITY AGGREGATE LINLT SHALL BE INCLUDED, GOVERNMENTAL INR/10TIES ENDORSEMENT IS INCLUDED, LL POLICIES SHALL BE ENWRSLD TO PROVIDE 30 DAY ADVANCE NOTICE OF CANCELLATION TO CIT' OF DUBUQUE CANCELLATION ELLAox rnEAReIA oeacXlseo rralcea al cAX�I�.ENNvertcmr oN • ,mwr.mEmunGlnswex WILL D'AODDIAN tm CITY OF DUBUQUE 30A wY9wnmEN non=EmmEcwrslcA,E MaLaFn wvEO TU TxF IEfT, CITY HALL NNYNfKR�ca%L`%71�'101YN1]DIYNYW%iCNNNtlYI@WIIOhXNYNYIGYR%% SO W. 13TH STREET kk*Wlm6VYRRYIOUNINtlNIM%SWtRWN%JL%YYWR%N%%R%N%%%%NR DUBUQUE. IA S2007 AunXwrnowonuNENnrNE ACORD RS II00U031 ARACORD CORPORATION iSRR 14 IMPORTANT If me ce,fbcale holder Is an ADDITIONAL INSURED,Iha poliglies)must be endorsed A statement an INs cergficale does net winter dghls to the ceNfiaste holder In lieu at such amloleameol(s). If SUBROGATION IS WAIVED.subject to the was and conditions of Me policy,sense,polides may rapuire is.eM0r0em¢nl.A Slabo em on this cacti icale doee not coati-nglds to the celtificete holder in Has of eaeh embrsereanl(s). DISCLAIMER Tho Genift to of Imasnca on the reverse side.1lids Rene see,col cans9Wle is conned between the Issuing M urer(s),aulholaed repmonla oe or prodaeer,and the cerligcele holder,nm does It affirm valy or neg.tW.y amend,wased or after Me ocnoaa a afforded by the pohdel mead Maroon. SPECIMEN ACBRD RS(2001108) — 15 POLICY NUMBER COMMERCIAL GENERAL LIABILITY CO 25 00 03 97 THIS ENDORSEMENT CHANGES THE POLICY, PLEASE READ IT CAREFULLY. DESIGNATED LOCATION(S) GENERAL AGGREGATE LIMIT This endorsement modifies insurance provided under the folfowing. SPECIMEN COMMERCIAL GENERAL LIABILITY COVERAGE PART SCHEDULE Designated Location(# (If no entry appears above.Information required to complete Ins endorsement will be shown In the Declarations as applicable to this endorsement) A. For all sums which the insured becomes legally le. Claims made or'sutis"brought, or obligated to pay as damages caused by c. Persons or inganaalions making claims 'occurrencesunder COVERAGE A (SECTION or bringing"suits' 1), and for all medical expenses caused by acci- dents under COVERAGE C(SECTION g,which 3. Any payments made under COVERAGE A can be a9dbuted only to operations at a single for damages or under COVERAGE C for deaigneled "location' shown in the Schedule medical expenses shall reduce the Dei above: rated Location General Aggregate Limit for rate Designated Location General that designated 'location". Such payments 7. A se !m 9 shall not reduce the General Aggregate Limit Aggregate Limit applies to each designated shown in the Declarations nor shall they i "location", and that limit is equal to the duce any other Designated Location General amount of the General Aggregate Limit Aggregate Limit for any other designated shown in the Declarations. 'locafion"shown in the Schedule above. 2. The Designated Location General Aggregate q, The Ilmtls shown in the Declarations for Each Limit is the most we will pay for the sum of all Occurrence, Fire Damage and Medical Ex. damages under COVERAGE A,except dam- penae continue to apply. However, Instead of ages because of "bodrty injury" a "property being subject to the General Aggregate Limit damage" Included In the"products-completed shown in the Declarations, such limits will be operations hazard',and for medical expenses subject to the applicable Designated Location under COVERAGE C regardless of the num- General Aggregate Limit. der of a. Insureds. 16 i B.For all sums which the Insured becomes legally C. When coverage for liability arising out of the obligated to pay as damages caused by "products-completed operations hazard" is pro- "occurrences" under COVERAGE A (SECTION vided, any ,payments for damages because of 1), and for all medical expenses caused by aocl- "bodily Injury" or 'property damage' included in dents under COVERAGE C (SECTION 1), which the 'products-completed operations hazard" will cannot he attributed only to operations at a stn- reduce the Products-Completed Operations Ag- gle designated"location" shown in the Schedule gregate Limit, and not reduce the General Ag- above: gregate Limit nor the Designated Location Gen- 1. Any payments made under COVERAGE A eral Aggregate Limit. for damages or under COVERAGE C for D. For the purposes of this endorsement, the DeFl- medical expenses shall reduce the amount nitions Section is amended by the addition of available under the General Aggregate Limit the following definition: or the Products-Completed Operations Ag- °Location" means premises involving the same gregate Limit,whichever is applicable;and or connecting lots, a premises whose connec- 2. Such payments shall not reduce any Designated lion is Interrupted only by a street, roadway, wa- Location General Aggregate LimiC fairway or right-of-way of a railroad. E. The provisions of Limits Of Insurance(SECTION III) not otherwise modified by this endorsement shall continue to apply as stipulated. SPECIMEN 17 POLICY NUMBER. COMMERCIAL GENERAL LIABILITY CO 20 26 07 D4 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - DESIGNATED PERSON OR ORGANIZATION This endorsement modifies Insurance provided under the following. COMMERCIAL GENERAL LIABILITY COVERAGE PART SCHEDULE Name Of Additional Insured Persons Or 0 anlzadon s The City of Dubuque, including all its elected and appointed officials, all its employees and volunteers, all its boards, commissions arid/or authorities and their board members, employees and volunteers. Information mused W complete this Schedule,'d not shown above will be shovm In the Declarattons. Sidon If —Who Is An Insured is emended to in- clude as an additional insured the person(s)or organi- zslion(s)Stamm in the Schedule,but only with respect W liability for "bodily Injury'. 'property damage" or "personal and advertising injury" caused, in whole or in part by your acts or omissions or the ads or omis- sions of those acting on your behalf. A. In 0e performance of your ongoing opemligns.or B. In connection with your premises owned by or rented to you. CG 20 26 07 04 Q ISO Prgpertes.Inc.,2004 Peg.i of i ❑ 18 CITY OF DUBUQUE, IOWA 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 19 LEASE AGREEMENT BETWEEN THE CITY OF DUBUQUE, IOWA AND DUBUQUE COUNTY JUVENILE SERVICES This Lease Agreement (the "Lease"), dated for reference purposes the 1st day of July, 2016, is entered into by and between the City of Dubuque, Iowa (the "Landlord") whose address for the purpose of this Lease is 50 West 13t^ Street, Dubuque, IA 52001, and Dubuque County Juvenile Services (the "Tenant") whose address for the purpose of this Lease is 720 Central Avenue, Dubuque, IA 52001. SECTION 1. PREMISES AND TERM. Landlord, in consideration of the rents, agreements, and conditions herein contained, leases to Tenant and Tenant leases from Landlord, according to the terms of this Lease, the following described premises (the Leased Premises) situated in Dubuque County, Iowa: Rooms 203, 204, 209, 210, 212, 213, 215, 217, 256, 267, 268, 272, and 273 which comprise four thousand four hundred eighty-five (4,485) square feet on the second floor Federal Building, located at 350 West V1 Street, Dubuque, Iowa 52001; and, Use of conference room which is available to all tenants with the improvements thereon, and all rights, easements, and appurtenances, which, more particularly, include the space and premises as may be shown on attached "Exhibit A", for a term of one (1) year (the "Term"), commencing July 1, 2016, and ending at 11:59 p.m. on June 30, 2017, upon the condition that Tenant pays rent therefor, and otherwise performs as in this Lease provided. SECTION 2. RENTAL. Tenant agrees to pay to Landlord as rental for the Term, as follows: Lessee will pay to Lessor as monthly rent for the Leased Premises the sum of Four Thousand Six Hundred Fifty and 45/100 dollars ($4,789.96) (the Base Rent) commencing on July 1, 2016 and on the 1sr day of each month thereafter during the Term of this Lease. All sums must be paid to the Finance Department at the address of Landlord, as above designated, or at such other place in Iowa, or elsewhere, as Landlord may, from time to time, designate in writing. Delinquent payments will draw interest at 9% per annum from the due date, until paid. SECTION 3. POSSESSION. Tenant will be entitled to possession on the first day of the Term of this Lease, and must yield possession to Landlord at the end of the Term, except as herein otherwise expressly provided. Should Landlord be unable to give possession on said date, Tenant's only damages will be a rebating of the pro rata rental. SECTION 4. USE OF PREMISES. Tenant covenants and agrees during the Term of this Lease to use and to occupy the Leased Premises only for business use. 062416bal SECTION 6. QUIET ENJOYMENT. Landlord covenants that its estate in said Leased Premises is in fee simple and that Tenant, if not in default, will peaceably have, hold, and enjoy the Leased Premises for the Term of this Lease. Landlord has the right to mortgage all of its right, title, and interest in the Leased Premises at any time without notice, subject to this Lease. SECTION 6. EQUIPMENT, DECORATING, REPLACEMENT, REPAIR, AND MAINTENANCE. 6.1 Definitions. (1) "Maintain" means to clean and keep in good condition. (2) "Repair" means to fix and restore to good condition after damage, deterioration, or partial destruction. 6.2 Conditions of Premises. Tenant takes the Leased Premises in its present condition, except for such repairs and alterations as may be expressly otherwise provided in this Lease. 6.3 Repairs and Maintenance. (1) Landlord must replace and repair the structural parts of the building. For purposes of this Lease, the structural parts of the building are the foundation, exterior walls, load bearing components of interior floors and walls, the roof, and all sewers, pipes, wiring and electrical fixtures outside of the structure. (2) Landlord is responsible for maintenance of all common areas under Landlord's control. Tenant is responsible for all maintenance within the Leased Premises. (3) Each party must perform its responsibilities of repair and maintenance to the end that the Leased Premises will be kept in a safe and serviceable condition. Neither party will permit nor allow the Leased Premises to be damaged or depreciated in value by any act, omission to act, or negligence of itself, its agents, or employees. 6.4 Equipment Decorating and Alterations. (1) The following items of equipment, furnishings, and fixtures will be supplied and replaced by the parties as follows: Blinds: Landlord Carpet: Landlord (2) Any equipment, furnishings, or fixtures to be supplied by Tenant are subject to Landlord's prior written approval as to quality and method of installation. Tenant will provide all trade equipment, furnishings, and fixtures used in connection with the operation of its business, such as telephones, 2 computers, desks, chairs, shelving, and similar items. (3) Tenant is responsible for all interior decorating. Tenant may not make structural alterations or improvements without the prior written consent of Landlord. 6.5 Americans With Disabilities Act. Tenant will make no unlawful use of the Leased Premises and agrees to comply with all valid regulations of the Board of Health, City ordinances, the laws of the State of Iowa and the federal government, but this provision may not be construed as creating any duty by Tenant to members of the general public, provided, however, responsibility for compliance with the Americans with Disabilities Act will be performed and paid for by the parties as follows: Common areas Landlord: 100% Tenants' area: Initial compliance (specify) Landlord: 100% Future compliance Landlord: 100% SECTION 7. UTILITIES, SERVICES, PROPERTY TAXES. Utilities and services will be furnished and paid for by the parties as follows: PROVIDED BY: PAID BY: % Landlord % Tenant Electricity Landlord 100 0 Gas Landlord 100 0 Water and Sewer Landlord 100 0 Garbage/Trash Landlord 100 0 Janitor/Cleaning Tenant 0 100 Common areas Landlord 100 0 Property Taxes Tenant 0 100 Other: Tenant 0 100 Tenant agrees to reimburse Landlord for the property taxes attributable to the Leased Premises and paid by Landlord within thirty (30) days after receipt of a statement from Landlord for such property taxes, SECTION 8. TERMINATION, SURRENDER OF PREMISES AT END OF TERM — REMOVAL OF FIXTURES. 8.1 Termination. This Lease will terminate upon expiration of the original Term. 8.2 Surrender. Tenant agrees that upon termination of this Lease it will surrender and deliver the Leased Premises in good and clean condition, except the effects of ordinary wear and tear and depreciation arising from lapse of time, or damage without 3 fault or liability of Tenant. 8.3 Holding Over. Continued possession by Tenant, beyond the expiration of its tenancy, coupled with the receipt of the specified rental by Landlord (and absent a written agreement by both parties for an extension of this Lease, or for a new lease) will constitute a month to month extension of this Lease. 8.4 Removal of Fixtures. Tenant may, at the expiration of its tenancy, if Tenant is not in default, remove any fixtures or equipment which Tenant has installed in the Leased Premises, providing Tenant repairs any and all damages caused by removal. SECTION 9. ASSIGNMENT AND SUBLETTING. Any assignment of this Lease or subletting of the Leased Premises or any part thereof, without Landlord's written permission will, at the option of Landlord, make the rental for the balance of the Lease Term due and payable at once. Such written permission may not be unreasonably withheld. SECTION 10. INSURANCE. 10.1 Property Insurance. Landlord and Tenant agree to insure their respective real and personal property for the full insurable value. Such insurance must cover losses included in the Insurance Services Official Broad Form Causes of Loss (formerly fire and extended coverage). 10.2 Liability Insurance. Tenant must at all times during the Term of this Lease provide insurance as described in the attached Insurance Schedule as such schedule may from time to time be revised by Landlord. 10.3 Certificates Of Insurance. Prior to the time this Lease takes effect Tenant will provide Landlord with a certificate of insurance with these property and liability insurance requirements. A renewal certificate must be provided prior to expiration of the current policies. 10.4 Acts by Tenant. Tenant will not do or omit doing of any act which would invalidate any insurance, or increase the insurance rates in force on the Leased Premises. 10.5 Recommendations - Iowa Insurance Services Office. Tenant further agrees to comply with recommendations of Iowa Insurance Services Office and to be liable for and to promptly pay, as if current rental, any increase in Insurance rates on said premises and on the building of which said Leased Premises are a part, due to increased risks or hazards resulting from Tenant's use of the Leased Premises otherwise than as herein contemplated and agreed, 10.6 Copy of Lease to Insurer. Landlord and Tenant must each provide a copy of this Lease to their respective insurers. SECTION 11. LIABILITY FOR DAMAGE. Each party agrees it is liable to the other for all damage to the property of the other negligently, recklessly, or intentionally caused 4 by that party, or their agents, employees, or invitees. SECTION 12. INDEMNITY. Tenant agrees to indemnify and hold harmless Landlord, its officers and employees, from and against any and all claims of any kind arising out of or related to Tenant's performance of its obligations in this Lease. SECTION 13. FIRE AND CASUALTY. 13.1 Partial Destruction of Premises. In the event of a partial destruction or damage of the Leased Premises, which is a business interference which prevents the conducting of a normal business operation and which damage is repairable within 60 days after its occurrences, this Lease will not terminate but the rent for the Leased Premises will be abated during the time of such business interference. In the event of a partial destruction, Landlord will repair such damages within 60 days of its occurrence unless prevented from doing so by acts of God, government regulations, or other causes beyond Landlord's reasonable control. 13.2 Zoning. Should the zoning ordinance of the municipality in which this property is located make it impossible for Landlord to repair or rebuild so that Tenant is not able to conduct its business on the Leased Premises, then such partial destruction will be treated as a total destruction as provided in Section 13.3. 13.3 Total Destruction of Business Use. In the event of a destruction or damage of the Leased Premises that is not the fault of Tenant, including the parking area (if parking area is a part of this Lease) so that Tenant is not able to conduct its business on the Leased Premises or the then current legal use for which the Leased Premises are being used and which damages cannot be repaired within sixty (60) days, this Lease may be terminated at the option of either Landlord or Tenant. Such termination in such event will be effected by written notice of one party to the other, within twenty (20) days after such destruction. Tenant must surrender possession within ten (10) days after such notice issues and each party will be released from all future obligations, and Tenant must pay rent pro rata only to the date of such destruction. In the event of such termination of this Lease. Landlord at its option, may rebuild or not, at its discretion. SECTION 14. CONDEMNATION. 14.1 Disposition of Awards. Should the whole or any part of the Leased Premises be condemned or taken for any public or quasi-public purpose, each party is entitled to retain, as its own property, any award payable to it. Or in the event that a single entire award is made on account of the condemnation, each party will then be entitled to take such proportion of said award as may be fair and reasonable. 14.2 Date of Lease Termination. If the whole of the Leased Premises is condemned or taken, Landlord will not be liable to Tenant except and as its rights are preserved in Section 13.1. SECTION 15. DEFAULT, NOTICE OF DEFAULT AND REMEDIES. 15.1 Events of Default. 5 Each of the following constitutes an event of default by Tenant: (1) Failure to pay rent when due; (2) Failure to observe or perform any duties, obligations, agreements, or conditions imposed on Tenant pursuant to terms of the Lease; (3) Abandonment of the Leased Premises. "Abandonment" means Tenant has failed to engage in its usual and customary business activities on the Leased Premises for more than fifteen (15) consecutive business days; (4) Institution of voluntary bankruptcy proceedings in which the Court orders relief against Tenant as a debtor, assignment for the benefit of creditors of the interest of Tenant under this Lease; appointment of a receiver for the property or affairs of Tenant, where the receivership is not vacated within ten (10) days after the appointment of the receiver. 15.2 Notice of Default. Landlord must give Tenant a written notice specifying the default and giving Tenant ten (10) days in which to correct the default. If there is a default (other than for nonpayment of a monetary obligation of Tenant, including rent) that cannot be remedied in ten (10) days by diligent efforts of Tenant, Tenant must propose an additional period of time in which to remedy the default. Consent to additional time may not be unreasonably withheld by Landlord. Landlord is not required to give Tenant any more than three (3) notices for the same default within any three hundred sixty-five (365) day period. 15.3 Remedies. In the event Tenant has not remedied a default in a timely manner following a Notice of Default, Landlord may proceed with all available remedies at law or in equity, including but not limited to the following: (1) Termination. Landlord may declare this Lease to be terminated and must give Tenant a written notice of such termination. In the event of termination of this Lease, Landlord is entitled to prove claim for and obtain judgment against Tenant for the balance of the rent agreed to be paid for the Term herein provided, plus all expenses of Landlord in regaining possession of the Leased Premises and the reletting thereof, including attorney's fees and court costs, crediting against such claim, however, any amount obtained by reason of such reletting. (2) Forfeiture. If a default is not remedied in a timely manner, Landlord may then declare this Lease to be forfeited and must give Tenant a written notice of such forfeiture, and may, at the time, give Tenant the notice to quit provided for in Chapter 648 of the Iowa Code. SECTION 16. RIGHT OF EITHER PARTY TO MAKE GOOD ANY DEFAULT OF THE OTHER. If default is made by either party in the performance of, or compliance with, any of the terms or conditions of this Lease, and such default continues for thirty (30) days after written notice thereof from one party to the other, the person aggrieved, 6 in addition to all other remedies now or hereafter provided by law, may, but need not, perform such term or condition, or make good such default and any amount advanced will be repaid forthwith on demand, together with interest at the rate of nine percent (9%) per annum, from date of advance. SECTION 17. SIGNS. Tenant may not attach, paint, or exhibit any signs on the Leased Premises, SECTION 18. MECHANIC'S LIENS. Neither Tenant nor anyone claiming by, through, or under Tenant, may file or place any mechanic's liens or other lien of any kind or character whatsoever, upon said Leased Premises or upon any building or improvement thereon, or upon the-leasehold interest of Tenant, and notice is hereby given that no contractor, sub-contractor, or anyone else who may furnish any material, service or labor for any building, improvements, alteration, repairs, or any part thereof, may at any time be or become entitled to any lien on the Leased Premises, and for the further security of Landlord. Tenant covenants and agrees to give actual notice thereof in advance, to any and all contractors and sub-contractors who may furnish or agree to furnish any such material, service, or labor. SECTION 19. LANDLORD'S LIEN AND SECURITY INTEREST. Landlord will have, in addition to any lien given by law, a security interest as provided by the Uniform Commercial Code of Iowa, upon all personal property and all substitutions thereof, kept and used on said Leased Premises by Tenant. Landlord may proceed at law or in equity with any remedy provided by law or by this Lease for the recovery of rent, or for termination of this Lease because of Tenant's default in its performance. SECTION 20. ENVIRONMENTAL. 20.1 Landlord. To the best of Landlord's knowledge to date: (1) Neither Landlord nor Landlord's former or present tenants are subject to any investigation concerning the Leased Premises by any governmental authority under any applicable federal, state, or local codes, rules, and regulations pertaining to air and water quality, the handling, transportation, storage, treatment, usage, or disposal of toxic or hazardous substances, air emissions, other environmental matters, and all zoning and other land use matters; (2) Any handling, transportation, storage, treatment, or use of toxic or hazardous substances that has occurred on the Leased Premises has been in compliance with all applicable federal, state, and local codes, rules, and regulations; (3) No leak, spill release, discharge, emission, or disposal of toxic or hazardous substances has occurred on the Leased Premises. (4) The soil, groundwater, and soil vapor on or under the Leased Premises is free of toxic or hazardous substances; and (5) Landlord assumes liability and will indemnify and hold Tenant harmless against all liability or expense arising from any condition which existed, whether 7 known or unknown, at the time of execution of the Lease which condition is not a result of actions of Tenant or which condition arises after date of execution but which is not a result of actions of Tenant. 20.2 Tenant. Tenant expressly represents and agrees: (1) During the Lease Term, Tenant's use of the Leased Premises will not include the use of any hazardous substance without Tenant first obtaining the written consent of Landlord. Tenant understands and agrees that Landlord's consent is at Landlord's sole option and complete discretion and that such consent may be withheld or may be granted with any conditions or requirements that Landlord deems appropriate; (2) During the Lease Term, Tenant will be fully liable for all costs and expenses related to the use, storage, removal, and disposal of hazardous substances used or kept on the Leased Premises by Tenant, and Tenant must give immediate notice to Landlord of any violation or any potential violation of any environmental regulation, rule, statute, or ordinance relating to the use, storage, or disposal of any hazardous substance; (3) Tenant, at its sole cost and expense, agrees to remediate, correct, or remove from the Leased Premises any contamination of the property caused by any hazardous substances which have been used or permitted by Tenant on the Leased Premises during any term of this Lease. Remediation, correction, or removal must be in a safe and reasonable manner, and in conformance with all applicable laws, rules, and regulations. Tenant reserves all rights allowed by law to seek indemnity or contribution from any person, other than Landlord, who is or may be liable for any such cost and expense; and (4) Tenant agrees to indemnify and hold Landlord harmless from and against all claims, causes of action, damages, loss, costs, expense, penalties, fines, lawsuits, liabilities, attorney fees, engineering and consulting fees, arising out of or in any manner connected with hazardous substances, which are caused or created by Tenant on or after the date of this Lease and during any term of this Lease, including, but not limited to, injury or death to persons or damage to property, and including any diminution of the value of any Leased Premises which may result from the foregoing. This indemnity will survive the cessation, termination, abandonment, or expiration of this Lease. SECTION 21. SUBSTITUTION OF EQUIPMENT, MERCHANDISE, ETC. 21.1 Tenant's Property. During its tenancy, Tenant has the right to sell or otherwise dispose of any personal property of Tenant situated on the Leased Premises, when in the judgment of Tenant it has become obsolete, outworn, or unnecessary in connection with the operation of the business on the Leased Premises; provided, however, that Tenant must, in such instance (unless no substituted article or item is necessary) at its own expense, substitute for such items a new or other item in substitution thereof, in like or greater value. 8 21.2 Inventory. Nothing herein contained will be construed as denying to Tenant the right to dispose of inventoried merchandise in the ordinary course of Tenant's trade or business. SECTION 22. RIGHTS CUMULATIVE. The various rights, powers, options, elections, and remedies of either party, provided in this Lease, will be construed as cumulative and no one of them as exclusive of the others, or exclusive of any rights, remedies, or priorities allowed either party by law, and may in no way affect or impair the right of either party to pursue any other equitable or legal remedy to which either party may be entitled as long as any default remains in any way unremedied, unsatisfied, or undischarged. SECTION 23. NOTICES AND DEMANDS. All notices, demands, or other writings in this Lease provided to be given or made or sent, or that may be given or made or sent, by either party to the other, will be deemed to have been fully given or made or sent when made in writing and deemed to have been fully given or made or sent when made In writing and deposited in the United States mail, registered, and postage prepaid, and addressed as follows: TO LANDLORD: City of Dubuque, Iowa c/o City Manager City Hall 50 West 131h Street Dubuque, Iowa 52001 TO TENANT: Wayne Demmer c/o Dubuque County Board of Supervisors 720 Central Avenue Dubuque, Iowa 52001 SECTION 24. CONSTRUCTION, Words and phrases herein, including acknowledgment hereof, will be construed as in the singular or plural number, and as masculine, feminine, or neuter gender according to the context. SECTION 26. COMPLIANCE WITH LAW. During the term of this Lease, Tenant must comply with all laws applicable to Tenant's use of the Leased Premises. SECTION 26. MISCELLANEOUS. 26.1 Governing Law. It is agreed that this Lease will be governed by, construed, and enforced in accordance with the laws of the State of Iowa. 26.2 Paragraph Headings. The titles to the paragraphs of this Lease are solely for the convenience of the parties and will not be used to explain, modify, simplify, or aid in the interpretation of the provisions of this Lease. 26.3 Modification of Agreement. Any modification of this. Lease or additional obligation assumed by either party in connection with this Lease will be binding only if evidenced in writing signed by each party or an authorized representative of each party. 9 26.4 Parties Bound, This Lease binds and inures to the benefit of and applies to the respective successors and assigns of Landlord and Tenant. All references in this Lease to "Landlord" or "Tenant' will be deemed to refer to and include successors and assigns of Landlord and Tenant without specific mention of such successors or assigns. SECTION 27. FORCE MAJEURE. In the event that either party hereto will be delayed or hindered in or prevented from the performance of any act required hereunder by reason of strikes, lockouts, labor troubles, unavailability of construction materials, unavailability or excessive price of fuel, power failure, riots, insurrection, war, terrorist activities, explosions, hazardous conditions, fire, flood, weather or acts of God, or by reason of any other cause beyond the exclusive and reasonable control of the party delayed in performing work or doing acts required under the terms of this Lease (collectively Force Majeure), then performance of such act will be excused for the period of the delay and the period for the performance of any such act will be extended for a period equivalent to the period of such delay. CITY OF DUBUQUE DUBUQUE COUNTY BOARD OF LANDLORD SUPERVISORS, TENANT By: / ' By: Michael C. 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SPECIMEN PW 3 d] SNcdYk A nropaty Or VeMors Wy.1. 15 LEASE AGREEMENT BETWEEN THE CITY OF DUBUQUE, IOWA AND DUBUQUE COUNTY, IOWA This Lease Agreement (the Lease), dated for reference purposes the 1st day of July, 2015, is entered into by and between the City of Dubuque, Iowa (Landlord) whose address for the purpose of this Lease is 50 West 13" Street, Dubuque IA 52001, and Dubuque County, Iowa (Tenant) whose address for the purpose of this Lease is Dubuque County Attorney's Office, Dubuque County Courthouse, 720 Central Avenue, Dubuque, [A 52001. SECTION 1. PREMISES AND TERM. Landlord, in consideration of the rents, agreements, and conditions herein contained, leases to Tenant and Tenant leases from Landlord, according to the terms of this Lease, the following described premises (the Leased Premises) situated in Dubuque County, Iowa: 1123 sq. feet, third floor Federal Building, located at 350 West 61" Street, Room(s) 301, 306, and 308. Use of conference room which is available to all tenants with the improvements thereon, and all rights, easements and appurtenances, which, more particularly, includes the space and premises as may be shown on attached Exhibit A, for a term of three (3) years (the Term), commencing July 1, 2015, and ending at 11:59 p.m. June 30, 2018, upon the condition that Tenant pays rent therefor, and otherwise performs as in this Lease provided. SECTION 2. RENTAL. Tenant agrees to pay to Landlord as rental for the Term as follows: 2.1 Lessee will pay to Lessor as monthly rent for the Leased Premises the sum of One Thousand Three Hundred Sixty-Eight and 75/100 dollars ($1,368.75) (the Base Rent) commencing on July 1, 2015 and on the 1s' day of each month thereafter during the first year of the Term of this Lease. All sums must be paid to the Finance Department at the address of Landlord, as above designated, or at such other place in Iowa, or elsewhere, as Landlord may, from time to time, designate in writing. Delinquent payments will draw interest at 9% per annum from the due date, until paid. 2.2 Beginning July 1, 2016, the Base Rent will be increased annually by three percent (3%) of the previous year's Base Rent, and paid to Lessor on the 18' day of each month thereafter. SECTION 3. POSSESSION. Tenant will be entitled to possession on the first day of 062315bal the Term of this Lease, and must yield possession to Landlord at the end of the Term, except as herein otherwise expressly provided. Should Landlord be unable to give possession on said date, Tenant's only damages will be a rebating of the pro rata rental. SECTION 4. USE OF PREMISES. Tenant covenants and agrees during the Term of this Lease to use and to occupy the Leased Premises only for business use. SECTION 5. QUIET ENJOYMENT. Landlord covenants that its estate in said Leased Premises is in fee simple and that Tenant, if not in default, will peaceably have, hold and enjoy the Leased Premises for the Term of this Lease. Landlord has the right to mortgage all of its right, title, and interest in the Leased Premises at any time without notice, subject to this Lease. SECTION 6. EQUIPMENT, DECORATING, REPLACEMENT, REPAIR AND MAINTENANCE. 6.1 Definitions. (1) "Maintain" means to clean and keep in good condition. (2) "Repair' means to fix and restore to good condition after damage, deterioration or partial destruction. 6.2 Conditions of Premises. Tenant takes the Leased Premises in its present condition, except for such repairs and alterations as may be expressly otherwise provided In this Lease. 6.3 Repairs and Maintenance. (1) Landlord must replace and repair the structural parts of the building. For purposes of this Lease, the structural parts of the building are the foundation, exterior walls, load bearing components of interior floors and walls, the roof and all sewers, pipes, wiring and electrical fixtures outside of the structure. (2) Landlord is responsible for maintenance of all common area under Landlord's control. Tenant Is responsible for all maintenance within the Leased Premises. (3) Each party must perform its responsibilities of repair and maintenance to the end that the Leased Premises will be kept in a safe and serviceable condition. Neither party will permit nor allow the Leased Premises to be damaged or depreciated in value by any act, omission to act, or negligence of itself, its agents or employees, 6.4 Equipment Decorating and Alterations. 2 (1) The following items of equipment, furnishings and fixtures will be supplied and replaced by the parties as follows: Blinds: Landlord Carpet: Landlord (2) Any equipment, furnishings or fixtures to be supplied by Tenant are subject to Landlord's prior written approval as to quality and method of installation. Tenant will provide all trade equipment, furnishings and fixtures used in connection with the operation of its business, such as telephones, computers, desks, chairs, shelving and similar items. (3) Tenant is responsible for all interior decorating. Tenant may not make any structural alterations or improvements without the prior written consent of Landlord. 6.5 Americans With Disabilities Act. Tenant will make no unlawful use of the Leased Premises and agrees to comply with all valid regulations of the Board of Health, City Ordinances, the laws of the State of Iowa and the federal government, but this provision is not be construed as creating any duty by Tenant to members of the general public, provided, however, responsibility for compliance with the Americans with Disabilities Act will be performed and paid for by the parties as follows: Common areas Landlord: 100% Tenants' area Initial compliance (specify) Landlord: 100% Future compliance Landlord: 100% SECTION 7. UTILITIES, SERVICES, PROPERTY TAXES. Utilities and services will be furnished and paid for by the parties as follows: PROVIDED BY: PAID BY: % Landlord % Tenant Electricity Landlord 100 0 Gas Landlord 100 0 Water and Sewer Landlord 100 0 Garbage/Trash Landlord 100 0 Property Taxes Tenant 0 100 Janitor/Cleaning Tenant 0 100 Common areas Landlord 100 0 Other: Tenant 0 100 Tenant agrees to reimburse Landlord for the property taxes attributable to the Leased Premises and paid by Landlord within thirty (30) days after receipt of a statement from Landlord for such property taxes. 3 SECTION 8. TERMINATION, SURRENDER OF PREMISES AT END OF TERM -- REMOVAL OF FIXTURES. 8.1 Termination. This Lease will terminate upon expiration of the original Term. 8.2 Surrender. Tenant agrees that upon termination of this Lease it will surrender and deliver the Leased Premises in good and clean condition, except the effects of ordinary wear and tear and depreciation arising from lapse of time, or damage without fault or liability of Tenant. 8.3 Holding Over. Continued possession by Tenant, beyond the expiration of its tenancy, coupled with the receipt of the specified rental by Landlord (and absent a written agreement by both parties for an extension of this Lease, or for a new lease) will constitute a month to month extension of this Lease. 8.4 Removal of Fixtures. Tenant may, at the expiration of its tenancy, if Tenant is not in default, remove any fixtures or equipment which Tenant has installed in the Leased Premises, providing Tenant repairs any and all damages caused by removal. SECTION 9. ASSIGNMENT AND SUBLETTING. Any assignment of this Lease or subletting of the Leased Premises or any part thereof, without Landlord's written permission will, at the option of Landlord, make the rental for the balance of the Lease Term due and payable at once. Such written permission may not be unreasonably withheld. SECTION 10. INSURANCE. 10.1 Property Insurance. Landlord and Tenant agree to.insure their respective real and personal property for the full insurable value. Such insurance must cover losses included In the Insurance Services Oficial Broad Form Causes of Loss (formerly fire and extended coverage). 10.2 Liability Insurance. Tenant must at all times during the Term of this Lease provide insurance as described in the attached Insurance Schedule as such schedule may from time to time be revised by Landlord. 10.3 Certificates Of Insurance. Prior to the time this Lease takes effect Tenant will provide Landlord with a certificate of insurance with these property and liability insurance requirements. A renewal certificate must be provided prior to expiration of the current policies. 10.4 Acts By Tenant. Tenant will not do or omit doing of any act which would invalidate any insurance, or increase the insurance rates in force on the Leased Premises. 4 10.5 Recommendations - Iowa Insurance Services Office. Tenant further agrees to comply with recommendations of Iowa Insurance Services Office and to be liable for and to promptly pay, as if current rental, any increase in insurance rates on said premises and on the building of which said Leased Premises are a part, due to increased risks or hazards resulting from Tenant's use of the Leased Premises otherwise than as herein contemplated and agreed. 10.6 Copy of Lease to Insurer. Landlord and Tenant must each provide a copy of this Lease to their respective insurers. SECTION 11. LIABILITY FOR DAMAGE. Each party agrees it is liable to the other for all damage to the property of the other negligently, recklessly or intentionally caused by that party, or their agents, employees or invitees. SECTION 12. INDEMNITY. Tenant agrees to indemnify and hold harmless Landlord, its officers and employees, from and against any and all claims of any kind arising out of or related to Tenant's performance of its obligations in this Lease. SECTION 13. FIRE AND CASUALTY. 13.1 Partial Destruction of Premises. In the event of a partial destruction or damage of the Leased Premises, which is a business interference which prevents the conducting of a normal business operation and which damage is repairable within 60 days after its occurrences, this Lease will not terminate but the rent for the Leased Premises will be abated during the time of such business interference. In the event of a partial destruction, Landlord will repair such damages within 60 days of its occurrence unless prevented from doing so by acts of God, government regulations, or other causes beyond Landlord's reasonable control. 13.2 Zoning. Should the zoning ordinance of the municipality in which this property is located make it impossible for Landlord to repair or rebuild so that Tenant is not able to conduct its business on the Leased Premises, then such partial destruction will be treated as a total destruction as provided in the next paragraph. 13.3 Total Destruction of Business Use. In the event of a destruction or damage of the Leased Premises including the parking area (if parking area is a part of this Lease) so that Tenant is not able to conduct its business on the Leased Premises or the then current legal use for which the Leased Premises are being used and which damages cannot be repaired within 60 days, this Lease may be terminated at the option of either Landlord or Tenant. Such termination in such event will be effected by written notice of one party to the other, within 20 days after such destruction. Tenant must surrender possession within 10 days after such notice issues and each party will be released from all future obligations, and Tenant must pay rent pro rata only to the date of such destruction. In the event of such termination of this Lease, Landlord at its option, may rebuild or not, at its discretion. 5 SECTION 14. CONDEMNATION. 14.1 Disposition of Awards. Should the whole or any part of the Leased Premises be condemned or taken for any public or quasi-public purpose, each party is entitled to retain, as its own property, any award payable to it. Or in the event that a single entire award is made on account of the condemnation, each party will then be entitled to take such proportion of said award as may be fair and reasonable. 14.2 Date of Lease Termination. If the whole of the Leased Premises is condemned or taken, Landlord will not be liable to Tenant except and as its rights are preserved in paragraph 13.1 above. SECTION 15. DEFAULT, NOTICE OF DEFAULT AND REMEDIES. 15.1 Events of Default. Each of the following constitutes an event of default by Tenant: (1) Failure to pay rent when due. (2) Failure to observe or perform any duties, obligations, agreements or conditions imposed on Tenant pursuant to terms of the Lease. (3) Abandonment of the Leased Premises. "Abandonment' means Tenant has failed to engage in its usual and customary business activities on the Leased Premises for more than fifteen (15) consecutive business days. (4) Institution of voluntary bankruptcy proceedings In which the Court orders relief against Tenant as a debtor; assignment for the benefit of creditors of the interest of Tenant under this Lease; appointment of a receiver for the property or affairs of Tenant, where the receivership is not vacated within ten (10) days after the appointment of the receiver. 15.2 Notice of Default, Landlord must give Tenant a written notice specifying the default and giving Tenant ten (10) days In which to correct the default. If there is a default (other than for nonpayment of a monetary obligation of Tenant, including rent) that cannot be remedied in ten (10) days by diligent efforts of Tenant, Tenant must propose an additional period of time in which to remedy the default. Consent to additional time may not be unreasonably withheld by Landlord. Landlord is not required to give Tenant any more than three notices for the same default within any 365 day period. 15.3 Remedies. In the event Tenant has not remedied a default in a timely manner following a Notice of Default, Landlord may proceed with all available remedies at law or in equity, including but not limited to the following: (1) Termination. Landlord may declare this Lease to be terminated and must 6 give Tenant a written notice of such termination. In the event of termination of this Lease, Landlord is entitled to prove claim for and obtain judgment against Tenant for the balance of the rent agreed to be paid for the Term herein provided, plus all expenses of Landlord In regaining possession of the Leased Premises and the reletting thereof, including attorney's fees and court costs, crediting against such claim, however, any amount obtained by reason of such reletting. (2) Forfeiture. If a default is not remedied in a timely manner, Landlord may then declare this Lease to be forfeited and must give Tenant a written notice of such forfeiture, and may, at the time, give Tenant the notice to quit provided for in Chapter 648 of the Iowa Code. SECTION 16. RIGHT OF EITHER PARTY TO MAKE GOOD ANY DEFAULT OF THE OTHER. If default is made by either party in the performance of, or compliance With, any of the terms or conditions of this Lease, and such default continues for thirty (30) days after written notice thereof from one party to the other, the person aggrieved, in addition to all other remedies now or hereafter provided by law, may, but need not, perform such term or condition, or make good such default and any amount advanced will be repaid forthwith on demand, together with interest at the rate of 9% per annum, from date of advance. SECTION 17. SIGNS. Tenant may not attach, paint or exhibit any signs on the Leased Premises. SECTION 18. MECHANIC'S LIENS. Neither Tenant nor anyone claiming by, through, or under Tenant, may file or place any mechanic's liens or other lien of any kind or character whatsoever, upon said Leased Premises or upon any building or improvement thereon, or upon the leasehold interest of Tenant, and notice is hereby given that no contractor, sub-contractor, or anyone else who may furnish any material, service or labor for any building, improvements, alteration, repairs or any part thereof, may at any time be or become entitled to any lien on the Leased Premises, and for the further security of Landlord, Tenant covenants and agrees to give actual notice thereof in advance, to any and all contractors and sub-contractors who may furnish or agree to furnish any such material, service or labor. SECTION 19. LANDLORD'S LIEN AND SECURITY INTEREST. Landlord will have, in addition to any lien given by law, a security interest as provided by the Uniform Commercial Code of Iowa, upon all personal property and all substitutions thereof, kept and used on said Leased Premises by Tenant. Landlord may proceed at law or in equity with any remedy provided by law or by this Lease for the recovery of rent, or for termination of this Lease because of Tenant's default in its performance. SECTION 20. ENVIRONMENTAL. 20.1 Landlord. To the best of Landlord's knowledge to date: 7 (1) Neither Landlord nor Landlord's former or present tenants are subject to any investigation concerning the Leased Premises by any governmental authority under any applicable federal, state, or local codes, rules and regulations pertaining to air and water quality, the handling, transportation, storage, treatment, usage, or disposal of toxic or hazardous substances, air emissions, other environmental matters, and all zoning and other land use matters. (2) Any handling, transportation, storage, treatment, or use of toxic or hazardous substances that has occurred on the Leased Premises has been in compliance with all applicable federal, state and local codes, rules and regulations. (3) No leak, spill release, discharge, emission or disposal of toxic or hazardous substances has occurred on the Leased Premises. (4) The soil, groundwater, and soil vapor on or under the Leased Premises is free of toxic or hazardous substances. (5) Landlord assumes liability and will indemnify and hold Tenant harmless against all liability or expense arising from any condition which existed, whether known or unknown, at the time of execution of the Lease which condition is not a result of actions of Tenant or which condition arises after date of execution but which is not a result of actions of Tenant. 20.2 Tenant. Tenant expressly represents and agrees: (1) During the Lease Term, Tenant's use of the Leased Premises will not include the use of any hazardous substance without Tenant first obtaining the written consent of Landlord. Tenant understands and agrees that Landlord's consent is at Landlord's sole option and complete discretion and that such consent may be withheld or may be granted with any conditions or requirements that Landlord deems appropriate. (2) During the Lease Term, Tenant will be fully liable for all costs and expenses related to the use, storage, removal and disposal of hazardous substances used or kept on the Leased Premises by Tenant, and Tenant must give immediate notice to Landlord of any violation or any potential violation of any environmental regulation, rule, statute or ordinance relating to the use, storage or disposal of any hazardous substance. (3) Tenant, at its sole cost and expense, agrees to remediate, correct or remove from the Leased Premises any contamination of the property caused by any hazardous substances which have been used or permitted by Tenant on the Leased Premises during any term of this Lease. Remediation, correction or removal must be in a safe and reasonable manner, and in conformance with all 8 applicable laws, rules and regulations. Tenant reserves all rights allowed by law to seek indemnity or contribution from any person, other than Landlord, who is or may be liable for any such cost and expense. (4) Tenant agrees to indemnify and hold Landlord harmless from and against all claims, causes of action, damages, loss, costs, expense, penalties, fines, lawsuits, liabilities, attorney fees, engineering and consulting fees, arising out of or in any manner connected with hazardous substances, which are caused or created by Tenant on or after the date of this Lease and during any term of this Lease, including, but not limited to, injury or death to persons or damage to property, and including any diminution of the value of any Leased Premises which may result from the foregoing. This indemnity will survive the cessation, termination, abandonment or expiration of this Lease. SECTION 21. SUBSTITUTION OF EQUIPMENT, MERCHANDISE. ETC. 21.1 Tenant's Property. During its tenancy, Tenant has the right to sell or otherwise dispose of any personal property of Tenant situated on the Leased Premises, when in the judgment of Tenant it has become obsolete, outworn or unnecessary in connection with the operation of the business on the Leased Premises; provided, however, that Tenant must, in such instance (unless no substituted article or item is necessary) at its own expense, substitute for such items a new or other Rem in substitution thereof, in like or greater value. 21.2 Inventory. Nothing herein contained will be construed as denying to Tenant the right to dispose of inventoried merchandise in the ordinary course of Tenant's trade or business. SECTION 22. RIGHTS CUMULATIVE. The various rights, powers, options, elections and remedies of either party, provided in this Lease, will be construed as cumulative and no one of them as exclusive of the others, or exclusive of any rights, remedies or priorities allowed either party by law, and may in no way affect or impair the right of either party to pursue any other equitable or legal remedy to which either party may be entitled as long as any default remains in any way unremedied, unsatisfied or undischarged. SECTION 23. NOTICES AND DEMANDS. All notices, demands, or other writings in this Lease provided to be given or made or sent, or that may be given or made or sent, by either party to the other, will be deemed to have been fully given or made or sent when made in writing and deemed to have been fully given or made or sent when made in writing and deposited in the United States mail, registered, and postage prepaid, and addressed as follows: TO LANDLORD: City of Dubuque, Iowa c/o City Manager City Hall 9 50 West 13" Street Dubuque, Iowa 52001 TO TENANT: Dubuque County, Iowa c/o Dubuque County Sheriff 720 Central Avenue Dubuque, Iowa 52001 SECTION 24. CONSTRUCTION. Words and phrases herein, including acknowledgment hereof, will be construed as in the singular or plural number, and as masculine, feminine, or neuter gender according to the context. SECTION 25. COMPLIANCE WITH LAW. During the term of this Lease, Tenant must comply with all laws applicable to Tenant's use of the Leased Premises. SECTION 26. MISCELLANEOUS. 26.1 Governing Law. It Is agreed that this Lease will be governed by, construed, and enforced in accordance with the laws of the State of Iowa. 26.2 Paragraph Headings. The titles to the paragraphs of this Lease are solely for the convenience of the parties and will not be used to explain, modify, simplify, or aid in the interpretation of the provisions of this Lease. 26.3 Modification of Agreement. Any modification of this Lease or additional obligation assumed by either party in connection with this Lease will be binding only If evidenced in writing signed by each party or an authorized representative of each party. 26.4 Parties Bound. This Lease binds and inures to the benefit of and applies to the respective successors and assigns of Landlord and Tenant. All references in this Lease to "Landlord" or "Tenant" will be deemed to refer to and included successors and assigns of Landlord or Tenant without specific mention of such successors or assigns. SECTION 27. FORCE MAJEURE. In the event that either party hereto will be delayed or hindered in or prevented from the performance of any act required hereunder by reason of strikes, lockouts, labor troubles, unavailability of construction materials, unavailability or excessive price of fuel, power failure, riots, insurrection, war, terrorist activities, explosions, hazardous conditions, fire, flood, weather or acts of God, or by reason of any other cause beyond the exclusive and reasonable control of the party delayed in performing work or doing acts required under the terms of this Lease (collectively Force Majeure), then performance of such act will be excused for the period of the delay and the period for the performance of any such act will be extended for a period equivalent to the period of such delay. CITY OF DUBUQUE, IOWA, DUBUQUE COUNTY, IOWA, LANDLORD TENANT 10 By.. By. Michael C. Van Milligan Don Vrotsos City Manager Sheriff I 11 li EXHIBIT A THE LEASED PREMISES 12 \� '� 'it r 9 m n " i >\ � 7 \ . ; lip s . . , yi� l � ' , al : y .�) \ �� . � �. � � 1-1E TjO\ . : � Az 13 INSURANCE SCHEDULE 14 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 Certirnate of lnsunnce(COI)to the Chy mf Dubuque,lova for the mvemge required at Exhibit I prior to contract or lease commareament Al l lessees of Clty property and flight of Way Permit Hmlders shall submit an updated COI annually.Each Car[Ificirm shall be prepared on the most turrertACO aO form approved by me Department of Insurance or an equivalent.Each oertifiram shall include a statement under Description of Operanoms as to why issued.Elf: project g me Lease of premises at or cmtttmctimn of or right of way permitted lorafian and description 2. Al l policies of insurance required hereunder shall be with a ca mer authorised to do business an Iowa and all carriers shall M1ave a rating of A or better In the current A.M.Bests Rating Guide. 3. Each certificate she 11 be fu,nmhad to the c.s rectlmg depiumn.of the cut,mf Dubuque_ 4. Failure to pimckle mina me coverage shall not be deem ad a waiver of these requirements by the Cdy of Dubuque. Failure[m subtalar or maimtain dserequbed insurance shall he consitlered a material hreach of this agreement. 5. All required imuccomemsto various policies shall be attached to Carfleme ofiesuiance. 6. Whenever aspeciflc Do fomi is luted,an equivalentform may besubs[ituted subject no the provider identifying and listing m writing all ducAmi mm and axdusim.that differ from the 150forn. ]. provider shall be required to tarrythe minimum coverage/lirmt;or greater if required by law or other legal agreement,in Exhibit I. 8. Whenever an ISO form is referenced the tonere edition of the form must be used. Page 3of3 Schedule A,Property Or Vendors(Suppliers,Selvioe Prmviders)April 2014-Doc 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 (continued) Exhibit I A) COMMERCIAL GENERAL LIABILITY General Aggregate Limit $2,000,000 Products-Completed Operations AggregateLimit $1,000,000 Personal and Advertising Injury Limit $1,000,000 Each Occurrence $1,oldo,000 Fire Damage Limit Jany one occurrence) $ 50,000 Medical Payments $ 5,000 a) Coverage shall be written on an occurrence,not claims made,farts. All deviations from the standard ISO commercial general liability toren CG 0001,or Business owners form BP 0002, shall be clearly identified. b) Include ISO endo rsement form CC 25 04"Designated Locatlonis)General Aggregate UmM c) Include endorsement Indicating that coverage is primary and non-contrih utory. d) Include endorsement to preserve Governmental Immunity.(Sample attached). e) Include an endorsement that deletes any fellow employee ezclusion. 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 2010. (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 0 as amended. Coverage A Statutory—State of Iowa Coverage Employers Liability Each Accident $100,000 Each Employee-Disease $100,000 Policy Limit-Disease $Soo,000 Policy shall include an endorsement providing a waiver of subrogation to the City of Dubuque. page 2of3 Schedule A,Property Or Vendors(Suppliers,Service Providers)April 2014.Dcc 16 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 expresslyagrees and statesthatthe 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 maybe amended from time to time. 2. Claims Coverage.The insurance carrier further agrees that this policy of lnsurenceshall coveronly those clatms 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 qty of Dubuque, Iowa shall be responsible for asserting any defense of governmental immunity,and may do so starry 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 underthis 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 C'rty 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. SPECIMEI�1 Page 3 of 3 Schedule A, Property or vendors(Suppliers,Service Providers)April 2014.0oc Warren.,Fnc,l Sa,l 0i;l UNITEDST13TES 1 POSTAL SERVICE October 22, 2007 Certified Mail#2546 5595 CITY OF DUBUQUE Return Receipt Requested FINANCE DEPT CITY HALL 50 W 13TH ST DUBUQUE IA 52001-4805 SUBJECT: MAIN OFFICE (182610.001) DUBUQUE IA 52001-9996 New Lease Honorable Mayor Roy Buol: Enclosed are two executed leases for the subject property for a five-year term effective October 1, 2007, through September 30, 2012, at an annual rental rate of $198,500.00. As a reminder, rental payments are payable in equal installments at the end of each calendar month. The second executed lease is to be recorded in its entirety as provided in our lease under General Conditions, Paragraph 2, Recording. The lease needs to be recorded without expense to the Postal Service, in the proper office for the registry of deeds in the county in which the quarters are located. Please return the recorded lease to my attention to the below address by November 30, 2007. When writing or contacting us by phone regarding the subject facility, please refer to the nine-digit finance number, 182610-001,also noted on the subject line of this letter. If you have any questions or concerns regarding the contents of this letter please contact Mike Ward at (303) 220-6557. Thank you for providing this space for postal use. Sincerely, i t�— Vance Bennett Contracting Officer Distr: Postmaster Michael E.Ward, Real Estate Specialist Enclosures 190 uw_Ili Ii, Ili V,Sn n,u I EIli e",,1 1:,1 11 1 I..n005 UNITED STATES POSTAL SERVICE, Lease DUBUQUE- MAIN OFFICE(182610-001) 350 W 6TH ST STE 109, DUBUQUE, IA 52001-9998 lir—_ UNITEDSTATES POSTdL SERVICE- Lease F.difty NamelLocatlon DUBUQUE- MAIN OFFICE(182610.001) County:Dubuque 350 W 6TH ST STE 109, DUBUQUE, IA 52001-9998 Project:E18543 This Lease made and entered into by and between CITY OF DUBUQUE FINANCE DEPT hereinafter called the Landlord, and the United States Postal Service, hereinafter called the Postal Service: In consideration of the mutual promises set forth and for other good and valuable consideration, the sufficiency of which is hereby acknowledged, the parties covenant and agree as follows: 1. The Landlord hereby leases to the Postal Service and the Postal Service leases from the Landlord the following premises, hereinafter legally described in paragraph 7, In accordance with the terms and conditions described herein and contained in the'General Conditions to U.S. Postal Service Lease;attached hereto and made a part hereof. Upon which is a Three Story, multi-tenant building and which property contains areas, spaces,improvements,and appurtenances as follows: AREA SQ. FEET COMMONOOINT USE AREA SQ. FEET Net Interior Floor Space 17,034 Jt-use Park& Maneuvering Spac 7,018 Exterior, Platform and Ramp 1,056 Exterior Parking, USPS 2,400 Gross Rentable SF of Building 57,968 USPS Occupies 31.74% Exterior Parking consists of 12 vehicle spaces, circulation and maneuvering for dock access. Total Site Area: 27,508.00 2. TO HAVE AND TO HOLD the said premises with their appurtenances for the following term: FIXED TERM:The term becomes effective October 01, 2007 with an expiration date of September 30, 2012, for a total of 5 Years. 3. RENTAL:The Postal Service will pay the Landlord an annual rental of:$198,500.00(One Hundred Ninety Eight Thousand Five Hundred and 00/100 Dollars)payable In equal Installments at the end of each calendar month, Rent for a part of a month will be prorated. Rent checks shall be payable to: CITY OF DUBUQUE FINANCE DEPT CITY HALL 50 W 13TH STREET DUBUQUE, IA 52001-4662 unless the Contracting Officer is notified, in writing by Landlord, of any change in payee or address at least sixty (60) days before the effective date of the change. Febmery 2004 1 NUAIITEDST13TES Lease POST4LSERVICE 4, RENEWAL OPTIONS:The Lease maybe renewed at the option of the Postal Service,for the following separate and consecutive terms and at the following annual rentals: EFFECTIVE DATE EXPIRATION DATE PER ANNUM RENTAL 10/01/2012 09/30/2017 $218,350.00 provided that notice is sent,in writing,to the Landlord at least 60 days before the and of the original lease term and each renewal term. All other terms and conditions of this Lease will remain the same during any renewal term unless stated otherwise herein. 5. OTHER PROVISIONS:The following additional provisions, modifications, riders, layouts, and/or forms were agreed upon prior to execution and made a part hereof: Utilities Services& Equipment Rider, Maintenance Rider-Landlord Responsibility, Percentage Reimbursement of Paid Taxes Rider, Mortgagee's Agreement. 6. TERMINATION: None, except as specified elsewhere in this Lease. 7. LEGAL DESCRIPTION: A rectangular shaped parcel approximately 259 feet (wide)X 183.5 feet(long),described as Lots 139, 140, 101,102, the North 54.5 Feet of Lot 138,the North 54.5 feet of Lot 103,City Lots. The site is located In the North East 1/4 of the South East 1/4, Section 25,Township 89 North, Range 2 East, Dubuque County, Iowa and contains approximately 47,546.5 square feet or 1.09 Acres more or less. February 2004 2 uNrrEDSTATES � POSTAL SERVICE. Addendum FaciIIN Namekwation DUBUQUE-MAIN OFFICE(182610-001) County: Dubuque 350 W 6TH ST STE 109, DUBUQUE, IA 52001-9998 Project: E18543 The parties agree that the City of Dubuque and any contractors employed by the City may have building access via, the dock leased to the USPS only between the hours of 9:00 A.M.and 1:00 P.M., Monday though Friday not inclusive of any Federal Holiday, or at other times approved by the Postmaster, upon providing not less than a 24-hour advance notice to the Postmaster. The City, its employees and/or contractors may not use any of the dock area for storage of materials beyond the access time herein authorized and the use of the dock shall not interefere with the USPS mail operations. In addition to the spaces specifically demised on page i under Area and Square Feet,the parties agree that the USPS shall havejoint use of building support and common use areas including but not necessarily limited to all points of common building ingress and egress, elevator lobbies and hallways on all Boors of the building. Net Interior Floor Space shown at item 1, on page 1, includes 351 square feet of Second Floor Office Space for use by the Office of Inspector General. During periods of building rennovation/construction, the City of Dubuque may,for periods not to exceed a cummulative total of 60-days in any calendar year,provide alternative parking in the lot located immediately West of this building at the comer of 5th Street and Bluff Street. There will be no adjustment In rent, nor will the USPS incur any additional parking expense for these periods. Not less than 72 hours advance notice to the Postmaster is required to facilitate USPS move to the alienate parking location. February 2004 3 JUUNITEDSTATES Lease POSTAL SERVICE. EXECUTED BY LANDLORD this-Irl"K day of CORPORATION By executing this Lease, Landlord certifies that Landlord is not a USPS employee or contract employee(or an Immediate family member of either), or a business organization substantially owned or controlled by a USPS employee or contract employee (or an immediate family member of either), Name of C portiorti Ciy of Dubuque Name&&T_ e: Roy Buo/l, Ma or ///) Name&Title: Opline&Title: Jeanne Schneider, City Clerk Name &Title: Landlord's Address: CITY HALL 50 W 13TH STREET DUBUQUE, IA 52001-4662 Telephone No.: (563)589-4121 Fax No.: (563) 589-0890 Tax ID: XXX-XX-4596 E-mail Address: Ischneid@cilyofdubuque.org Witness Witness a. Where the Landlord is a corporation, leases and lease agreements entered into must have the corporate seal affixed, or in place thereof, the statement that the corporation has no seal. b. Where the Landlord is a corporation, municipal corporation, non-profit organization, or fraternal order or society, the Lease must be accompanied by documentary evidence affirming the authority of the agent, or agents, to execute the Lease to bind the corporation, municipal corporation, non-profit organization, or fraternal order or society for which he (or they)purports to act. The usual evidence required to establish such authority is in the form of extracts from the articles of incorporation, or bylaws, or the minutes of the board of directors duly certified by the custodian of such records, under the corporate seal. Such resolutions, when required, must contain the essential stipulations embodied in the Lease. The names and official titles of the officers who are authorized to sign the Lease must appear in the document. c. Any notice to Landlord provided under this Lease or under any law or regulation must be in writing and submitted to Landlord at the address specified above, or at an address that Landlord has otherwise appropriately directed in writing. Any notice to the Postal Service provided under this Lease or under any law or regulation must be in writing and submitted to 'Contracting Officer, U.S. Postal Service"at the address specified below, or at an address that the Postal Service has otherwise directed in writing. ACCEPTANCE BY THE POSTAL ISERVICE Vance Bennett l�w, Date Contracting Officer �9natura of Contracting Officer Contracting Officer Western FSO 160 INVERNESS DRIVE WEST SUITE 400, ENGLEWOOD, CO 80112-5005 Address of Contracting Officer February 2004 4 UNITEDSTATES Form of Acknowledgment P-NoW POSW SERVICE for Corporations STATE OF Iowa COUNTY OF Dubuque Personally appeared before me,a Notary Public in and for the County and State aforesaid, Roy D. Buo1 and Jeanne F. Schneider (Name of authorized officer(s)signing lease) who is/are known to me to be the Mayor and City Clerk (Titles of officer(s)signing lease) of the City of Dubuque , Iowa and (Name of Corporation) to be the same person(s)who executed the foregoing lease,who depose(s) and say that said person(s) know(s)the seal of the said corporation,that the seal affixed to the above instrument is the seal of said corporation, and that it was affixed, and that said person(s) signed this lease by the authority of the said corporation,for the purposes set forth, and as said person(s) own free and 'voluntary act. Done at Dubuque , in the County and State aforesaid, this 1st day of October 2007. NOTARIAL SEAL xIAI SUa,1N M. WINTER Not y 4Pbl.. COMMISSION N0.19327d c COMMfSSICN EXPIRES M commission expires ro.r• Y74/d6 y p NOTE: If the corporation is without a seal,that portion of the acknowledgment referring to a seal should be stricken out,and on the blank line following this statement should be made:"and that the said corporation has no corporate seal." REACKC (Nov 97,v2c, P) JU��---- UNITEDSrATES Form of Acknowledgment POSTAL SERVICE. for Contracting Officer STATEOF 6 IC ( fl('1C COUNTY OF (V(L4I IC '= Personally appeared before me, a Notary Public in and for the County and Slate aforesaid, Vance Bennett (name of Contracting Officer) known to be a Contracting Officer of the United Stales Postal Service,and whose address is: Western FSO 160 INVERNESS DRIVE WEST SUITE 400 ENGLEWOOD, CO 80112-5005 and to be the same person who executed the foregoing Lease,who deposes and says that(s)he signed his/her name thereto by authority of said Postal Service,for the purposes set forth, and as his/her own free and voluntary act. Witness my hand and notarial seal, in the County and State aforesaid,this day of Oc ACb(- 20c i . NOTARIAL NKNIELLEAYON SEALHatiXymm !loltdcdoraft 1 , 17 ary P b1i My commission expires.o February 2004 5 �LINITEDSTATES POSTi]L SERVICE- General Conditions to USPS Lease 1. CHOICE OF LAW This Lease shall be governed by federal law, 2. RECORDING This Lease or a memorandum thereof,with the commencement dale and ail olhernesessary dates inserted,must be recorded by the Landlordet its sola expense.Such expense Includes all teas required for or Incident to recording.If the Landlord fails to record the Lease,or a memorandum thereof, the Postal Service may record the Lease or a memorandum thereof,and deduct all costs associated therewith hon future rents. 3. MORTGAGEE'S AGREEMENT It there is now or wtl be a mortgage on the property which is or will be recorded prior to the recording of the Lease, the Landlord must noltfy the contracting officer of the facts concerning such mortgage and,unless In his sole discretion the contracting officer waives the requirement,the Landlord must furnish a Mortgagee's Agreement,which will consent to this Lease and shall provide that,In the event of foreclosure,mortgagee,successors, and assigns shall cause such foreclosures to be subject 10 the Lease. 4. ASSIGNMENTS a.The terms and provisions of this Lease and the conditions herein are binding on the Landlord and the Postal Service,and all heirs,executors, administrators,successors,and assigns. b. If this contract provides for payments aggregating$10,000 or more,claims for monies due or to become due from the Postal Service under It may be assigned to a bank,her company,or other financing institution,Including any federal lending agency,and may thereafter be fuller assigned and reassigned to any such institution. Any assignment or reassignment must cover all amounts payable and must not be made to more Nan one party, except that assignment or reassignment may be made to one party as agent or trustee for two or more parties participating In financing this contract. No assignment or reassignment will be recognized as valid and binding upon the Postal Service unless a written notice of the assignment or reassignment,together With a We copy of the Instrument of assignment,is riled with: 1. the contracting officer,and 2. the surety or sureties upon any bond. c Assignment of this contract or any interest In this contract other than in accordance with the provisions of[his clause will be grounds for termination of the contract for default at the option of the Postal Service. d. Nothing contained herein shall be construed so as to prohibit transfer of ownership of the demised premises,provided that: 1.such transfer ts subject to this Lease agreement;and 2,bath the original Landlord and the successor Landlord execute the standard Certificate of Tomsterof Title to Leased Property and Lease Assignment and Assumption form to be provided by the USPS Contracting Officer and in the case of new leased space projects,the lease may only be assigned or ownership of the property transferred following commencement of the fixed term,unless prior written consent Is obtained from the Postal Service- 5. APPLICABLE CODES AND ORDINANCES The Lantllortl,es pan of the rental consideration, agrees to comply with all seeks and ordinances applicable to the ownership and operation of the building In which the rented space Is situated and W obtain all necessary permits and fall Items at no cost to the Postal Service. When the Postal Serves or one of its contractors(other than the Landlord)is performing work at the premises,the Postal Service will be responsible for obtaining all necessary and applicable permits,related Items,and associated costs. 6. SUBLEASE The Postel Service may sublet all or any part of the premises or assign this lease but shall not be relieved from any obligation under this lease by reason of any subletting or assignment. 7. RESTORATION AND ALTERATIONS a.Upon written nollficallon by Landlord within 30 days of the expiration or lamination of this Lease,the Postal Service shall restore the premises to a 'broom clean' and usable condition, excepting the following: reasonable and ordinary wear and tear, and damages by the elements or by circumstances over which the Postal Service has no control. If Landlord provides the some notice, he Postal Service and Landlord shall negotiate and reach agreement on necessary Items of restoration and the reasonable cost for restoration;the Postal Service shall pay Landlord this agreed- upon amount and shall have no further restoration duties under this Lease. b.The Postal SeMce shall have the right to make alterations, attach flxlums and erect additions,slruclures or signs In or upon the premises hereby leased(Provided such alterations,additions,structures,or signs shall not be detrimental to or Inconsistent with the rights granted to other tenants on the property at In the building In which said premises are located);which fixtures,additions a structures sou placed in,upon or attached to the said premises shall be and remain the property of the Postal Service and may be removed or otherwise disposed of by the Postal SeMce. gencond Oct 2006 oo-i UUNITEDST13TES General Conditions to USPS Lease POST13L SERVICE 6. CLAIMS AND DISPUTES a. This conbact is subject to the Contract Disputes Act of 1978(41 U:S.C.681-613)("the Act'). I, Except as provided in the Act,all dispute.arising under or relaeng to this contract must be resolved under this clause. c, "claim,"as used in this clause,mean.a written demand or written assertion by one of the contracting parties seeking,as a matter of right,the payment of money in a sum certain, The adjustment or interpretation of contract tem s, or other relief arising under or raising to this contract. However,a written demand orwriden assertion by the Landlord seeking the payment of money exceeding$100,000 Is not a claim under the Act until me lf,edasrequiredbysubparagnphdbebw. A voucher,Invoice,or other routine request for payment that is not in disputa when submitted is note claim under the Act. The submission may be convened to a Balm under the Act by complying with the submission and wits ication requirements of this clause,If it is disputed either as to liability or amount or Is not acted upon In a reasonable time. J. A claim by the Landlord must be matte In writing and submitted to the contracting officer for a written decision. A claim by the Postal Service against the Landlord Is subject to a written decision by the contraefing officer. For Landlord calms exceeding$100,000, the Landlord must submit with the claim the following certigcafon: "I certify that the claim is matte in good faith,that the supporting data are accurate and complete to the best of my knowledge and belief,that the amount requested accurately reflects the contract adjustment for which the Landlord believes the Postal Service is liable,and that I am duly authorized to certify the claim on behalf of the Landlord; The certificalion may be executed by any person duly authorized to bind the Landlord with respect b the claim. e. For Landlord claims of$100,000 or less,the contracting officer must,If requested In writing by the Landlord,render a decision within 60 days of the request. For Landlortl-cer ified claims over$100,000,the contracting officer must,within 60 days,decide the claim or notify the Landlord of the data by which the decision will be made. L The contracting officsi's decision is final unless the Landlord appeals or files a suit as provided in the Act g. When a claim Is submitted by or against a Landlord, the pelves by mutual consent may agree to use an alternative dispute resolution (ADR) process b assist in resolving the claim. A cenificatton as described In subparagraph d of this clause must be provided for any claim,regardless of dollar amount,before ADR Is used. h. The Postal Service will pay interest on the amount found due and unpaid From: 1.the dale the contracting officer receives the claim(properly cee fad If required):or 2.the date payment otherwise would be due,if that data is later,unit the date of payment. L Simple interest on calms will be paid at a rete determined In accordance with the Act. ). The Landlord must proceed diligently with performance of this contract,pending Final resolution of any request For relief.claim,appeal,or action arising under the contract,and comply with any decialon of the contracting officer. e. HAZARDOUSROXIC CONDITIONS CLAUSE "Asbestos containing building material"(ACBM)means any material containing more than 1%asbestos as deternlned by using the method specified in 40 CFR Pan 763,Subpart E,Appendix E"Friable asbestos material"means any ACBM that when dry,can be emmbied,pulverized,or reduced to powder by hand pressure. The Landlord must identify and disclose the presence,localize and quantity of all ACBM or presumed asbestos containing material(PACM)which Includes .11 if ermai system Insulation,sprayed on and troweled on surfacing materials, and asphalt and vinyl flooring material unless such material has been tested and Identified as nonACBM. The Landlord agrees to disclose,to the best of Its knowledge,any Information containing the presence of lead-based paint,radon above 4 pCVL,and lead piping or solder In oinking water systems In the budding,to the Postal Service, Sites cannot have any contaminated soil or water above applicable acarol,state or locel action levels or undisclosed underground storage tanks. Unless due to the act or negligence of the Postal Service,If contaminated sail,water,underground storage tanks or piping or Mable asbestos material or any other hazardousttoxlc materials or substances as defined by applicable Local, Sate or Federal law are subsequently identified on he premises,he Landlord agrees to remove such materials or substances upon notification by the Postal Service at Landlord's sole cost and expense in accordance with EPA andlor State guidelines;prior to accomplishing this task,Landlord must seek written approval by he USPS Contracting Officer of the contractor and scope of work,such approval not to be unreasonably withheld. If ACBM Is subsequently bund In the building which reasonably should have been determined, Identified,or known to the Landlord,the Landlord agrees to conduct,at Landlord's sole expense,an asbeslzs survey pursuant to he standards of the Asbestos Hazard Emergency Response Act(AHERA),establish an Operations and Maintenance (O&M)plan for asbestos management, and provide the survey report and plan to the Postel Service. If the Landlord falls to remove any friable asbestos or hazardousltoxc, materials or substances, or fails to complete an AHERA asbestos survey and O&M plan, the Postal Service has the fight to accomplish he work and deduct he cost plus administrative vests,from fubre rant payments or recover these costs tram Landlord by other means, or may,at Its sole option,cancel this Lease. In addition,the Postal Service may proportionaky abate the rent for any period the premises,or any part thereof,are determined by the Postal Service to have been rendered unavailable to it by reason of such condition. gencond Oct20D6 oto UNITEDSTATESGeneral Conditions to USPS Lease P05T4LSERVICE.IC The Landlord hereby indemnllles and holds harmless he Postal Service and its oRicers,agents,representatives,and employees from all claims,loss, damage,actions,causes of action,expanse,fees and/or liability resulting from,brought for,or on account of any violation of this clause. The remainder of this clause applies If this Lease is far premises not previously occupied by the Postal Service. By execution of his Lease the Landlord certifies: a, that the property and improvements are free of all contamination from petmleum products or any hasardouslloxic or unhealthy materials or substances,Including f table asbestos materials,as defined by applicable State or Federal law; b. that there are no undisclosed underground storage tanks or associated piping,ACBM,radon,lead-based paint,or lead piping or solder in drinking water systems,on the property;and c. it has net received,nor Is It aware of,any notification or other communication from any governmental or regulatory entity concerning any environmental condition,or violation or potential violation of any local,state,or federal environmental statute or regulallon,existing at or adjacent to the property. 10. FACILITIES NONDISCRIMINATION a. By executing this Lease,the Landlord certifies that it does not and will not maintain or provide for Its employees any segregated facilities at any of its establishments,and that it does not and will not permit its employees to perform services at any location under Its mntml where segregated facilities are maintained. b. The Landlord will insert this clause in all contracts or purchase orders under his Leese unless exempted by Secretary of Labor rules,regulations, or orders issued under Executive Order 11246. 11. CLAUSES REQUIRED TO IMPLEMENT POLICIES,STATUTES,OR EXECUTIVE ORDERS The following clauses are Incorporated in this Lease by reference. The text of Incorporated terms may be found in the Postel Service's Supplying Principles and Practices,accessible atwwww usos mm/oublirations, Clause 1-5,Gafuffies or Gigs(March 2006) Clause 1-6,Contingent Fees(March 2006) Clause 9-3,DaV15-Bacon Act(Merch 2006)1 Clause 9-0,EgualOpportunity(March 200V Clause 9-13,ARrmavVe Action for Handicapped Workers(March 2005)' Clause 9-14,AMrmafive Action forOlsablad Vetemns and Vefeans of the Vietnam Em(March 2006)° Clause&25,Adverffs1w of ConfacfAwards (March 2D06) Note: For purposes of applying the some standard clauses to this Lease,the tenos'supplier,^contractor,'and lessor are synonymous with 'L.milb ;and the term'conlad'is synonymous with'Lease.• 'For premises with net interior space In excess of 6,500 SF and involving construction work mer$2,000. 2 For leases aggregating payments of$10,000 or more. ' Fort.....aggregating payments of$1%000 m more. ' For leases aggregating payments of$25,000 or Tore. gencond Oct 2006 oc.3 JUIVITEOSTATES Maintenance Rider POSTALSERVICE. Landlord Responsibility 1. The Landlord shall, except as otherwise specified herein and except for damage resulting from the act or negligence of Postal Service agents or employees, maintain the demised premises, including the building and any and all equipment, fixtures, systems, and appurtenances,whether severable or non-severable, furnished by the Landlord under this Lease, in good repair and tenantable condition, during the continuance of the Lease. Landlord's duties tI�V Include repair and replacement as necessary. Landlord will be responsible for regular cleaning of II. '\ any other gutters, downspouts, troughs, scuppers, roof drains, etc. II`1 For the purpose of so maintaining said premises and property, the Landlord may,at reasonable times, and upon reasonable notice to the facility manager, enter and inspect the same and make any necessary repairs thereto. 2. Landlord Is responsible for inspection, prevention and eradication of termites and any other wood-eating insects and for repairs of any damage resulting therefrom during the continuance of the Lease. 3. Landlord shall paint all interior and exterior previously painted surfaces as follows: no later than six (6) months following the start of the lease, and at least once every five(5)years during the continuance of the lease unless required more often because of damage from fire or other casualty, or unless the time period is specifically modified In writing by the Contracting Officer. Landlord Is required to apply only one coat of paint. USPS will be responsible for cost of additional coals of paint, including application costs. USPS will be responsible for movi ng furniture and equipment away from walls as required, 4. Any heating system furnished by Landlord must be properly sized for the facility, must be in good working order, and must be maintained and, If necessary, replaced by Landlord to ensure proper operation during the continuance of the Lease and in accordance with this Maintenance Rider; such system must be capable of providing a uniform temperature of at least 65 degrees Fahrenheit(657.)in all enclosed porfons of the demised premises (excluding the rear vestibule)at all times. Regardless of whether Landlord Is required by the Lease to provide fuel for a heating system, any Investigative or remediation cost associated with a release of fuel from the system, including any fuel tank, shall be the responsibility of the Landlord, unless the release Is caused by the act or negligence of the Postal Service or Its agents. The Postal Service shall be responsible for regular replacement of(Iters, Boilers (heating and hot water supply)and unfired pressure vessels provided by the Landlord as part of the leased premises shall be maintained and, if necessary, replaced by the Landlord in accordance with ASME Boller and Pressure Vessel Code, Sections IV, VI, and VIII; National Fire Prevention Association (NFPA)-70, National Electric Code; and/or ASME Safety Code No. CSD-1, Controls and Safety Devises for Automatically Fired Boilers;ASME At 8.1, Safely Standard for Platform Lifts and Chaidifts; NFPA-54, National Fuel Gas Code; and NFPA-31, Oil Burning Equipment Code, as applicable, or as required by local ordinances. Current safety certificates issued by an organization recognized by the National Board of Boiler and Pressure Vessel Inspectors or a federal, stale or municipal authority which has adopted the American National Standard Inslilute/American Society of Mechanical Engineers(ASME) Boller and Vessel Code, must be provided by the Landlord for boilers and unfired pressure vessels. In the event local jurisdictions do not require periodic inspection of such equipment,the Postal Service shall have the right to conduct inspections in accordance with the aforesaid codes, and may issue safety certificates, as appropriate. 5. Any elevators, escalators and dumbwaiters provided by the Landlord as part of the leased premises shall be maintained, and, if necessary, replaced by the Landlord during the continuance of the Lease In accordance with ASME At 7.1, Safety Code for Elevators, Escalators, Dumbwaiters, and Moving Walks;ASME A17.2, Elevator Inspectors Manual; ASME A17.3 Safety Code for Existing Elevators and Escalators;ASME A17.4, Emergency Evacuation Procedures for Elevators;and ASME A77.5, Elevator and Escalator Electrical Equipment. Landlord must ensure that current safety certificates for elevators, dumbwaiters and escalators are Issued by an organization authorized to inspect in accordance with the ANSPASME Code for Elevators. Dumbwaiters and Escalators or appropriate federal, state or municipal authority. In the event local jurisdictions do not require periodic inspection of such equipment, the Postal Service shall have the right to conduct inspections in accordance with the aforesaid codes, and may issue safety certificates, as appropriate. c.,,a,omm.mi ocsooc. UNITEOSTATES POSTALSERVICE. Maintenance Rider Landlord Responsibility 6.. Any air-conditioning equipment furnished by Landlord must be properly sized for the facility, must be In good working order, and must be maintained and, If necessary, replaced by Landlord to ensure proper operation during the continuance of the Lease and in accordance with this Maintenance Rider; air-conditioning must be capable of providing a uniform temperature of no greater than 78 degrees Fahrenheit (78°F.)in all enclosed portions of the demised premises at all limes. Landlord shall be responsible for servicing of the air-conditioning equipment during the continuance of the Lease, including, refrigerant as required for proper operation of the equipment, The Postal Service shall be responsible for regular replacement of filters. 7. Any electrical/power system furnished by Landlord must be properly sized for the facility, must be In good working order, and must be maintained and, If necessary, replaced by Landlord to ensure proper operation during the continuance of the Lease and in accordance with this Maintenance Rider. 8. Any wiring, including, but not limited to,wiring for the Electronic Security and Surveillance Equipment (ESS), Closed Circuit Television (CCN), Very Small Aperture Terminal (VSAT), Criminal Investigation System (CIS), Intrusion Detection System (IDS), etc., Installed by the Landlord shall be maintained, and If necessary, replaced by the Landlord during the continuance of the Lease. However, the Landlord shall not attempt any maintenance of, or repair of, or Interfere with, the actual security, telephone, or telecommunications equipment, such as cameras, consoles, monitors, satellite dishes, telephone handsets, and Point-of-Service(POS)equipment. 9. Whether public or private water or sewer systems are provided, said systems are to be maintained and replaced by the Landlord during the continuance of the Lease, including any inspections that may be required. 10. If the demised premises or any portion thereof are damaged or destroyed by fire or other casualty,Acts of God, of a public enemy, riot or insurrection, vandalism,or are otherwise determined by the Postal Service to be unfit for use and occupancy, or whenever there is a need for maintenance, repair, or replacement which is the Landlord's obligation under this Maintenance Rider, the Postal Service will require the Landlord to rebuild or repair the premises as necessary to restore them to tenantable condition to the satisfaction of the Postal Service, The Postal Service will, except In emergencies, provide the Landlord with written notice stating a reasonable time period for completion of all necessary repairs. (A copy of any such notice shell be sent to the Landlord's mortgagee and any assignee of monies due or to become due under this Lease whose names and addresses have been furnished to the Postal Service by the Landlord. Failure to give such written notice to the Landlord or to the mortgagee or assignee shall not affect the Postal Service's rights to recover expended costs under this provision, provided that the costs expended by the Postal Service are reasonable In amount.) The Postal Service, acting through the Contracting Officer, may proportionately abate the rent for any period the premises, or any part thereof,are determined by the Postal Service to have been rendered untenantable, or unfit for use and occupancy, by reason of such condition. If the Landlord (or the mortgagee or assignee, on behalf of the Landlord)fails to prosecute the work with such diligence as will ensure its completion within the time specified in the notice (or any extension thereof as may be granted at the sole discretion of the Postal Service), or fails to complete the work within said time, the Postal Service shall have the right to perform the work(by contract or otherwise), and withhold the cost plus any administrative cost and/or interest, from rental payments due or to become due under this Lease, Alternatively, the Contracting Officer may, if the demised premises are determined to be untenantable or unfit for use or occupancy, with reasonable discretion, cancel this Lease in Its entirety, without liability. The remedies provided In this section are non-exclusive and are in addition to any remedies available to the Postal Service under applicable law. 11. The Landlord must: a. comply with applicable Occupational Safely and Health Standards, title 29 Code of Federal Regulations (CFR) (Including but not limited to Pads 1910 and 1926), promulgated pursuant to the authority of the Occupational Safety and Health Act of 1970 (OSHA); and �.,mervm.mr ovzoov. )Uu/JIrEOSTArES Maintenance Rider POSM SERVICE. Landlord Responsibility Ix comply with any other applicable federal, state, or local regulation governing workplace safety to the extent they are not In conflict with a; and c. take all other proper precautions to protect the health and safety of. (1) any laborer or mechanic employed by the Landlord In performance of this agreement; and (2) Postal Service employees; and (3) the public. The Landlord must Include this clause in all subcontracts hereunder and require Its inclusion in all subcontracts of a lower tier. The tens"Landlord" as used In this clause in any subcontract must be deemed to refer to the subcontractor. L-dI.M.00 NUN.. UNITED STATES Tax Rider i POSTALSERVICE- Percentage Reimbursement of Paid Taxes Facility Na naJIocation DUBUQUE-MAIN OFFICE(182810-001) County:Dubuque 350 W 8TH ST STE 109, DUBUQUE, IA 52001-9998 Project:E18543 Assessor's Parcel Number: 1025211001 a. Definitions Ad Valorem means according to the value of the property. Property Tax Rate Is an amount expressed as dollars and cents per$100.00 or per$1,000.00 of assessed value or as mills per$1.00 of assessed value as set by authorities for tax Jurisdictions, which Is applied to the value of the land, Improvements on the land,or both,to determine some kinds of Real Property Taxes. Real Property Taxes, as used in this clause, shall mean those taxes, Including Ad Valorem taxes, special assessments, fees and charges, that are assessed against any or all taxable real property appearing on the assessment roll or list in a taxing authority's Jurisdiction and that are Identified by a taxing authority for the support of government activities within Its jurisdiction, whether such activities are general or specifically identified. Real Property Taxes also Include administrative charges or fees imposed by a taxing authority, Including those for the support of its assessment and collection activities. b. The Landlord agrees to pay all taxes of any kind, Including Real Property Taxes, and fees of every kind and nature levied on the demised premises. c. The Postal Service will reimburse Landlord 31.74% ("Tenant's Share") of the total paid Real Properly Taxes, as defined above,only under the following terms: 1. Landlord may submit not more than one request for reimbursement in any calendar year, irrespective of the number of taxing authorities included; and reimbursement will be made not more than one time annually by the Postal Service. 2 No reimbursement will be made for fines,penalties,interest or costs imposed for late payment. 3. Reimbursement will be made only for net paid taxes, less Tenant's Share of the maximum discount allowed by the taxing authority for prompt or early payment,regardless of whether Landlord actually received any such discount. 4. Reimbursement will be made only for taxes levied for periods of time within the term of this lease. 5. In order to qualify for reimbursement, the tax bill as Issued by the taxing authority must Include the demised premises. fi. Landlord must provide copies of the front and back of the complete tax bill issued by the taxing authority, along with satisfactory proof of payment. Satisfactory proof of payment shall be (1) a receipt for payment shown on the face of the tax bill, (11)a copy of the front and back of the canceled payment check,(Iii) a statement from a lender verifying payment of the tax, or(iv) other documentation satisfactory to the Postal Service. 7. Incomplete or improper requests for reimbursement will be returned to Landlord without payment. 8. Landlord agrees to submit a request for reimbursement of taxes within 18 months after the close of the tax year. In the event Landlord falls to submit its request for reimbursement within that time period,the USPS is not required to reimburse paid taxes. d. The Landlord must Promptly furnish to the Postal Service copies of all notices that may affect the valuation of the demised premises for Real Property Tax purposes or that may affect thelevy or assessment of Real Property Taxes thereon. If Landlord does not timely furnish such notices relating to valuation changes or the levy or assessment of taxes or fails to meet any legal prerequisite for appeal and the Postal Service loses the right to contest the validity or the amount of the taxes, then the Postal Service shall be responsible to reimburse Landlord for only 75%of Tenant's Share of the reimbursable taxes due for the year involved. February 2004 T-1 gT ��,, UNlTEDST J0ES Tax Rider POST SESERVlCE. Percentage Reimbursement of Paid Taxes All notices required under this paragraph must be delivered or mailed,using certified mall with a return receipt or other varified method of delivery,within ten(10)days from the receiptthereof by the Landlord to: CONTRACTING OFFICER Western FSO 160 INVERNESS DRIVE WEST SUITE 400 ENGLEWOOD,CO 80112-5005 or to such other office as the Postal Service may later direct in writing. e. The Postal Service may contest the validity of any valuation for Real Property Tax purposes or of any levy or assessment of any Real Property Taxes by appropriate proceedings either in the name of the Postal Service or of the Landlord or in the names of both. Notwithstanding any contest of valuation, Property Tax Rate, levy Or assessment, Landlord must pay under protest the Real Property Taxes involved when requested to do so by the Postal Service, The Landlord, upon reasonable notice and request by the Postal Service, must join In any proceedings, must cooperate with the Postal Service,and must execute and file any documents or pleadings as the Postal Service may require for such proceeding, provided the Landlord Is reasonably satisfied that the facts and data contained therein are accurate. Landlord will not be responsible for the payment of penalties, costs, or legal expenses in connection with any protest or appeal proceedings brought by the Postal Service, and the Postal Service will Indemnify and save harmless the Landlord from any such penalties, costs, or expenses. Landlord hereby authorizes the Postal Service as its agent to represent its interest in any appeal or protest proceeding authorized under this paragraph. f. Landlord shall promptly notify the Postal Service of any appeal or other action it takes or Initiates to adjust any valuation of the property, Property Tax Rate, or levy or assessment of Real Property Taxes. The Postal Service is entitled to Tenant's Share of any and all monies obtained through such actions or any other refunds or remissions of Real Property Taxes paid in any year subsequent to the commencement of the lease. If any such refunded or remitted monies are paid or delivered to Landlord, Landlord must immediately forward them to the Postal Service. If Landlord is informed that he Is entitled to a refund or remission of monies paid as Real Property Taxes upon the submission of an application, Landlord will promptly make and file such appiicabon, and upon receipt of such refund or remission, immediately forward it to the Postal Service. The Postal Service reserves the right to offset Tenant's Share of refund and remission payments not so obtained or forwarded, against rental or other payments due the Landlord. g. The Postal Service Is entitled to the benefits of all tax exemptions or abatements authorized by law or regulation that may be available with respect to the demised premises. Landlord shall take all necessary steps to obtain such exemptions or abatements. The Postal Service reserves the right to offset against rental or other payments due the Landlord the amount or value of any abatement or exemption that would have been available if Landlord had properly applied for It, and any amount for which the Postal Service Is not to be responsible under paragraph (d), above. h. Nothing herein contained shall operate to waive or deprive the Postal Service of any rights, privileges or immunities It enjoys under law. I. The Tenant's Share, shown In paragraph (c) above, Is based on the percentage of the building that the Postal Service occupies In relation to all of the leasable areas, and was computed as follows: USPS occupies 31.74% of the building as shown on page 1 of the lease. j. In the event that the site is enlarged or decreased, or the building is altered In any way that may affect the assessment value of the total property, the percentage shown in paragraph c. above, shall be recomputed to reflect the correct proportion of the value of the demised premises to the relative value of the total property. February 2W6 T-2 �r UNITED STATES Tax Rider POSTIL SERVICE. Percentage Reimbursement of Paid Taxes All notices required under this paragraph must be delivered or mailed, using certified mail with a return receipt or other verified method of delivery, within ten (10)days from the receipt thereof by Me Landlord to: CONTRACTING OFFICER Western FSO 160 INVERNESS DRIVE WEST SUITE 400 ENGLEWOOD. CO 80112-5005 or to such other office as the Postal Service may later direct in writing, e. The Postal Service may contest the validity of any valuation for Real Property Tax purposes or of any levy or assessment of any Real Property Taxes by appropriate proceedings either in the name of the Postal Service or of the Landlord or In the names of both. Notwithstanding any contest of valuation, Property Tax Rate, levy or assessment, Landlord must pay under protest the Real Property Taxes involved when requested to do so by the Postal Service, The Landlord, upon reasonable notice and request by the Postal Service, must join in any proceedings, must cooperate with the Postal Service, and must execute and file any documents or pleadings as the Postal Service may require for such proceeding, provided the Landlord is reasonably satisfied that the facts and data contained therein are accurate. Landlord will not be responsible for the payment of penalties, costs, or legal expenses In connection with any protest or appeal proceedings brought by the Postal Service, and the Postal Service will indemnify and save harmless the Landlord from any such penalties, costs, or expenses: Landlord hereby authorizes the Postal Service as its agent to represent Its Interest In any appeal or protest proceeding authorized under this paragraph. I. Landlord shall promptly notify the Postal Service of any appeal or other action it takes or initiates to adjust any valuation of the property, Property Tax Rate, or levy or assessment of Real Property Taxes. The Postal Service is entitled to Tenant's Share of any and all monies obtained through such actions or any other refunds or remissions of Real Property Taxes paid In any year subsequent to the commencement of the lease. If any such refunded or remitted monies are paid or delivered to Landlord, Landlord must Immediately forward them to the Postal Service. If Landlord is informed that he is entitled to a refund or remission of monies paid as Real Property Taxes upon the submission of an application,Landlord will promptly make and file such application, and upon receipt of such refund or remission, immediately forward it to the Postal Service. The Postal Service reserves the right to offset Tenant's Share of refund and remission payments not so obtained or forwarded, against rental or other payments due the Landlord_ g. The Postal Service is entitled to the benefits of all tax exemptions or abatements authorized by law or regulation that may be available with respect to the demised premises. Landlord shall take all necessary steps to obtain such exemptions or abatements. The Postal Service reserves the right to offset against rental or other payments due the Landlord the amount or value of any abatement or exemption that would have been available if Landlord had properly applied for It, and any amount for which the Postal Service is not to be responsible under paragraph (d), above. h. Nothing herein contained shall operate to waive or deprive the Postal Service of any rights, privileges or immunities It enjoys under law. 1. The Tenant's Share, shown in paragraph (c) above, Is based on the percentage of the building that the Postal Service occupies In relation to all of the leasable areas,and was computed as follows: USPS occupies 31.74%of the building as shown on page 1 of the lease. J. In the event that the site is enlarged or decreased, or the building Is altered In any way that may affect the assessment value of the total property, the percentage shown In paragraph c. above, shall be recomputed to reflect the correct proportion of the value of the demised premises to the relative value of the total property. February 2004 T-2 �UIVITEDSTATES POST/3LSERVICE Utilities, Services, & Equipment Rider Facility NamelLocatan DUBUQUE-MAIN OFFICE(182610-001) County:Dubuque 350 W 5TH ST STE 109, DUBUQUE, IA 52001-9998 Project:El 8543 1. HEAT Landlord must furnish heating system in good working order,together with all fuel required for proper operation of the system, in accordance with the Maintenance Rider, during the continuance of the Lease. Any investigative or remediation cost associated with a release of fuel from the system, including any fuel tank, shall be the responsibility of the Landlord, unless the release is caused by the act or negligence of the Postal Service or Its agents. 2. AIR CONDITIONING Landlord must furnish air-conditioning equipment in good working order,together with all power required for proper operation ofthe equipment, in accordance with the Maintenance Rider,during the continuance of the Lease. 3. ELECTRICITY Landlord must furnish an electrical system In good working order, in accordance with the Maintenance Rider, and pay for all recurring electric bills, during the continuance of the Lease. 4. LIGHT Landlord must provide light fixtures in good working order, in accordance with the Maintenance Rider,during the continuance of the lease. Landlord is not responsible for replacement of light bulbs. February 2004 U-1 UMITEDST21TES AMM POSTAL SERVICE. Utilities, Services, & Equipment Rider 5. WATER Landlord must furnish a potable water system in good working order, in accordance with the Maintenance Rider,and pay for all recurring water bills, during the continuance of the Lease. 6. SEWER Landlord must furnish a sewer system in good working order,in accordance with the Maintenance Rider,and pay for all recurring sewer bills, during the continuance of the Lease. 7. TRASH The Postal Service agrees to furnish and pay for all trash removal for the demised premises during the continuance of the Lease, B. SNOW The Landlord agrees to furnish and pay for the snow removal from the roof and the sidewalks, driveway, parking and maneuvering areas, and any other areas providing access to the postal facility for use by postal employees,contractors, or the public(including, but not limited to, stairs, handicap access ramps, carrier ramps,etc.)during the continuance of the Lease. Febmary 2004 U-2 UNITEDSTATES POSTAL SERVICE. Mortgagee's Agreement (To be executed and attached to lease) Facility Name/Lamtion DUBUQUE-MAIN OFFICE(182610-001) County: Dubuque 350 W 6TH ST STE 109, DUBUQUE, IA 52001-9998 Project: E18543 The undersigned,Holder(s)of a mortgage(or similar encumbrance,such as a Deed of Trust),in the sum of on the property situated at: hereby consent(s) to the leasing of said property to the U.S.Postal Service and agree(s)for Itself, Its successors, executors,administrators, and assigns that in the event It should become necessary to: a)foreclose said mortgage or similar encumbrance,the Mortgagee will cause the sale of said premises to be made subject to said lease;or, b)take any other action laminating the mortgage or transferring title, the Mortgagee will cause such action to be made subject to said lease. MORTGAGEE Name of Medgage Company By: wun. / Its: M Signature Mortgagee's Officer TIHe o(Mortgegee'a Clfcar d 1I1RI/�� ` SUaet Address Clty,Siate and 21P+4 Subscribed and Sworn to before me, a notary public,in and for County, State of this day of Notary Public My commission expires February 2004 M-1 WESTERN FACILmES SERVICE OFFICE ` �/ UNITEDSTATES POSTAL SERVICE June 4, 2012 CITY OF DUBUQUE FINANCE DEPT CITY HALL 50 W 13TH STREET Dubuque, lA 52001-4662 SUBJECT. United States Post Office-350 W 6'" ST,STE 124 Dubuque, IA 52001-9998 Dear Lessor: The Postal Service is pleased to inform you that we have been authorized to renew our lease"with modification only"at the above mentioned location. Therefore, enclosed are copies of an Amendment agreement for your review. The rent for the renewal period was developed using sound appraisal principles. We request that no modifications be made to the amendment unless first discussed. Should the Amendment meet with your approval, please sign, witness and date, where indicated and return to my attention using the enclosed postage-paid envelope The following instructions have been added for your convenience to help expedite the matter: • Please date the agreement at the top of page 2 on the date that you sign it. • Your signature(s) must be witnessed by two parties OR notarized,whichever is easiest for you. • Updated W-9(s) required. Notice: All owners of record are advised to read the Amendment thoroughly to ensure that each party is in agreement with the terms and conditions of this contract. Please note: A Termination Option has been added to the Lease language. USPS requires a termination option in all leases. This is non-negotiable. The Postal Service respectfully requests that the signed documents be returned within 10 days of receiving them. Should the Lease Amendment not be returned in a timely manner, the Postal Service will view this as an inability to come to terms and a loss of leasehold_ The Postal shall then take the appropriate steps needed to begin vacating the premises. Please contact me at 303.227.5658 to discuss any modifications, or should you have any questions. Thank you for providing this facility for US Postal Service use, Sincerely, i i Garry Matt Real Estate Specialist Enclosures 7500EAST53P°STREET, RM110M DENVER CO 80288-9918 W .usp MM UNITEDSTATES Lease Amendment POSTAL SERVICE. Facility Name/Location MAIN OFFICE(182610-001) Amendment No: 001 350 W 6TH ST STE 124, DUBUQUE, IA 52001-9996 Lease: E00000214698 This refers to the Lease accepted by the United States Postal Service, hereinafter called the Postal Service, under date of 10/19/2007 whereby there is leased to the Postal Service the above-described facility. WHEREAS, the Postal Service desires and Landlord is willing to amend the Lease as specified below; NOW THEREFORE, in consideration of the mutual covenants and agreements herein set forth, and for other good and valuable consideration, the sufficiency of which is hereby acknowledged, the parties do hereby agree as follows, effective on the date this document is executed by the Postal Service. During the term of the Second Renewal Option effective 10-01-2012 thru 09/30/2017, the Postal Service may terminate this lease with a 90Aay written notice to the Lessor. In all other respects, the Lease shall remain the same and is hereby confirmed. F,b,�.ry 20041 UNITEDSTATES Lease Amendment POSTAL SERVICE EXECUTED BY LANDLORD this day of , CORPORATION City of Dubuque By executing this Lease Amendment,Landlord cedlfies that Landlord is not a USPS employee or contract employee(or an immediate family member of either),ora business organization substantially owned or controlled by a USPS employee or contract employee(or an immediate family member of either). By: Name&Title Roy Buol,Mayor Name&Title ralydatl `fR41�€L City Clark Kevin S. Firnstahl, City Clerk Name&Title Name&Title Name&Title Name&Title Landlord's Name: CITY OF DUBUQUE FINANCE DEPT email: Ischneldfigici y0f lubuque.org and address CITY HALL 50 W 13TH STREET DUBUQUE,IA Zip-4: 52001-4662 Landlord's Telephone Numbers:: (0589-4121 FAX: (563)589-0890 Social Security No.or Federal Tax Identification No.; XX XXX4596 Witness Witness a. Where the Landlord is a corporation,leases and lease amendments entered into must have the corporate seal affixed or in place thereof the statement that the corporation has no seal. b. Where the Landlord is a corporation,municipal corporation, non-profit organization,or fraternal order or society,the Lease Amendment must be accompanied by documentary evidence affirming the authority of the agent,or agents,to execute the Lease Amendment to bind the corporation, municipal corporation,non-profit organization,or fraternal order or society for which he(or they)purports to act. The usual evidence required to establish such authority is in the form of extracts from the articles of Incorporation,or bylaws,or the minutes of the board of directors duly certified by the custodian of such records,under the corporate seal. Such resolutions,when required,musk contain the essential stipulations embodied In the Lease Amendment. The names and official titles of the officers who are authorized to sign the Lease Amendment must appear in the document. c. Any notice to Landlord provided under this Lease Amendment or under any law or regulation must be in writing and submitted to Landlord at the address specified above,or at an address that Landlord has otherwise appropriately directed In writing. Any notice to the Postal Service provided under this Lease Amendment or under any law or regulation must be in writing and submitted to"Contracting Officer,U.S. Postal Service"at the address specified below,oral an address that the Postal Service has otherwise directed In writing. ACCEPTANCE BY THE POSTAL SERVICE Date: Candace S Kinne Contracting Officer Signature of Contracting Officer Western FSO 7500 FAST53RD PLACE,RM 1108,DENVER,CO 80266-9918 Address of Contracling Officer Signature Paye Icamaauanl onme LEASE AGREEMENT BETWEEN THE CITY OF DUBUQUE, IOWA AND DISTek INTEGRATION, INC. This Lease Agreement (the Lease) dated for reference purposes the 1st day of July 2016 by and between the City of Dubuque, Iowa (Landlord) whose address for the purpose of this Lease is 50 West 131h Street, Dubuque IA 52001, and DISTek Integration, Inc. (Tenant) whose address for the purpose of this Lease is DISTek Integration, Inc., 6612 Chancellor Drive, Suite 600, Cedar Falls, Iowa 50613. SECTION 1. PREMISES AND TERM. 1.1 Landlord, in consideration of the rents, agreements and conditions herein contained, leases to Tenant and Tenant leases from Landlord, according to the terms of this Lease, the following described premises (the Leased Premises) situated in Dubuque County, Iowa: 165 sq. feet, 3rd floor Federal Building, located at 350 West 611 Street, Room 354 as shown on Exhibit A with the improvements thereon, and all rights, easements and appurtenances, which, more particularly, includes the space and premises as may be shown on attached Exhibit A, for a term of one (1) year (the Initial Term), commencing July 1, 2016 (the Commencement Date), and ending at 11:59 p.m. on June 30, 2017, upon the condition that Tenant pays rent therefor, and otherwise performs as in this Lease provided. 1.2 Tenant has the option of renewing this Lease for two (1) one-year terms (the Renewal Terms) provided Tenant delivers notice of the exercise of such option not less than 60 days prior to the end of the then current term. 1.3 During the Term, Tenant is also permitted to use the conference room which is available to all tenants. Tenant shall also have the right to use, in common with others, (a) the entrances, lobbies, stairs, elevators and corridors necessary for access to the Leased Premises, (b) the lavatories in the building; (c) the driveways and walkways necessary for access to the building, and (d) such other common areas and facilities as Landlord may designate from time to time ((a) through (d), collectively, the "Common Areas"). SECTION 2. RENTAL. Tenant agrees to pay to Landlord as rental for the Initial Term as follows: 062016cmb 2.1 Tenant will pay to Landlord as monthly rent for the Leased Premises the sum of $1,980.00 [$12.00/sq. ft. (the Base Rent)] commencing on July 1, 2016 and on the 151 day of each month thereafter during the Initial Term of this Lease. All sums must be paid to the Finance Department at the address of Landlord, as above designated, or at such other place in Iowa, or elsewhere, as Landlord may, from time to time, designate in writing. Delinquent payments will draw interest at the lower of 9% per annum from the due date or the maximum rate permitted law, until paid. 2.2 If Tenant exercises an option to renew, beginning July 1, 2017, the Base Rent will be increased annually by three percent (3%) of the previous year's Base Rent. SECTION 3. POSSESSION. Tenant will be entitled to possession on the first day of the Term of this Lease, and must yield possession to Landlord at the end of the Lease Term, except as herein otherwise expressly provided. SECTION 4. USE OF PREMISES. Tenant covenants and agrees during the Term of this Lease to use and to occupy the Leased Premises only for business use. SECTION 5. QUIET ENJOYMENT. Landlord covenants that its estate in said Leased Premises is in fee simple and that Tenant, if not in default, will peaceably have, hold and enjoy the Leased Premises for the Term of this Lease. Landlord has the right to mortgage all of its right, title, and interest in said Lease Premises at any time without notice, subject to this Lease. SECTIONS. EQUIPMENT, DECORATING, REPLACEMENT, REPAIR AND MAINTENANCE. 6.1 Definitions. (1) "Maintain" means to clean and keep in good condition. (2) "Repair" means to fix and restore to good condition after damage, deterioration or partial destruction. 6.2 Condition of Premises. Tenant takes the Leased Premises in its present condition, except for such repairs and alterations as may be expressly otherwise provided in this Lease. 6.3 Repairs and Maintenance. (1) Landlord must replace and repair the structural parts of the building. For purposes of this Lease, the structural parts of the building are (a) the foundation, exterior walls, load bearing components of interior floors and walls, and the roof; (b) the mechanical, plumbing, electrical, HVAC and other building systems; and windows, plate glass and electrical fixtures outside of the structure. 2 (2) Landlord is responsible for maintenance of all common area under Landlord's control. Tenant is responsible for all maintenance within the Leased Premises. (3) Each party must perform its responsibilities of repair and maintenance to the end that the Leased Premises will be kept in a safe and serviceable condition. Neither party will permit nor allow the Leased Premises to be damaged or depreciated in value by any act, omission to act, or negligence of itself, its agents or employees. 6.4 Equipment. Decorating and Alterations. (1) If Tenant desires for the following items of equipment, furnishings and fixtures to be replaced, they will be supplied and replaced by the parties as follows: Blinds: Tenant CarpettVinyl: Tenant (2) The foregoing equipment, furnishings or fixtures to be supplied by Tenant are subject to Landlord's prior written approval as to quality and method of installation. Such approval shall not be unreasonably withheld. Tenant will provide all trade equipment, furnishings and fixtures used in connection with the operation of its business, such as telephones, computers, desks, chairs, shelving and similar items. (3) Tenant is be responsible for all interior decorating. Tenant may not make any structural alterations or improvements without the prior written consent of Landlord. 6.5 Americans with Disabilities Act. Tenant will make no unlawful use of the Leased Premises and agrees to comply with all valid regulations of the Board of Health, City Ordinances or applicable municipality, the laws of the State of Iowa and the Federal government, but this provision is not to be construed as creating any duty by Tenant to members of the general public, provided, however, responsibility for compliance with the Americans with Disabilities Act will be performed and paid for by the parties as follows: Common areas Landlord: 100% Tenants' area Initial compliance (specify) Landlord: 100% Future compliance Landlord: 100% SECTION 7. UTILITIES, SERVICES, PROPERTY TAXES. Utilities and services will be furnished and paid for by the parties as follows: 3 PROVIDED BY: PAID BY: % Landlord % Tenant Electricity Landlord 100 0 Gas Landlord 100 0 Water and Sewer Landlord 100 0 Garbage/Trash Landlord 100 0 Property Taxes Tenant 0 100 Janitor/Cleaning Tenant 0 100 Common areas Landlord 100 0 Other: Tenant 0 100 Tenant agrees to reimburse Landlord for the property taxes attributable to the Leased Premises and paid by Landlord within thirty (30) days after receipt of a statement from Landlord for such property taxes. SECTION B. TERMINATION, SURRENDER OF PREMISES AT END OF TERM -- REMOVAL OF FIXTURES. 8.1 Termination. This Lease will terminate upon expiration of the original Term; or if this Lease expressly provides for any option to renew, and if any such option is exercised by Tenant, then this Lease will terminate at the expiration of the Renewal Term or Terms. 8.2 Surrender. Tenant agrees that upon termination of this Lease it will surrender and deliver the Leased Premises in good and clean condition, except the effects of ordinary wear and tear and depreciation arising from lapse of time, or damage without fault or liability of Tenant. 8.3 Holding Over. Continued possession by Tenant, beyond the expiration of its tenancy, coupled with the receipt of the specified rental by Landlord (and absent a written agreement by both parties for an extension of this Lease, or for a new lease) will constitute a month to month extension of this Lease. 8.4 Removal of Fixtures. Tenant may, at the expiration of its tenancy, if Tenant is not in default, remove any fixtures or equipment which Tenant has installed in the Leased Premises, providing Tenant repairs any and all damages caused by removal. SECTION 9. ASSIGNMENT AND SUBLETTING. Any assignment of this Lease or subletting of the Leased Premises or any part thereof, without Landlord's written permission will, at the option of Landlord, make the rental for the balance of the Lease Term due and payable at once. Such written permission may not be unreasonably withheld. SECTION 10. INSURANCE. 4 10.1 Property Insurance. Landlord and Tenant agree to insure their respective real and personal property for the full insurable value. Such insurance must cover losses included in the Insurance Services Official Broad Form Causes of Loss (formerly fire and extended coverage). 10.2 Liability Insurance. Tenant must at all times during the Term of this Lease provide insurance as described in the attached Insurance Schedule (Exhibit B) as such schedule may from time to time be revised by Landlord. 10.3 Certificates Of Insurance. Prior to the time this Lease takes effect Tenant will provide Landlord with a certificate of insurance with these property and liability insurance requirements. A renewal certificate must be provided prior to expiration of the current policies. 10.4 Acts by Tenant. Tenant will not do or omit doing any act which would invalidate any insurance, or increase the insurance rates in force on the Leased Premises. 10.5 Recommendations - Iowa Insurance Services Office. Tenant further agrees to comply with recommendations of Iowa Insurance Services Office and to be liable for and to promptly pay, as if current rental, any increase in insurance rates on said premises and on the building of which said Leased Premises are a part, due to increased risks or hazards resulting from Tenant's use of the Leased Premises otherwise than as herein contemplated and agreed. 10.6 Cony of Lease to Insurer. Landlord and Tenant must each provide a copy of this Lease to their respective insurers. SECTION 11. LIABILITY FOR DAMAGE. Each party shall be liable to the other for all damage to the property of the other negligently, recklessly or intentionally caused by that party (or their agents, employees or invitees), except to the extent the loss is insured and subrogation is waived under the owner's policy. SECTION 12. INDEMNITY. To the extent permitted by Iowa Code Chapter 669 and other applicable laws, Tenant agrees to indemnify and hold harmless Landlord, its officers and employees, from and against any and all claims of any kind arising out of or related to Tenant's negligent or wrongful acts or omissions in connection with its performance of its obligations in this Lease. SECTION 13. FIRE AND CASUALTY. 13.1 Partial Destruction of Premises. In the event of a partial destruction or damage of the Leased Premises, which is a business interference which prevents the conducting of a normal business operation and which damage is repairable within 60 days after its occurrences, this Lease will not terminate but the rent for the Leased Premises will be abated during the time of such business interference. In the event of a partial destruction, Landlord will repair such damages within 60 days of its occurrence unless 5 prevented from doing so by acts of God, government regulations, or other causes beyond Landlord's reasonable control. 13.2 Zoning. Should the zoning ordinance of the municipality in which this property is located make it impossible for Landlord to repair or rebuild so that Tenant is not able to conduct its business on the Leased Premises, then such partial destruction will be treated as a total destruction as provided in the next paragraph. 13.3 Total Destruction of Business Use. In the event of a destruction or damage of the Leased Premises so that Tenant is not able to conduct its business on the Leased Premises or the then current legal use for which the Leased Premises are being used and which damages cannot be repaired within 60 days, this Lease may be terminated at the option of either Landlord or Tenant. Such termination in such event will be effected by written notice of one parry to the other, within 20 days after such destruction. Tenant must surrender possession within 10 days after such notice issues and each party will be released from all future obligations, and Tenant must pay rent pro rate only to the date of such destruction. In the event of such termination of this Lease, Landlord at its option, may rebuild or not, at its discretion. SECTION 14. CONDEMNATION. 14.1 Disposition of Awards. Should the whole or any part of the Leased Premises be condemned or taken for any public or quasi-public purpose, each party is entitled to retain, as its own property, any award payable to it. Or in the event that a single entire award is made on account of the condemnation, each party will then be entitled to take such proportion of said award as may be fair and reasonable. 14.2 Date of Lease Termination. If the whole of the Leased Premises is condemned or taken, the Lease shall be deemed terminated, each party will be released from all future obligations and Tenant must pay rent pro rata only to the date of such termination. SECTION 15. DEFAULT, NOTICE OF DEFAULT AND REMEDIES. 15.1 Events of Default. Each of the following constitutes an event of default: (1) Failure of Tenant to pay rent when due. (2) Failure of a party to observe or perform any duties, obligations, agreements or conditions imposed pursuant to terms of the Lease. (3) Abandonment of the Leased Premises, in which "Abandonment" means Tenant has failed to engage in its usual and customary business activities on the Leased Premises for more than fifteen (15) consecutive business days. (4) Institution of voluntary bankruptcy proceedings in which the Court orders 6 relief against a party as a debtor; assignment for the benefit of creditors of the interest of a party under this Lease; appointment of a receiver for the property or affairs of a party, where the receivership is not vacated within ten (10) days after the appointment of the receiver. 15.2 Notice of Default. The aggrieved party must give the defaulting party a written notice specifying the default and giving the defaulting party ten (10) days in which to correct the default. If there is a default (other than for nonpayment of a monetary obligation of Tenant, including rent) that cannot be remedied in ten (10) days by diligent efforts, the defaulting party must propose an additional period of time in which to remedy the default. Consent to additional time may not be unreasonably withheld by the aggrieved party. The aggrieved party is not required to give the defaulting party any more than three notices for the same default within any 365 day period. 15.3 Remedies. In the event the defaulting party has not remedied a default in a timely manner following a Notice of Default, the aggrieved party may proceed with all available remedies at law or in equity, including but not limited to the following: (1) Termination. The aggrieved party may declare this Lease to be terminated and must give the defaulting party a written notice of such termination. In the event of termination of this Lease due to Tenant's default, Landlord is entitled to prove claim for and obtain judgment against Tenant for the balance of the rent agreed to be paid for the Term herein provided, plus all expenses of Landlord in regaining possession of the Leased Premises and the reletting thereof, crediting against such claim, however, any amount obtained by reason of such reletting. (2) Forfeiture. If a default by Tenant is not remedied in a timely manner, Landlord may then declare this Lease to be forfeited and must give Tenant a written notice of such forfeiture, and may, at the time, give Tenant the notice to quit provided for in Chapter 648 of the Iowa Code if a court determines that Chapter 648 is applicable to Tenant as a state agency. SECTION 16. RIGHT OF EITHER PARTY TO MAKE GOOD ANY DEFAULT OF THE OTHER. If default is made by either party in the performance of, or compliance with, any of the terms or conditions of this Lease, and such default continues for thirty (30) days after written notice thereof from one party to the other, the person aggrieved, in addition to all other remedies now or hereafter provided by law, may, but need not, perform such term or condition, or make good such default and any amount advanced will be repaid forthwith on demand, together with interest at the rate of 9% per annum, from date of advance or the maximum rate permitted law, whichever is less. SECTION 17. SIGNS. Tenant may not attach, paint or exhibit any signs on the Leased Premises. SECTION 18. MECHANIC'S LIENS. Neither Tenant nor anyone claiming by, through, 7 or under Tenant, may file or place any mechanic's liens or other lien of any kind or character whatsoever, upon said Leased Premises or upon any building or improvement thereon, or upon the leasehold interest of Tenant, and notice is hereby given that no contractor, sub-contractor, or anyone else who may furnish any material, service or labor for any building, improvements, alteration, repairs or any part thereof, may at any time be or become entitled to any lien on the Leased Premises, and for the further security of Landlord, Tenant covenants and agrees to give actual notice thereof in advance, to any and all contractors and sub-contractors who may furnish or agree to furnish any such material, service or labor. SECTION 19. [Intentionally Omitted]. SECTION 20. ENVIRONMENTAL. 20.1 Landlord. To the best of Landlord's knowledge to date: (1) Neither Landlord nor Landlord's former or present tenants are subject to any investigation concerning the Leased Premises by any governmental authority under any applicable federal, state, or local codes, rules and regulations pertaining to air and water quality, the handling, transportation, storage, treatment, usage, or disposal of toxic or hazardous substances, air emissions, other environmental matters, and all zoning and other land use matters. (2) Any handling, transportation, storage, treatment, or use of toxic or hazardous substances that has occurred on the Leased Premises has been in compliance with all applicable federal, state and local codes, rules and regulations. (3) No leak, spill release, discharge, emission or disposal of toxic or hazardous substances has occurred on the Leased Premises. (4) The soil, groundwater, and sail vapor on or under the Leased Premises is free of toxic or hazardous substances. (5) Landlord assumes liability and will Indemnify and hold Tenant harmless against all liability or expense arising from any condition which existed, whether known or unknown, at the time of execution of the Lease which condition Is not a result of actions of Tenant or which condition arises after date of execution but which is not a result of actions of Tenant. 20.2 Tenant. Tenant expressly represents and agrees: (1) During the Lease Term, Tenant's use of the Leased Premises will not Include the use of any hazardous substance without Tenant first obtaining the written consent of Landlord. Tenant understands and agrees that Landlord's consent is at Landlord's sole option and complete discretion and that such B consent may be withheld or may be granted with any conditions or requirements that Landlord deems appropriate. (2) During the Lease Term, Tenant will be fully liable for all costs and expenses related to the use, storage, removal and disposal of hazardous substances used or kept on the Leased Premises by Tenant, and Tenant must give immediate notice to Landlord of any violation or any potential violation of any environmental regulation, rule, statute or ordinance relating to the use, storage or disposal of any hazardous substance. (3) Tenant, at its sole cost and expense, agrees to remediate, correct or remove from the Leased Premises any contamination of the property caused by any hazardous substances which have been used or permitted by Tenant on the Leased Premises during any term of this Lease. Remediation, correction or removal must be in a safe and reasonable manner, and in conformance with all applicable laws, rules and regulations. Tenant reserves all rights allowed by law to seek indemnity or contribution from any person, other than Landlord, who is or may be liable for any such cost and expense. (4) To the extent permitted by Chapter 669 of the Iowa Code and other applicable law, Tenant agrees to indemnify and hold Landlord harmless from and against all claims, causes of action, damages, loss, costs, expense, penalties, fines, lawsuits, liabilities, attorney fees, engineering and consulting fees, arising out of or in any manner connected with hazardous substances, which are caused or created by Tenant on or after the date of this Lease and during any term of this Lease, including, but not limited to, injury or death to persons or damage to property, and including any diminution of the value of any Leased Premises which may result from the foregoing. This indemnity will survive the cessation, termination, abandonment or expiration of this Lease. SECTION 21. SUBSTITUTION OF EQUIPMENT, MERCHANDISE. ETC. 21.1 Tenant's Property. During its tenancy, Tenant has the right to sell or otherwise dispose of any personal property of Tenant situated on the Leased Premises, when in the judgment of Tenant it has become obsolete, outworn or unnecessary in connection with the operation of the business on the Leased Premises. 21.2 Inventory. Nothing herein contained will be construed as denying to Tenant the right to dispose of inventoried merchandise in the ordinary course of Tenant's trade or business. SECTION 22. RIGHTS CUMULATIVE. The various rights, powers, options, elections and remedies of either party, provided in this Lease, will be construed as cumulative and no one of them as exclusive of the others, or exclusive of any rights, remedies or priorities allowed either party by law, and may in no way affect or impair the right of either party to pursue any other equitable or legal remedy to which either party may be 9 entitled as long as any default remains in any way unremedied, unsatisfied or undischarged. SECTION 23. NOTICES AND DEMANDS. All notices, demands, or other writings in this Lease provided to be given or made or sent, or that may be given or made or sent, by either party to the other, will be deemed to have been fully given or made or sent when made in writing and deemed to have been fully given or made or sent when made in writing and deposited in the United States mail, registered, and postage prepaid, and addressed as follows: TO LANDLORD: City of Dubuque, Iowa c/o City Manager City Hall 50 West 1P Street Dubuque, Iowa 52001 TO TENANT: DISTek Integration, Inc. 6612 Chancellor Drive, Suite 600 Cedar Falls, Iowa 50613 SECTION 24. CONSTRUCTION. Words and phrases herein, including acknowledgment hereof, will be construed as in the singular or plural number, and as masculine, feminine, or neuter gender according to the context. SECTION 25. COMPLIANCE WITH LAW. During the term of this Lease, Tenant must comply with all laws applicable to Tenant's use of the Leased Premises. SECTION 26. MISCELLANEOUS. 26.1 Governing Law. It is agreed that this Lease will be governed by, construed, and enforced in accordance with the laws of the State of Iowa. 26.2 Paragraph Headings. The titles to the paragraphs of this Lease are solely for the convenience of the parties and will not be used to explain, modify, simplify, or aid in the interpretation of the provisions of this Lease. 26.3 Modification of Agreement. Any modification of this Lease or additional obligation assumed by either party in connection with this Lease will be binding only if evidenced in writing signed by each party or an authorized representative of each party. 26.4 Parties Bound. This Lease binds and inures to the benefit of and applies to the respective successors and assigns of Landlord and Tenant. All references in this Lease to "Landlord" or"Tenant" will be deemed to refer to and include successors and assigns of Landlord or Tenant without specific mention of such successors or assigns. SECTION 27. FORCE MAJEURE. In the event that either party hereto will be 10 delayed or hindered in or prevented from the performance of any act required hereunder by reason of strikes, lockouts, labor troubles, unavailability of construction materials, unavailability or excessive price of fuel, power failure, riots, insurrection, war, terrorist activities, explosions, hazardous conditions, fire, flood, weather or acts of God, or by reason of any other cause beyond the exclusive and reasonable control of the party delayed in performing work or doing acts required under the terms of this Lease (collectively Force Majeure), then performance of such act will be excused for the period of the delay and the period for the performance of any such act will be extended for a period equivalent to the period of such delay. CITY OF DUBUQUE, IOWA DISTek INTEGRATION, INC. By: Michael C. Van Milligan By. City Manager remy Y er Vice President DISTek® Integration, Inc. 6612 Chancellor Drive, Suite 600 Cedar Falls, Iowa 50613 11 EXHIBIT A THE LEASED PREMISES . \\ , � > \ \ \\\\ � � �� , b ��\ 12 EXHIBIT B INSURANCE SCHEDULE A City of Dubuque Insurance Requirements for Tenants and tessi of City Property or Vendors(Suppliers,Service Providers(,or Right of Way Permit Holders Ns Insurance Schedule A v Oz5'( shanrumhhasgneacaefioremmrum,almgmaw eiy tarhat quG mews roc Chemver eregremlin ezhAit I pdorm mnrrattalreenenmerremm[All lessees ofdry aa," and man orwey Pxmh Ha som"seblleten updated mi anmeulN.®dl onuoate shall bep ewnea on the most cerout ACORa fame appraued by the mpartnlan of Insurance or an equiwinR tach terHflace shil lndudea mtememundMoesnignn ofapeatiwu as<Owhy issued Eg: RvjM A boraseof PrelRsesat_vmnsvvaimaf aagMa/way permimd locum mtl dssoiptm 2. All Ouse,ofbuunrca requ'ved FAaeednr eiull be with.arderauthdusl to de barrass la 1.and afl aniert shaA haves Mang of 4 or better in the cartoon AAA.east's R ting Gnide 5. eadl Maistee thou be furbished to the contMeig department of the,car'y of aulmai 4. nature m pcawde irtnermmtmeMge shb cot be deemed a naiver of these requrmoonetryHre con of uubugne.faaurem obain mmaintin the requ"ved banotem Aal be considered.meierhl breach of Nisagrmenrmc S. Al required ellarsanents to wsiaer po5den that hemcbed to coniriateof buuMnce. a. WMnavr a rpaof IM Kron 4 bneQ an equivient bolos my he adutislndsuhject to the muvider idemRyingandhsbng in writing all deiedonsand exthnims that ddrmhnm fhe Iso form. >_ Provider;haR b,requred to-1 the vwmAAa o,yoalA.its,m gmaterif required by lawaraHla legal agreemem,n trhiba I. a- whenever an lW form h referenced decurrent edlaan of the lam suras be used_H provide/c Imes;of Pahfily are higher than Hue nquirad munhnum Ines than the awdet's belts shall be this agreemea' requadbmas. Page lots 51hedNe A PmpelSy Or VerldoM onlay 201E 13 City of Dubuque Insurance Requirements for Tenants and Lessees of City Property or Vendors(Suppliers,Service Providers(,or Right of Way Permit Holders Insurance Schedule A (continued) Exhibit I Al CpMMfRCIAr C•FNE0.AL f9AmLrn' Genuall�[�@IimR $2,400,0[0 modRwumpfetetl opMavou4pg,egnce omit $L440.400 P isdand Advenld,g laNNnmh $1.000.444 F3efi 4rrunerte 51munm rbe Damage dmiclany are 4m4memej $ 54,0[4 M[dkal PeYmmts $ spm al flowage]rail be wdRen m an 4r<urrerce,nu tlaims made,foam.Th e generN IhtiRry mnaga$0.l be wrhlen i,a®rtl wN,6ofrxm CLm41or Mrrinea oxnasfpm 4Pp44i A4 devladmsa4m rhe sradad 120 cammerrialgeraeral Ihbiby(am CG00Pv,4ra4511re5r owners fo,m eP 400z,drall bedearty idwvbed. h) mtlWetwena4,remembrm arzsw'wy,atetlwvlbnfsl General agpegxeum2° q IMudeentlorwmstndiM[irgautcwerageis primary aMnm,mnlrIDNnry_ dl bal4de entlarsen,m,impreserve cammmenmlammmM.[Sampk atbdredy e) Intl Wean enawsementeat dtlehz aryfell4w empbyeeexdrrmn. q bdudaadddionaliiuvredeMorsement l4r. The 4aY oFumuque,m[IWingaa m mated antlaDp46,ted offiaa6,all its amptoyeez aM wlumeem,all i¢frvaNs,Dom©z[iwz�and/m a,rtlwriuez a,drheirboartl memherz, employem and whmteers.Use l5q ham 6 2414(Orgung opemupml m a equiv 0[R gI li veeMm ud4xes iraAes err segwaK in Me mnRxc err bminm,in W tle an mrtlmsemmn reaectirg ChM these vebides ere me exd uded from c4mmerchl Gemml lrahgay vemge. Bj MIORNERV frrMPEN4.TnNREMP1nyERSL0.ffiLrSv setumryhereR[z rwe4ng all emplPyees niured on thej4b Iryaaidentor a:°",se az pmsuWetl try lmxafndechaP[er s5ssav,rended M.MA smmmry—'uo,dwwa coverages ynyagen uablary Eatlr Acdaent $10[,40[ =ft Emp[ayee9i93P $1w wo Pollcytish-cisraze s5wo 1 sbfxy nail w w an emdovvensemproviding a.1.Nn6rognioon m Ne Car of o4W®re C) PdlutiOn H.t i4ty Pnven.gee .0 d:oaf�a Pogmim,tiabgay mwrege5half 6e re4ueN if IeawlasaoypoWlion exp4saaesmdu&ng abatvmn[pghaxardausm mnumirxetl marttials inWtliq%but mtl4ni[etl m,Pe[mle,m praducn, [haaemova]oflead,a9eMo,4rycwz poRuaoeprodumalM mmplele opmadmrs wrvvage sRa9 atm 6ecwered: S;m4pm eathacmrrea,ce $n,P4P,PmpRltryag;regale a) PPllryto i,ulutlepremaesando-atWortalian mvengz hl 1Mlu�addai4ml hnreetl azws00 H afabave. cl In:ludepreservadonofgnwnmernl Rnmm�ayasstatea AAtlabovx dl provldecaitlenre ofcauemge fors yearn af[ercompteffin of Penjea Page2nf 3 SThetl4fe A Proprfty4r VeMorS MaY 20]6 14 City of Dubuque Insurance Requirements for Tenants and Lessees of City Property or Vendors(Suppliers,Service Proyders),an Right of Way Permit Holders Preservation of Governmental Immunities Endorsement 1. The it nool,Cartier expressly agmesand statesthatthe purdaseotdisporiry and dae induding of the Chyoi WWtrye,Iowa asap Additional Imurs f dices notwaive airy ofthedeienses of gwecmmeettal immmity available tothe City of Dubuque,round ender We of bawd Secteon 6]6.4 a R is nmv a aataaod.surrey be amended hon timetadme 2. Claims Owesxe.The insurance anierfoMeragreesthrt this polity diruumnce shall..My those daims uots�tjeQ to the defers¢of geaemmental inmunityunderthe cadeofloun Section 6]0.4 as it rww extats and as At mayhc amendedhom timetotane Th«e claims notsubjecttr, Codeaf Iowa section 610.4sha0 be mverM by the terms and condMam ofth'n insurance Wli y- 3. AesetuondG anrnerdhemunaa.The CAV&Oubuyue,lawadall.beresporebleforesserting any defenseuf gwemmen[al immunay,aM may do sosat arPytime and shall doso upon thehmeh written rflgOeat oFthe mzwante ortier. 4. nn-13analdf erasece.Theimumnre Gamier dell nottlenymver .reaerthtspoliryandthe insurancererders It notderryany ofd¢rights and benefmacouingm de 0Mof0ubuqu%Iowa underdisparity fitsteasuessofi rnmentalimmunhy unlessand until a court a comperent jur'etliction has ruled in faln,,dthe defense(sl oQ.crueenter brun.mry asserted by the City a Dubuque,lova. fou Ocher Chance in Pnlicv.The oboe pres.0.ofgwemmental immmmes dell cwt otherw'se chane or alter the cuvesap awlable under the porcy. SPECIMEN Page 3 of3 SL UEe A Plupeny Or VmWom May 3016 15 LEASE AGREEMENT BETWEEN THE CITY OF DUBUQUE, IOWA AND IOWA STATE UNIVERSITY This Lease Agreement (the Lease) dated for reference purposes the 1st day of October, 2015 by the City of Dubuque, Iowa (Landlord) whose address for the purpose of this Lease is 50 West 131h Street, Dubuque IA 52001, and Iowa State University of Science and Technology (Tenant) whose address for the purpose of this Lease is 1350 Beardshear Hall, Ames, Iowa 50011. SECTION 1. PREMISES AND TERM. 1.1 Landlord, in consideration of the rents, agreements and conditions herein contained, leases to Tenant and Tenant leases from Landlord, according to the terms of this Lease, the following described premises (the Leased Premises) situated in Dubuque County, Iowa: 835 sq. feet, second floor Federal Building, Room(s) 234 with the improvements thereon, and all rights, easements and appurtenances, which, more particularly, includes the space and premises as may be shown on attached Exhibit A. for a term of three (3) years (the Initial Term), commencing October 1, 2015 (the Commencement Date), and ending at 11:59 p.m. on September 30, 201 B, upon the condition that Tenant pays rent therefor, and otherwise performs as in this Lease provided. 1.2 Tenant has the option of renewing this Lease for two (2) one-year terms (the Renewal Terms) provided Tenant delivers notice of the exercise of such options not less than 60 days prior to the end of the then current term, 1.3 During the Term, Tenant is also permitted to use the conference room which is available to all tenants. Tenant shall also have the right to use, in common with others, (a) the entrances, lobbies, stairs, elevators and corridors necessary for access to the Leased Premises, (b) the lavatories in the building; (c) the driveways and walkways necessary for access to the building, and (d) such other common areas and facilities as Landlord may designate from time to time ((a) through (d), collectively, the "Common Areas"). SECTION 2. RENTAL. Tenant agrees to pay to Landlord as rental for the Initial Term as follows: 2.1 Tenant will pay to Landlord as monthly rent for the Leased Premises the sum of Eight Hundred Thirty Five and No/100 dollars ($835,00) (the Base Rent) commencing 071415bal on October 1, 2015 and on the Is' day of each month thereafter during the Initial Term of this Lease. All sums must be paid to the Finance Department at the address of Landlord, as above designated, or at such other place in Iowa, or elsewhere, as Landlord may, from time to time, designate in writing. Delinquent payments will draw interest at the lower of 9% per annum from the due date or the maximum rate permitted law, until paid. 2.2 If Tenant elects to renew this Lease as set forth in Section 1.2, then upon the commencement of each Renewal Term the Base Rent will be increased by three percent (3%) of the previous year's Base Rent, and paid to Lessor on the 15r day of each month thereafter. SECTION 3. POSSESSION. Tenant will be entitled to possession on the first day of the Term of this Lease, and must yield possession to Landlord at the end of the Lease Term, except as herein otherwise expressly provided. SECTION 4. USE OF PREMISES. Tenant covenants and agrees during the Term of this Lease to use and to occupy the Leased Premises only for business use. SECTION S. QUIET ENJOYMENT. Landlord covenants that its estate in said Leased Premises is in fee simple and that Tenant, if not in default, will peaceably have, hold and enjoy the Leased Premises for the Term of this Lease. Landlord has the right to mortgage all of its right, title, and interest in said Lease Premises at any time without notice, subject to this Lease. SECTION 6. EQUIPMENT, DECORATING, REPLACEMENT, REPAIR AND MAINTENANCE. 6.1 Definitions. (1) "Maintain" means to clean and keep in good condition. (2) "Repair" means to fix and restore to good condition after damage, deterioration or partial destruction. 6.2 Condition of Premises. Tenant takes the Leased Premises in its present condition, except for such repairs and alterations as may be expressly otherwise provided in this Lease, or as outlined in Exhibits B and C. As between Landlord and Tenant, Landlord shall be responsible for ensuring that the repairs and alterations described in Exhibits B and C are substantially completed prior to October 1, 2015. If the repairs and alterations are not substantially completed prior to October 1, 2015 and Tenant is unable to take possession of the Leased Premises, then the Commencement Date of the lease shall be adjusted to such date that the repairs and alterations are substantially completed and Tenant's obligation to pay rent shall not commence until the adjusted Commencement Date. If the lease commences after the 131 day of a month such that the first month of the lease is only a partial month, then Tenant's rent shall be 2 pro rated for such first month. If the repairs and improvements are not substantially completed such that Tenant cannot take possession within thirty days of the original Commencement Date, then the Landlord shall reimburse Tenant for expenses incurred by Tenant in locating and using alternative premises during the period of unavailability. If such unavailability continues for a period of sixty days or more from the original Commencement Date, Tenant may terminate this Lease upon written notice to Landlord without further obligations to Landlord. Tenant shall have no liability for the acts or omissions of the contractor performing the repairs and alterations outlined Exhibits B and C. 6.3 Repairs and Maintenance. (1) Landlord must replace and repair the structural parts of the building. For purposes of this Lease, the structural parts of the building are (a) the foundation, exterior walls, load bearing components of interior floors and walls, and the roof; (b) the mechanical, plumbing, electrical, HVAC and other building systems; and windows, plate glass and electrical fixtures outside of the structure. (2) Landlord is responsible for maintenance of all common area under Landlord's control. Tenant is responsible for all maintenance within the Leased Premises. (3) Each party must perform its responsibilities of repair and maintenance to the end that the Leased Premises will be kept in a safe and serviceable condition. Neither party will permit nor allow the Leased Premises to be damaged or depreciated in value by any act, omission to act, or negligence of itself, its agents or employees. 6.4 Equipment. Decorating and Alterations. (1) If Tenant desires for the following items of equipment, furnishings and fixtures to be replaced, they will be supplied and replaced by the parties as follows: Blinds: Tenant Carpet/Vinyl: Tenant; provided, however, that Landlord shall be responsible for installing vinyl flooring in the entryway to the Leased Premises and shall be responsible for having all of the carpeting in the Leased Premises cleaned. Landlord shall complete such installation and cleaning prior to Tenant taking possession (2) The foregoing equipment, furnishings or fixtures to be supplied by Tenant are subject to Landlord's prior written approval as to quality and method of installation. Such approval shall not be unreasonably withheld. Tenant will provide all trade equipment, furnishings and fixtures used in connection with the 3 operation of its business, such as telephones, computers, desks, chairs, shelving and similar items. (3) Tenant is be responsible for all interior decorating. Tenant may not make any structural alterations or improvements without the prior written consent of Landlord. 6.5 Americans With Disabilities Act. Tenant will make no unlawful use of the Leased Premises and agrees to comply with all valid regulations of the Board of Health, City Ordinances or applicable municipality, the laws of the State of Iowa and the Federal government, but this provision is not to be construed as creating any duty by Tenant to members of the general public, provided, however, responsibility for compliance with the Americans with Disabilities Act will be performed and paid for by the parties as follows: Common areas Landlord: 100% Tenants' area Initial compliance (specify) Landlord: 100% Future compliance Landlord; 100% SECTION T. UTILITIES, SERVICES, PROPERTY TAXES. Utilities and services will be furnished and paid for by the parties as follows: PROVIDED BY: PAID BY: % Landlord % Tenant Electricity Landlord 100 0 Gas Landlord 100 0 Water and Sewer Landlord 100 0 Garbage/Trash Landlord 100 0 Property Taxes Tenant 0 100 Janitor/Cleaning Tenant 0 100 Common areas Landlord 100 0 Other: Tenant 0 100 Tenant agrees to reimburse Landlord for the property taxes attributable to the Leased Premises and paid by Landlord within thirty (30) days after receipt of a statement from Landlord for such property taxes. SECTION 8. TERMINATION, SURRENDER OF PREMISES AT END OF TERM -- REMOVAL OF FIXTURES. 8.1 Termination. This Lease will terminate upon expiration of the original Term; or if this Lease expressly provides for any option to renew, and if any such option is exercised by Tenant, then this Lease will terminate at the expiration of the option term 4 or terms. 8.2 Surrender. Tenant agrees that upon termination of this Lease it will surrender and deliver the Leased Premises in good and clean condition, except the effects of ordinary wear and tear and depreciation arising from lapse of time, or damage without fault or liability of Tenant. 8.3 Holding Over. Continued possession by Tenant, beyond the expiration of its tenancy, coupled with the receipt of the specified rental by Landlord (and absent a written agreement by both parties for an extension of this Lease, or for a new lease) will constitute a month to month extension of this Lease. 8.4 Removal of Fixtures. Tenant may, at the expiration of its tenancy, if Tenant is not in default, remove any fixtures or equipment which Tenant has installed in the Leased Premises, providing Tenant repairs any and all damages caused by removal. SECTION 9. ASSIGNMENT AND SUBLETTING. Any assignment of this Lease or subletting of the Leased Premises or any part thereof, without Landlord's written permission will, at the option of Landlord, make the rental for the balance of the Lease Term due and payable at once. Such written permission may not be unreasonably withheld. SECTION 10. INSURANCE. 10.1 Property Insurance. Landlord and Tenant agree to insure their respective real and personal property for the full insurable value. Such insurance must cover losses included in the Insurance Services Official Broad Form Causes of Loss (formerly fire and extended coverage). 10.2 Self-Insured. Tenant is an agency of the State of Iowa and does not purchase commercial insurance. In general, Tenant does not purchase commercial liability insurance because certain statutory protections are provided under Chapter 669 of the Code of Iowa. Chapter 669 authorizes claims against the State of Iowa on account of wrongful death, personal injury or property damage incurred by reason of the negligence of Tenant or its employees. Chapter 669 also sets forth the procedures by which such claims may be brought. This protection is applicable to all officers, employees and agents for their negligence while acting within the scope and course of their activities, in accordance with the statutes. Under Iowa law, coverage is continuous and does not expire. Worker's compensation coverage for Tenant employees is provided through provisions of Chapter 85 of the Code of Iowa, Section 85.57 and 85.58, Employees of the State. 10.3 Acts By Tenant. Tenant will not do or omit doing of any act which would invalidate any insurance, or increase the insurance rates in force on the Leased Premises. 5 10.4 Recommendations -.Iowa Insurance Services Office. Tenant further agrees to comply with recommendations of Iowa Insurance Services Office and to be liable for and to promptly pay, as if current rental, any increase in insurance rates on said premises and on the building of which said Leased Premises are a part, due to increased risks or hazards resulting from Tenant's use of the Leased Premises otherwise than as herein contemplated and agreed. 10.5 Copy of Lease to Insurer. Landlord must provide a copy of this Lease to its insurer. SECTION 11. LIABILITY FOR DAMAGE. Each party agrees it is liable to the other for all damage to the property of the other negligently, recklessly or intentionally caused by that party, or their agents or employees. SECTION 12. INDEMNITY. To the extent permitted by Iowa Code Chapter 669 and other applicable laws, Tenant agrees to indemnify and hold harmless Landlord, its officers and employees, from and against any and all claims of any kind arising out of or related to Tenant's negligent or wrongful acts or omissions in connection with its performance of its obligations in this Lease. SECTION 13. FIRE AND CASUALTY. 13.1 Partial Destruction of Premises. In the event of a partial destruction or damage of the Leased Premises, which is a business interference which prevents the conducting of a normal business operation and which damage is repairable within 60 days after Its occurrences, this Lease will not terminate but the rent for the Leased Premises will be abated during the time of such business interference. In the event of a partial destruction, Landlord will repair such damages within 60 days of its occurrence unless prevented from doing so by acts of God, government regulations, or other causes beyond Landlord's reasonable control. 13.2 Zoning, Should the zoning ordinance of the municipality in which this property is located make it impossible for Landlord to repair or rebuild so that Tenant is not able to conduct its business on the Leased Premises, then such partial destruction will be treated as a total destruction as provided in the next paragraph. 13.3 Total Destruction of Business Use. In the event of a destruction or damage of the Leased Premises including the parking area (if parking area is a part of this Lease) so that Tenant is not able to conduct its business on the Leased Premises or the then current legal use for which the Leased Premises are being used andwhich damages cannot be repaired within 60 days, this Lease may be terminated at the option of either Landlord or Tenant. Such termination in such event will be effected by written notice of one party to the other, within 20 days after such destruction. Tenant must surrender possession within 10 days after such notice Issues and each party will be released from all future obligations, and Tenant must pay rent pro rata only to the date of such destruction. In the event of such termination of this Lease, Landlord at its option, may 6 rebuild or not, at its discretion. SECTION 14. CONDEMNATION. 14.1 Disposition of Awards, Should the whole or any part of the Leased Premises be condemned or taken for any public or quasi-public purpose, each party is entitled to retain, as its own property, any award payable to it. Or in the event that a single entire award is made on account of the condemnation, each party will then be entitled to take such proportion of said award as may be fair and reasonable. 14.2 Date of Lease Termination. If the whole of the Leased Premises is condemned or taken, the Lease shall be deemed terminated, each party will be released from all future obligations and Tenant mush pay rent pro rata only to the date of such termination. SECTION 15. DEFAULT, NOTICE OF DEFAULT AND REMEDIES. 15.1 Events of Default. Each of the following constitutes an event of default: (1) Failure of Tenant to pay rent when due. (2) Failure of a party to observe or perform any duties, obligations, agreements or conditions imposed pursuant to terms of the Lease. (3) Abandonment of the Leased Premises, in which "Abandonment' means Tenant has failed to engage in its usual and customary business activities on the Leased Premises for more than fifteen (15) consecutive business days. (4) Institution of voluntary bankruptcy proceedings in which the Court orders relief against a party as a debtor; assignment for the benefit of creditors of the interest of a party under this Lease; appointment of a receiver for the property or affairs of a party, where the receivership is not vacated within ten (10) days after the appointment of the receiver. 15.2 Notice of Default. The aggrieved party must give the defaulting party a written notice specifying the default and giving the defaulting party ten (10) days in which to correct the default. If there is a default (other than for nonpayment of a monetary obligation of Tenant, including rent) that cannot be remedied in ten (10) days by diligent efforts, the defaulting party must propose an additional period of time in which to remedy the default. Consent to additional time may not be unreasonably withheld by the aggrieved party. The aggrieved party is not required to give the defaulting party any more than three notices for the same default within any 365 day period. 15.3 Remedies. In the event the defaulting party has not remedied a default in a timely manner fallowing a Notice of Default, the aggrieved party may proceed with all available remedies at law or in equity, including but not limited to the following: 7 (1) Termination. The aggrieved party may declare this Lease to be terminated and must give the defaulting party a written notice of such termination. In the event of termination of this Lease due to Tenant's default, Landlord is entitled to prove claim for and obtain judgment against Tenant for the balance of the rent agreed to be paid for the Term herein provided, plus all expenses of Landlord in regaining possession of the Leased Premises and the reletting thereof, crediting against such claim, however, any amount obtained. by reason of such reletting. (2) Forfeiture. If a default by Tenant is not remedied in a timely manner, Landlord may then declare this Lease to be forfeited and must give Tenant a written notice of such forfeiture, and may, at the time, give Tenant the notice to quit provided for in Chapter 648 of the Iowa Code if a court determines that Chapter 648 is applicable to Tenant as a state agency. SECTION 16. RIGHT OF EITHER PARTY TO MAKE GOOD ANY DEFAULT OF THE OTHER. If default is made by either party in the performance of, or compliance with, any of the terms or conditions of this Lease, and such default continues for thirty (30) days after written notice thereof from one party to the other, the person aggrieved, in addition to all other remedies now or hereafter provided by law, may, but need not, perform such term or condition, or make good such default and any amount advanced will be repaid forthwith on demand, together with interest at the rate of 9% per annum, from date of advance or the maximum rate permitted law, whichever is less. SECTION 17. SIGNS. Tenant may not attach, paint or exhibit any signs on the Leased Premises. SECTION 18. MECHANIC'S LIENS. Neither Tenant nor anyone claiming by, through, or under Tenant, may file or place any mechanic's liens or other lien of any kind or character whatsoever, upon said Leased Premises or upon any building or improvement thereon, or upon the leasehold interest of Tenant, and notice is hereby given that no contractor, sub-contractor, or anyone else who may furnish any material, service or labor for any building, improvements, alteration, repairs or any part thereof, may at any time be or become entitled to any lien on the Leased Premises, and for the further security of Landlord, Tenant covenants and agrees to give actual notice thereof in advance, to any and all contractors and sub-contractors who may furnish or agree to furnish any such material, service or labor. SECTION 19. [Intentionally Omitted]. SECTION 20. ENVIRONMENTAL. 20.1 Landlord. To the best of Landlord's knowledge to date: (1) Neither Landlord nor Landlord's former or present tenants are subject to 8 any investigation concerning the Leased Premises by any governmental authority under any applicable federal, state, or local codes, rules and regulations pertaining to air and water quality, the handling, transportation, storage, treatment, usage, or disposal of toxic or hazardous substances, air emissions, other environmental matters, and all zoning and other land use matters. (2) Any handling, transportation, storage, treatment, or use of toxic or hazardous substances that has occurred on the Leased Premises has been in compliance with all applicable federal, state and local codes, rules and regulations. (3) No leak, spill release, discharge, emission or disposal of toxic or hazardous substances has occurred on the Leased Premises. (4) The soil, groundwater, and soil vapor on or under the Leased Premises is free of toxic or hazardous substances. (5) Landlord assumes liability and will indemnify and hold Tenant harmless against all liability or expense arising from any condition which existed, whether known or unknown, at the time of execution of the Lease which condition is not a result of actions of Tenant or which condition arises after date of execution but which is not a result of actions of Tenant. 20.2 Tenant. Tenant expressly represents and agrees: (1) During the Lease Term, Tenant's use of the Leased Premises will not include the use of any hazardous substance without Tenant first obtaining the written consent of Landlord. Tenant understands and agrees that Landlord's consent is at Landlord's sole option and complete discretion and that such consent may be withheld or may be granted with any conditions or requirements that Landlord deems appropriate. (2) During the Lease Term, Tenant will be fully liable for all costs and expenses related to the use, storage, removal and disposal of hazardous substances used or kept on the Leased Premises by Tenant, and Tenant must give immediate notice to Landlord of any violation or any potential violation of any environmental regulation, rule, statute or ordinance relating to the use, storage or disposal of any hazardous substance. (3) Tenant, at its sole cost and expense, agrees to remediate, correct or remove from the Leased Premises any contamination of the property caused by any hazardous substances which have been used or permitted by Tenant on the Leased Premises during any term of this Lease. Remediation, correction or removal must be in a safe and reasonable manner, and in conformance with all applicable laws, rules and regulations. Tenant reserves all rights allowed by law to seek indemnity or contribution from any person, other than Landlord, who is or 9 may be liable for any such cost and expense, (4) To the extent permitted by Chapter 669 of the Iowa Code and other applicable law, Tenant agrees to indemnify and hold Landlord harmless from and against all claims, causes of action, damages, loss, costs, expense, penalties, fines, lawsuits, liabilities, attorney fees, engineering and consulting fees, arising out of or in any manner connected with hazardous substances, which are caused or created by Tenant on or after the date of this Lease .and during any term of this Lease, including, but not limited to, injury or death to persons or damage to property, and including any diminution of the value of any Leased Premises which may result from the foregoing. This indemnity will survive the cessation, termination, abandonment or expiration of this Lease. SECTION 21. SUBSTITUTION OF EQUIPMENT, MERCHANDISE. ETC. 21.1 Tenant's Property. During its tenancy, Tenant has the right to sell or otherwise dispose of any personal property of Tenant situated on the Leased Premises, when in the judgment of Tenant it has become obsolete, outworn or unnecessary in connection with the operation of the business on the Leased Premises. 21.2 Inventory, Nothing herein contained will be construed as denying to Tenant the right to dispose of inventoried merchandise in the ordinary course of Tenants trade or business. SECTION 22. RIGHTS CUMULATIVE. The various rights, powers, options, elections and remedies of either party, provided in this Lease, will be construed as cumulative and no one of them as exclusive of the others, or exclusive of any rights, remedies or priorities allowed either party by law, and may in no way affect or impair the right of either party to pursue any other equitable or legal remedy to which either party may be entitled as long as any default remains in any way unremedied, unsatisfied or undischarged. SECTION 23. NOTICES AND DEMANDS. All notices, demands, or other writings in this Lease provided to be given or made or sent, or that may be given or made or sent, by either party to the other, will be deemed to have been fully given or made or sent when made in writing and deemed to have been fully given or made or sent when made in writing and deposited in the United States mail, registered, and postage prepaid, and addressed as follows: TO LANDLORD: City of Dubuque, Iowa c/o City Manager City Hall 50 West 131h Street Dubuque, Iowa 52001 TO TENANT: Iowa State University 10 c/o Senior Vice President for Business and Finance 1350 Beardshear Ames, Iowa 50011 SECTION 24. CONSTRUCTION. Words and phrases herein, including acknowledgment hereof, will be construed as in the singular or plural number, and as masculine, feminine, or neuter gender according to the context. SECTION 25. COMPLIANCE WITH LAW. During the term of this Lease, Tenant must comply with all laws applicable to Tenant's use of the Leased Premises. SECTION 26. MISCELLANEOUS. 26.1 Governing Law. It isagreed that this Lease will be governed by, construed, and enforced in accordance with the laws of the State of Iowa. 26.2 Paragraph Headings. The titles to the paragraphs of this Lease are solely for the convenience of the parties and will not be used to explain, modify, simplify, or aid in the interpretation of the provisions of this Lease. 26.3 Modification of Agreement. Any modification of this Lease or additional obligation assumed by either party in connection with this Lease will be binding only if evidenced in writing signed by each party or an authorized representative of each party. 26.4 Parties Bound. This Lease binds and inures to the benefit of and applies to the respective successors and assigns of Landlord and Tenant. All references in this Lease to "Landlord" or 'Tenant" will be deemed to refer to and include successors and assigns of Landlord or Tenant without specific mention of such successors or assigns. SECTION 27. FORCE MAJEURE. In the event that either party hereto will be delayed or hindered in or prevented from the performance of any act required hereunder by reason of strikes, lockouts, labor troubles, unavailability of construction materials, unavailability or excessive price of fuel, power failure, riots, insurrection, war, terrorist activities, explosions, hazardous conditions, fire, flood, weather or acts of God, or by reason of any other cause beyond the exclusive and reasonable control of the party delayed in performing work or doing acts required under the terms of this Lease (collectively Force Majeure), then performance of such act will be excused for the period of the delay and the period for the performance of any such act will be extended for a period equivalent to the period of such delay. v � CITY OF DUBUQUE, By: LANDLORD chael C. Van Milligan City Manager 11 IOWA STATE UNIVERSITY, TENANT, By: l�(/L , iI Warren R. Madden Senior Vice President for Business and Finance 12 EXHIBIT A THE LEASED PREMISES �1d 42 f x i I r i• { '1 I � i I i". I r I 13 EXHIBIT B GRONEN PROPOSAL-MAY 4,2015 May 4,2015 Mr, Brian Perry Iowa State University Extension&Outreach Office 700 Locust Street Sufte 210 Dubuque,IA 52001 RE: Iowa State University Extension&Outreach Federal Building Location 350 W.6111 So act I Dubuque,IA 52001 x Dear Brian: On behalf ofGronen Restoration Inc.,l would like to express our appreciation for the opportunity to provide you with this proposal for the above referenced project. The quotation to follow is based on our inspection of the existing facility,phone conversations with you,mid updates that have been performed on the mechanical systems, Scope of Work Recommended[Reference Attachment 4 11: (1) Demo entry"L"shaped wall&patch plaster (2) Frame,insulate,&drywall partitions for(2)offices—[8'-0"walls] (3) Paint new office walls,entry wall,&associated millwork (4) Paint all existing office walls (5) Install all associated millwork&hardware on new offices (6) Remove all scrap&debris off-site (7) Provide&install a fire extinguisher&cabinet Mechanical Systems: 4 Office walls will be 8'high so existing HVAC&Fire sprinkler can remain unchanged Electrical Systems: 4 Lighting changes to accommodate new office locations 4 Allowance($2,000)for Data/Phone/Cable&lighting changes to accommodate newly constructed offices. 4 No changes to any power circuits 4 Electrical service&metering to remain as is We propose to furnish all labor,material,equipment,taxes and insurance to perform the work as described above @ 350 W.6'^Street,Dubuque,lA for a cost of$21,612. Our proposal includes building permit fees associated with the work identified above. Please contact me @ 563,581.2094 if you have any questions or require additional information, Thank you, Sincerely, GRONEN 1 Sid TORATION,Ine. She"1, 111born ^� Construction Manager Enclosure Cc: Nancy Kann Mary Gronen 11Page DO bON 1862 DODUQ01 • I0W1 52004-1862 PIOOt 563557.7010 - FON 563 690 1610 9l01lenprellel11n8.Bem tlrnnenre81er8tlon.eom EXHIBIT C FITPLAN 15 aivasmc z z F 3c n z z IIIIL�IIII 4 m ❑ 16 Appendix D Capital Improvement Plan O O O O O O W n m m O O m N C m F a Z U N O J W 1 0 LL _ C C 'C v n m O)O ¢ F W N [O r r r O m C W m O U N O = R m C F- Om O ¢ Ow ww w www cW > Jim nmp o ° @ � -W' R rdU mUm y� « m � muo aria m � ° y' W O V _T m0 ¢ N.. WW m _ W m E E — ° DEaE p N S U V m A C N U m R 3 J O n m C 09 yam' V W C O C C t W W C 9 >Y O m C p W O �Oy ryO O f O y rj L_ W.- O m U C 3 > m J O N 9 � z m N N N N Lo SON mg 9'CD -.ill L w04UlON 0 '6 5a s ry N N O E a W K a E c Odd? c oaa ENE3 �c a0 � w w ww w vcaci ac3om i.� d : rnwR a ° p O mm m _c o --a Ro N N N N P S O R Y T d " E O c o 0 3 m C C L m � o � y o d E o v_i � c m � c v E C E 6 y o 0 0 0 o�Oc > v mRWo R � j � O j9 JaTc p N ocEo og...m S", `o �^,. m:aD9 �' r E E .2 w w www 'm Um � '� mcmUd ootid moo N >ma8 � 3 c° a�'i4 cvoJayS> oO a �yo oc Fm -pOVm-6 OU �Q .20 Clao � L -N l � � o y� moc Wmam' °' y oin ° . .- 2 C .J. C v Tn Nat W miEu oK ° do. w ww E$Uo O i C V 3 d X O m W W R O C D O W 9 ydj O D N R 6 C 3 d0 � D Nw @yNNL.. YOOC « UU WUSN O m C > C� ppm N` aONN °C Mg. N � � m 7 F W $ v~ J a O L m C O N N_ T ymj N O D > m C a N Q`i w m W e = C rn V n N Q v °` W ;o OE C a K C U J C C d IL C O U K m p C C O OI T9L O > om�O m E 3 mO�OaC COJINw>� ¢NN VV° Mm 9mW�W dnO1 CorWmm 'o. o = d>c0 0 oMO W00 0aco) 00 0 oa ssDN m � O =� wWQ � eEi mvo me � o W o0 0 00 0 oy m =° mn ,mp yK ? v `m « p my ._ o x F- m ai y vv Via- ay � ¢ � -M. 0-0 RooaUnw ¢ M M t0 10 (O Z N N N J C W T pl N C O = m S } N N N N O^ C W¢ O .- ] C N J n O D R m O W N O m m m V O m N d d j OE N n E W LL F C y NW w w w w w U m Q C ° O - ° D m N ° D O O.a O O m r W c E R v N a c > m .� D o c 'a9 m 3 L oo w d wrn O � C1C- EOL. wa' _ J � W O�¢ W mLmp� mO m d LL U m a O,Lm. o o N O m ¢ a d' V `y D jp N N dt R N i 4of X � ONimo LLoi my �WdEa LLE� yx - a Ow W w w a5 D° Er 5°w �?nocmu -9 E,2 '62 ! � « 2 § 2 \) \ . \ \ da- � \\ \\� \ } � ; § $! :E } \ 2F-60 CO \ \}\ .} \0 / \ \> 9R2 vt ; ( r � \ \ \ / \\ � }\\\ \� k \ \ \\\ \ k \}}\ \ \ Appendix E Current Photos VIII jj 11 11 BQ.10 9i.11 IL Al NN IR A PlAt Exterior- NE Face Exterior-North Face v Exterior-Railing Details Exterior- Loading Dock First Floor- Interior Detail First Floor- Main Lobby L Basement- Corridor y Basement-Vacant Space Basement-Vacant Space 1 �- II Second Floor—Lobby - r r Floor- Lobby Second Floor- Lobby Second Floor- City Council Chamber Entrance r w I Second Floor-City Council Chamber Second Floor- City council Chamber 5' 1=n: Second Floor- Green Roof Second Floor- Iowa State University I 1 � y mm 1 Second Floor- City Council Conference Second Floor-Media Room Room Y � � Third Floor-Housing Department Main Third Floor-Housing Department Lobby - � o Third Floor-Housing Dept. Conference Third Floor- Housing Dept. Office Room Space 1 F ' Third Floor- Housing Dept. Renovated Third Floor- Repainted Corridor Space >(I Third Floor-Renovated Office Third Floor-Renovated Office r Third Floor-Vacant Space Third Floor- Vacant Space �' Third Floor—Renovated Office Third Floor—Conference Room ca= wFn.. Roof Top—HVAC Fan "Third Floor- Vents