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Signed Contract_Dubuque Water Sports Club Lease for Chaplain Schmitt Island Copyrighted April 3, 2017 City of Dubuque Consent Items # 21. ITEM TITLE: Signed Contracts SUMMARY: Dubuque Jaycees Lease for Veterans' Memorial Park Community Garden; Dubuque Water Sports Club Lease for a section of Chaplain Schmitt Island SUGGESTED DISPOSITION: Suggested Disposition: Receive and File ATTACHMENTS: Description Type Dubuque Jaycees Lease Supporting Documentation Dubuque Water Sports Club Lease Supporting Documentation THE CITY OF Dubuque OAWcaC 1-.-J*UBtJqUE1 .............1`1111im"m Masterpiece on the Mississippi 2007-2012-2013 TO: Michael C. Van Milligen, City Manager FROM: Marie L Ware, Leisure Services Manag e , SUBJECT: Dubuque Water Sports Club Lease DATE: March 15, 2017 INTRODUCTION The purpose of this memorandum is to request your signature on the annual lease with the Dubuque Water Sports Club for a section of Schmitt Island. DISCUSSION The Club has leased a section of Schmitt Island, next to Heron Pond by the Hilton Garden Inn, for many years. The attached lease agreement is the same as last year's agreement except for a $10.00 increase in rental fee. The annual lease is a $535 rental fee. The Club is responsible for building and grounds maintenance except the City mows the grass and picks up the trash. Club members pay 50% of the per night camping fee at Miller Riverview Park to camp on the leased grounds. Camping units are limited to 6 on site and stays are limited to not more than 30 days. Overnight parking of boats is limited to 8, two work boats, and one Dragon Boat. The Club reports increased use by paddle sports in the last year. The lease agreement has been reviewed and approved by City Attorney Barry Lindahl. Barry said the lease does not need City Council approval since the term is for one year. The Park and Recreation Commission approved recommending the Lease at their March meeting. I consulted Maurice Jones and he advised no work related to Chaplain Schmitt Island was to take place during the lease term. RECOMMENDATION I respectfully recommend you sign the attached lease agreement with the Dubuque Water Sports Club then give to Kevin Firnstahl so it may be placed on the April 3rd Council agenda as a signed agreement. MLW:et attachment - Lease cc Steve Fehsal, Park Division Manager Kevin Firnstahl, City Clerk 1 ORIGINAL LEASE AGREEMENT BETWEEN THE CITY OF DUBUQUE, IOWA AND DUBUQUE WATER SPORTS CLUB This Lease Agreement, dated for reference purposes the of i// , 2017, is made and entered into by and between the City of Dubuque, Iowa ("City"), whose address for the purpose of this Lease is 2200 Bunker Hill Road, Dubuque, Iowa, and Dubuque Water Sports Club ("Club"), whose address for the purpose of this Lease is Post Office Box 3377, Dubuque, Iowa, 52004-3377. WHEREAS, City is the owner of Miller Riverview Park (the "Park"); and WHEREAS, Club desires to lease the section of the Park shown on Exhibit A (the "Leased Premises") from City to operate a water sports club; and WHEREAS, it is deemed to be in the best interest of both parties to this Agreement and to the public that Club lease the Leased Premises. NOW, THEREFORE, the parties hereto mutually agree as follows: SECTION 1. TERM OF LEASE AGREEMENT. This Lease Agreement will be fora term of one (1) year, commencing at midnight on April 30, 2017, and terminating at 11:59 p.m. on April 29, 2018. SECTION 2. RENT. The annual rental of $535.00 must be paid to City on or before the 1st day of May, 2017. SECTION 3. USE OF THE LEASED PREMISES. Club agrees that during the term of the Lease Agreement, the Leased Premises must be used exclusively for recreational and conservational purposes and associated activities. Club will not allow the Leased Premises to be occupied or used by any other individual, group, organization or agency without the prior written permission of City's Leisure Services Manager. SECTION 4. GROUNDS AND BUILDING MAINTENANCE. 4.1 Club will be responsible for and will perform all roadway maintenance deemed necessary by Club from the access point at the Hilton Garden Inn parking area and throughout the Leased Premises for Club's use. 4.2 Club will be responsible for and will perform all grounds maintenance and maintenance of improvements on the Leased Premises, including but not limited to walkway, tree, flowerbed, and general grounds maintenance. City will mow the grass in the Leased Premises area, but Club will trim around all trees, buildings, campers, boats, and other obstructions. 022417ba1 4.3 Club will be responsible for all building maintenance and maintenance of improvements, including but not limited to interior and exterior building repair and painting, heating system maintenance, plumbing, electric, roof repair and maintenance, and pest control. 4.4 Any improvements made by Club will remain on the Leased Premises upon termination of this Lease and will then become the property of City. Club will not make any material improvements or modifications to the Leased Premises without the prior written approval of City's Leisure Services Manager. Such approval will not be unreasonably withheld. 4.5 All improvements made by Club must be built, erected and maintained in strict conformity with all applicable federal, state or municipal statutes and ordinances, and rules and regulations of the Park and Recreation Advisory Commission of City. Club will be responsible for inspecting and ensuring that all improvements comply with all applicable federal, state or municipal statutes and ordinances, and rules and regulations of the Park and Recreation Advisory Commission of City. SECTION 5. UTILITIES AND REFUSE. Club will pay when due all costs of all utilities serving the Leased Premises. City will remove trash from the Leased Premises on Mondays and Fridays, Memorial Day through Labor Day. SECTION 6. MANAGEMENT AND CONTROL. 6.1 It is agreed and understood that sole management authority and control of the Leased Premises, for the permitted uses stated in Section 3, will be with Club. 6.2 Club agrees that all monies and contributions derived from the use of the Leased Premises will be used to operate, maintain, and improve the Leased Premises. SECTION 7. CONTROL AND ACCESS. 7.1 Club will have the authority to limit general public access to the Leased Premises to best suit its purposes. Club will make every reasonable effort to: (1) Prohibit overnight camping except by Club members who have paid 50% of the per night (non -electric) camping fee to the manager of Miller Riverview Park. (2) Limit camping units allowed on site to six camping units at any one time and limit any stay to no longer than thirty (30) consecutive days. At the end of a thirty consecutive day stay, Club will require that a camping unit must leave the Leased Premises for at least five consecutive days. Club will require that all camping units be in the same location. Such location must be agreed upon by Club and City's Leisure Services Manager. 2 (3) Restrict overnight parking of boats to eight boats used for water skiing; two work boats; and one Dragon Boat between Memorial Day and Labor Day. Club will require that all boats be in the same location. Such location must be agreed upon by Club and City's Leisure Services Manager. (4) Police the Leased Premises to assure that no vehicles, other than City authorized vehicles, are allowed access to the wetland area; 7.2 Club will not dump or allow to be dumped any trash, sweepings, or other waste material, in the channel along the Leased Premises, or on the banks thereof in such a manner that the same may readily be washed into the channel. Club will allow access to the Leased Premises for utility service installations, subject to approval by City's Leisure Services Manager. Such approval will not be unreasonably withheld. Club's water system will be tested by City's Health Services Manager at the request of Club or City, and a certificate of testing will be filed with City's Leisure Services Manager. 7.3 Any rights granted herein to Club are subject to the right of City, or its authorized agents or contractors to enter upon the Leased Premises to carry on any work or activity necessary in connection with the construction of flood control works or devices, or the clearing of obstructions in the Peosta Channel; 7.4 Club will not use the Leased Premises for commercial purposes, except for such purposes which are related to Club's designated water sports. Commercial use of the Leased Premises will be prohibited except at special water show events sponsored by Club, but only upon prior written notification to and approval by City's Leisure Services Manager and upon such terms, including appropriate additional insurance coverage, as may be required by City's Leisure Services Manager. 7.5 Club will provide padlocks for the control gate and distribute keys to its members. A padlock provided by City will also be provided to allow access for City staff. The three- piece chain used to secure the gate will be provided by City. 7.6 Any special events on the Leased Premises must have prior approval of City's Leisure Services Manager and a special event permit as required by City. SECTION 8. INSURANCE. Club must provide insurance during the term of this Lease Agreement as required by the Insurance Schedule attached as Exhibit B. SECTION 9. INDEMNITY. Club agrees to defend, indemnify and hold harmless City, its officers and employees, from any and all damages or claims whatsoever, to persons or property, by reason of Club's use of the Leased Premises. SECTION 10. ASSIGNABILITY. Club may not assign or transfer any interest in this Lease Agreement or the Leased Premises without the prior written approval of City. Such prohibition includes contracts with third parties for custody, management or operation of the Leased Premises or any part thereof. 3 SECTION 11. TERMINATION. 11.1 In the event either party fails to keep, perform and observe in a timely and proper manner any of its covenants or obligations under this Lease Agreement and any such violation is not cured or remedied within thirty (30) days after the date the party receives written notice from the other party of such failure or violation (or, if not practicable to cure or remedy such failure or violation within such thirty -day period, within such longer period as is reasonable under the circumstances, and as is specified in such notice), then, in such event, the other party may, at its option, terminate this Lease Agreement, by written notice to the other. Upon termination, City will have the right to re-enter the Leased Premises and to assume exclusive use and control thereof. 11.2 This Lease Agreement may also be terminated by City upon sixty (60) days written notice to Club if the Leased Premises or any part thereof is sold or the Leased Premises or any part thereof is needed for any purpose deemed appropriate by City in its sole discretion. 11.3 Upon termination of this Lease Agreement, for any cause whatsoever, Club, at the option of City, agrees to surrender possession of the Leased Premises in its condition as when first leased, or to restore the Leased Premises to substantially the same condition, ordinary wear and tear excepted. 11.4 Upon termination of this Lease Agreement, Club members must remove all boats and camping units from the Leased Premises within fourteen (14) days of such termination. SECTION 12. INSPECTIONS. City reserves the right to conduct periodic inspections of the Leased Premises for the purpose of determining whether the terms and conditions of this Lease Agreement are being promptly and faithfully performed by Club. CITY OF DUBUQUE, IOWA DUBUQUE WATER SPORTS CLUB By: By: Michael C. an Milligen President DWSC City Manager By: Keviii S. Eirn`itahl, City Clerk L\ (5---(/‘ Printed Warne FAUsers\tstecklelindahl\Agreements\WATER SPORTS CLUB APR 2017 TO APR 2018_022417.doc 4 EXHIBIT A EXHIBIT B INSURANCE SCHEUDLE AA 6 City of Dubuque Insurance Requirements for Lessees of City Property and Right of Way Licensees or Permitees Insurance Schedule AA 1. shall furnish a signed certificate of insurance to the City of Dubuque,Iowa for the coverage required in Exhibit I prior to the lease,license,or permit commencement.All lessees of city property and right of way licensees or permittees shall submit an updated certificate annually.Each certificate shall be prepared on the most current ACORD form approved by the Iowa Insurance Division or an equivalent.Each certificate shall include a statement under Description of Operations as to why the certificate was issued.Eg: Project if or lease of premises at or construction of ---------------- or right of way permitted location and description 2, All policies.of insurance required hereunder shall be with an insurer authorized to do business in Iowa and all insurers shall have a rating of A or better in the current A.M.Best!s Rating Guide. 3. Each certificate shall be furnished to the Department of the City of Dubuque. 4. The lessee,licensee,or permittee shall be required to carry the minimum coverage/limits,or greater if required by law or other legal agreement,in Exhibit 1.Failure to provide the required minimum coverage shall not be deemed a waiver of such requirements by the City of Dubuque. 5. Failure to obtain or maintain the required insurance shall be considered a material breach of the lease, license,or permit. 6. All required endorsements shall be attached to certificate. 7. Whenever a specific ISO form is referenced the current edition of the form must be used unless an equivalent form is approved by the Finance Director.The lessee,licensee,or permittee must identify and list in writing all deviations and exclusions from the ISO form. 8. if lessee's,licensee's,or permittee's limits of liability are higher than the required minimum limits then the lessee's,licensee's,or permittee's limits shall be this agreement's required limits. Page 1 of 4 Schedule AA Lessees Of City Property;Right Of Way Licensees 022217bal 7 City of Dubuque Insurance Requirements for Lessees of City Property and Right of Way Licensees or Permitees Insurance Schedule AA (continu Exhibit I A) COMMERCIAL GENERAL LIABILITY General Aggregate Limit X2,000 GOO Products-Completed Operations Aggregate Limit $1,000,000 Personal and Advertising injury Limit $1,000,0o0 Each Occurrence $1,G00,000 Fire Damage Limit(any one occurrence) $ 50,000 Medical Payments $ 5,000 a) coverage shall be written on an occurrence,not claims made,form..The general liability coverage shall be written in accord with ISO form C-60001 or business owners form BP 02;, All deviations from the standard ISO commercial general liability form CG 0001,or Business owners form BP G002,shall be clearly identified. b) include ISO endorsement form CG 25 04"Designated Location(s)General Aggregate Limit." c) include endorsement indicating that coverage is primary and non-contributory. d) Include Preservation of Governmental Immunities Endorsement(Sample attached). e) include an endorsement that deletes anyfellow employee exclusion. f) Include additional insured endorsement for: The City of Dubuque,including all its elected and appointed officials,all its employees and volunteers,all its boards,commissions and/or authorities and their board members, employees and volunteers.Use ISO form CG 2010(Ongoing operations)or its equivalent. g) if lessee,licensee,or permittee 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 an the job by accident or disease as prescribed by Iowa Code Chapter 85 as amended. Coverage A Statutory—State of Iowa Coverage B Employers Liability Each Accident $100,000 Each Employee-Disease $100,C100 Policy Limit-Disease $500,000 Policy shall include Waiver of Rightto Recover from Others endorsement. Nonelection of Workers'Compensation or Employers' Liability Coverage under Iowa Code sec.87.22 yes_form attached C) Pollution Liability Coverage required: _yes no Pollution liability coverage shall be required If the lessee,contracting party,or permittee has any pollution exposure for abatement of hazardous or contaminated materials including,but not limited to,petroleum products,the removal of lead,asbestos,or PCBs.Pollution product and completed operations coverage shall also be covered. $2,000,000 each occurrence $4,000,000 policy aggregate Page 2 of 4 Schedule AA Lessees Of City Property;Right Of Way Licensees City of Dubuque Insurance Requirements for Lessees of City Property and Right of Way Licensees or Permitees a) Policy to include premises and transportation coverage. b) include additional insured as stated in A(f), c) include Preservation of Governmental Immunities Endorsement. d) Provide evidence of coverage for 5 years after completion of project. D) Property insurance required by tease,license,or permit Evidence of prop"coverage provided yes Page 3 of 4 Schedule AA Lessees Of City Property;Right Of Way Licensees 022217bal 9 City of Dubuque Insurance Requirements for Lessees of City Property and Right of Way Licensees or Permitees Preservation of Governmental Immunities Endorsement 1. Nonwaiverof Governmental Immunity.The insurer expressly agrees and states thatthe 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 insurer 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 insurer. 4. Non-Denial of Coverage.The insurer shall not deny coverage under this policy and the insurer shall not deny any of the rights and benefits accruing to the City of Dubuque,Iowa under this policy for reasons of governmental immunity unless and until a court of competent jurisdiction has ruled in favor of the defense(s)of governmental immunity asserted by the City of Dubuque,Iowa. No Other Change in Policy.The above preservation of governmental immunities shall not,otherwise change or alter the coverage available under the policy. SPECIMEN Page 4 of 4 Schedule AA Lessees Of City Property;Right Of Way Licensees 022217bal 10