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South Siegert Farm Lease Extension 2010Masterpiece on the Mississippi TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: South Siegert Farm Lease Extension DATE: February 9, 2010 Dubuque bald " 1 / d1 2007 Economic Development Director Dave Heiar is recommending amendment of the farm lease with William and Janet Siegert for the North Siegert Farm. The amendment would provide for a one year lease extension with the increased rate of $170 /acre for tillable land. The lease would allow the City the ability to terminate the lease at any time if the property is needed for development purposes. I concur with the recommendation and respectfully request Mayor and City Council approval. MCVM:jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager David Heiar, Economic Development Director Michael C. Van Milligen Masterpiece on the Mississippi TO: Michael C. Van Milligen, City Manager FROM: David Heiar, Economic Development Director DATE: February 4, 2010 SUBJECT: South Siegert Farm Lease Extension Dubuque Al-Amain City 1 1 1 1 2007 INTRODUCTION This memorandum presents for City Council consideration a resolution approving an extension of a farm lease with William and Janet Siegert. BACKGROUND In 1997, the City purchased two farms from the Siegert's as part of the acquisition of future industrial park property. The City entered into a 10 -year lease of the property back to the Siegert's with a stipulation that if the property were needed for development, the City reserved the right to end the lease with certain "damage" payments related to crop input costs that might result from an early termination of the lease. The original lease expired March 1, 2007. A lease amendment extended the lease for the south Siegert farm under the same terms. That lease expires March 1, 2010. DISCUSSION The Siegert's have asked to continue the lease under the same terms as the prior lease. Staff has reviewed the original lease terms and has determined that the City should increase the lease rate for tillable ground from $116 /acre to $170 /acre and continue $50 /acre for pasture, (the rental rates) which reflects current market rates. The south Siegert farm contains 104.54 tillable acres and 35 acres of pasture. The amendment would provide a one (1) year lease agreement. The term of the lease for the south Siegert farm shall be until March 1, 2011. RECOMMENDATION I would recommend entering into a one (1) year lease amendment on the south farm (Cousins Road) with William and Janet Siegert with the increased rate of $170 /acre of tillable land. City staff has prepared the lease with terms that allow the City the ability to terminate the lease at any time if the property is needed for development purposes. ACTION STEP The action step for the City Council is to approve the attached resolution. F: \USERS\Econ Dev \Seigert Farm \South Siegert Farm\20100204 Council Memo Siegert Lease Amend S Farm.doc RESOLUTION NO. 47 -10 RESOLUTION APPROVING AN AMENDMENT TO THE FARM LEASE BETWEEN THE CITY OF DUBUQUE, IOWA AND WILLIAM AND JANET SIEGERT Whereas, the City of Dubuque, Iowa (City) entered into a Farm Lease with William and Janet Siegert (Siegerts) for certain property as described in the Lease; and Whereas, City and Siegerts desire to amend the Lease as set forth in the attached Amendment to Farm Lease; and Whereas, it is the determination of this Council that approval of the Amendment to Farm Lease, is in the public interest of the citizens of the City of Dubuque. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. That the attached Amendment to Farm Lease is hereby approved. Section 2. That the Mayor is hereby authorized and directed to execute the Amendment to Farm Lease on behalf of the City and City Clerk is authorized and directed to attest to his signature. Section 3. That the City Manager is authorized to take such actions as are necessary to comply with the terms of the Farm Lease, as amended. Passed, approved and adopted this 15 day of February, , 11 eanne F. Schneider, City Clerk F: \USERS \Econ Dev \Seigert Farm \South Siegert Farm\20100203 Seigert S Farm Lease Amend Resol.doc Roy D. uol, Mayor AMENDMENT TO FARM LEASE -CASH OR CROP SHARES BETWEEN THE CITY OF DUBUQUE, IOWA AND WILLIAM AND JANET SIEGERT This Amendment to Farm Lease -Cash or Crop Sale, dated for reference purposes the 15th day of February, 2010, is by and between the City of Dubuque, Iowa (Landlord) and William and Janet Siegert (Tenant). The Farm Lease between Landlord and Tenant dated April 15, 1997, is hereby amended as follows: 1. Par. 1 is amended to read as follows: 1. Premises and Term. Landlord leases to Tenant the following real estate situated in Dubuque County, Iowa (the "Real Estate "): The South Siegert Farm along Cousins Road consisting of 104.54 acres tillable and 35 acres pasture. The term of the lease for the South Siegert Farm shall be until March 1, 2011. 2. Par. 2(a) is amended to read as follows: 2. Rent. Tenant shall pay to Landlord as rent for the Real Estate (the "Rent'): a. The South Siegert Farm: Annual rent of $170 per acre for tillable acres and $50 per acre for pasture, paid as follows: $ 9,760.90 July 1, 2010 $ 9,760.90 December 31, 2010 3. Attachment A, Par. (d) is amended to read as follows: (d) Tenant shall during the term of this Lease provide insurance as required by the attached Insurance Schedule. 4. Attachment A is amended by adding the Insurance Schedule attached hereto. TENANT: William Siegert '....„, .1, � 4 Jf Janet Siegert STATE OF IOWA, DUBUQUE COUNTY ss: 2 /owl ALISHA FREISINGER Commission Number 758362 My Commission Expires 2 LANDLORD: CITY OF UQ E, IOWA By: / Roy ri Buol, Mayor Attest e anne F. Schneider, City Clerk OF IOWA, COUNTY OF DUBUQUE ss: On th' day of -( , 20 It , before me, the undersigned, a Notary Public in id for the State of Iowa, personally appeared Roy D. Buol and Jeanne F. Schneider, a me personally known, who, being by me duly sworn, did say that they are the Ma . and City Clerk, respectively, of the City of Dubuque, Iowa; a municipal corporation; at the seal affixed to the foregoing instrument is the corporate seal of the corpora • n, and that the instrument was signed and sealed on behalf of the corporation, by - .thority of its City Council, as contained in Resolution No. passed by the . ity Council on the ; and Roy D. Buol and Jeanne F. Schneider ac • •wledged the execution of the instrument to be their voluntary act and deed and th- oluntary act and deed of the corporation, by it voluntarily executed. otary Pub . Stateff Iowa On this day of v%, , 20 LC before me, a Notary Public in and for said county and state, personally appeared William and Janet Siegert, to me personally known, who stated the execution hereof to be their voluntary act and deed. ��..� t I L' �. Notary Public, State of I STATE OF IOWA, COUNTY OF DUBUQUE ss: On this 15th day of February , 2010 , before me, the undersigned, a Notary Public in and for the State of Iowa, personally appeared Roy D. Buol and Jeanne F. Schneider, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk, respectively, of the City of Dubuque, Iowa; a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of the corporation, and that the instrument was signed and sealed on behalf of the corporation, by authority of its City Council, as contained in Resolution No. 47 - 10 passed by the City Council on the 2/15/10 ; and Roy D. Buol and Jeanne F. Schneider acknowledged the execution of the instrument to be their voluntary act and deed and the voluntary act and deed of the corporation, by it voluntarily executed. 3 tki At- ,o Notary Public, State of Iowa • KEVIN S. FIRNSTAHL COMMISSION NO.745295 MY COMMISSION EXPIRES cV/k? ice 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 Certificates of Insurance required hereunder shall provide a thirty (30) day notice of cancellation to the City of Dubuque, except for a ten (10) day notice for non- payment, if cancellation is prior to the expiration date. 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. 1 of 2 January 2008 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 & EMPLOYERS LIABILITY Statutory for Coverage A Employers Liability: Each Accident $100,000 Each Employee — Disease $100,000 Policy Limit — Disease $500,000 c) UMBRELLA EXCESS LIABILITY LIQUOR OR DRAM SHOP LIABILITY Coverage to be determined on a case by case basis by Finance Director. Completion Checklist ❑ Certificate of Liability Insurance (2 pages) ❑ Designated Location(s) General Aggregate Limit CG 25 04 03 97 (2 pages) El Additional Insured 20 26 07 04 ❑ Governmental Immunities Endorsement 2 of 2 January 2008 THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO AU. THE TERMS. EXCLUSIONS AND CONDMONS OF SUCH POLICES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR LY LTR ADL MISRD TYPE OF INSURANCE POUCY NUMBER DDAT�E (M EFFECTIVE M IDDIYY) DA MI DATE (MDDIYY) UNITS A x GENERAL UABIUTY COMMERCIAL GENERAL INABILITY EACH OCCURRENCE D00 X PREMISE$ (Es R 000 1 CLAMS MADE X OCCUR MED EXP (Any one Person) 000 PERSONAL i ADV INJURY D00 GENERAL AGGREGATE $ 2,000,000 GEWL AGGREG Limn APPLIES PER PRODUCTS - COMP/OP AGG $ 1,000,000 7 POLICY (XI PCT 17 LOC A AUTOMOBILE UTOMOBILE UABIUTY ANY AUTO ALL OWNED AUTOS SCHEDULED AUTOS HIRED AUTOS NON -OWNED AUTOS COMBINED SINGLE LIMIT accident) S 1, 000 , 000 X BODILY INJURY «) s — — BODILY INJURY (Pr accident) f — PROPERTY DAMAGE (Pr accident) • 10 41 N N N. N GARAGE UABIUTY R ANY AUTO AUTO ONLY - EA ACCIDENT OTHER THAN EA ACC AUTO ONLY AGG EXCESSIUMBRELLA LABILITY 7 OCCUR CLAMS MADE spf 1 EACH OCCURRENCE AGGREGATE DEDUCTIBLE RETENTION i 0 $ R _ _ A WORKERS COMPENSATION AND EMPLOYERS' UABIUTY ANY PROPRIETOR/PARTNER/EXECUTIVE OFFICERAYEMBEREXCLUDED? K yes, dssat. under SPECIAL PROVISIONS brow yy� X' TORY lS l ER EL. EACH ACCIDENT $ 100 , 000 E.L. DISEASE -EA EMPLOYEES 100,000 EL DISEASE - POLICY LMIT S 500, 000 OTHER DESCRIPTION OF OPERATIONSILOCATIONS/VEHICLESIECCLUSNONS ADDED BY ENDORSEME NTISPECIAL PROVNSIONS City of Dubuque is listed as an additional insured on general liability policies using ISO endorsement fora CG 2026 0704 "Additional Insured - Designated Person or Organization" or its equivalent. General Liability policy is primary i non - contributing. lore CG 2504 0397 "Designated Locations" general liability aggregate limit is included. Governmental immunities endorsement is included. ACORD,, CERTIFICATE OF LIABILITY INSURANCE PROOUCER (563)123 -4567 Insurance Agency Street Address City ST Zip Code Fax (563) 987 -6543 INSURED Company Street City St Zip Code INSURERS AFFORDING COVERAGE INSURER k Insurance Coapariy INSURER 9: INSURER C INSURER D: INSURER E: COVERAGES CERTIFICATE HOLDER City of Dubuque 50 West 13th Street Dubuque, IA 52001 ACORD 25(2001/081 DATE (YMIDD/YYYY) 12/7/2007 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER VMLL ENDEAVOR TO MAIL 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO DO SO SHALL IMPOSE NO OBLIGATION OR UABIUTY OF ANY KIND UPON THE INSURER, ITS AGENTS OR REPRESENTATIVES. AUTHORIZED REPRESENTATIVE O ACORD CORPORATION 1988 &CORD 25 (2001/08) NS025 {oboe) oe AMS IMPORTANT If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). DISCLAIMER The Certificate of Insurance on the reverse side of this form does not constitute a contract between the issuing insurer(s), authorized representative or producer, and the certificate holder, nor does it affirmatively or negatively amend, extend or alter the coverage afforded by the policies listed thereon. Page 2of2 POLICY NUMBER: THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART SCHEDULE Designated Location(s): (If no entry appears above, information required to complete this endorsement will be shown in the Declarations as applicable to this endorsement.) A. For all sums which the insured becomes legally obligated to pay as damages caused by "occur- rences" under COVERAGE A (SECTION I), and for all medical expenses caused by accidents under COVERAGE C (SECTION 1), which can be attributed only to operations at a single desig- nated "location" shown in the Schedule above: 1. A separate Designated Location General Aggregate Limit applies to each designated "location ", and that limit is equal to the amount of the General Aggregate Limit shown in the Declarations. 2. The Designated Location General Aggregate Limit is the most we will pay for the sum of all damages under COVERAGE A, except dam- ages because of "bodily injury" or "property damage" included in the "products - completed operations hazard ", and for medical expenses under COVERAGE C regardless of the num- ber of: a. Insureds; b. Claims made or "suits" brought; or c. Persons or organizations making claims or bringing "suits ". 3. Any payments made under COVERAGE A for damages or under COVERAGE C for medical expenses shall reduce the Designated Loca- tion General Aggregate Limit for that desig- nated "location ". Such payments shall not re- duce the General Aggregate Limit shown in DESIGNATED LOCATION(S) GENERAL AGGREGATE LIMIT COMMERCIAL GENERAL LIABILITY CG 25 04 03 97 the Declarations nor shall they reduce any other Designated Location General Aggre- gate Limit for any other designated "location" shown in the Schedule above. 4. The limits shown in the Declarations for Each Occurrence, Fire Damage and Medical Ex- pense continue to apply. However, instead of being subject to the General Aggregate Limit shown in the Declarations, such limits will be subject to the applicable Designated Location General Aggregate Limit. B. For all sums which the insured becomes legally obligated to pay as damages caused by "occur- rences" under COVERAGE A (SECTION I), and for all medical expenses caused by accidents under COVERAGE C (SECTION I), which can- not be attributed only to operations at a single designated "location' shown in the Schedule above: 1. Any payments made under COVERAGE A for damages or under COVERAGE C for medical expenses shall reduce the amount available under the General Aggregate Limit or the Products - Completed Operations Aggregate Limit, whichever is applicable; and 2. Such payments shall not reduce any Desig- nated Location General Aggregate Limit. CG 25 04 03 97 Page 1 of 2 CG 25 04 03 97 C. When coverage for liability arising out of the "products - completed operations hazard" is pro- vided, any payments for damages because of "bodily injury" or "property damage" included in the "products - completed operations hazard" will reduce the Products- Completed Operations Ag- gregate Limit, and not reduce the General Ag- gregate Limit nor the Designated Location Gen- eral Aggregate Limit. D. For the purposes of this endorsement, the Defi- nitions Section is amended by the addition of the following definition: Page 2 of 2 Copyright, Insurance Services Office, Inc., 1996 "Location' means premises involving the same or connecting Tots, or premises whose connection is interrupted only by a street, roadway, waterway or right -of -way of a railroad. E. The provisions of Limits Of Insurance (SECTION 11I) not otherwise modified by this endorsement shall continue to apply as stipulated. CG 25 04 03 97 POLICY NUMBER: COMMERCIAL GENERAL LIABILITY CG 20 26 07 04 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 Person(s) Or Organization(s) 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. Information required to complete this Schedule, if not shown above, will be shown in the Declarations. Section II — Who Is An Insured is amended to in- clude as an additional insured the person(s) or or- ganization(s) shown in the Schedule, but only with respect to liability for "bodily injury", "property dam- age" or "personal and advertising injury" caused, in whole or in part, by your acts or omissions or the acts or omissions of those acting on your behalf: A. In the performance of your ongoing operations; or B. In connection with your premises owned by or rented to you. All terms and conditions of this policy apply unless modified by this endorsement. CG 20 26 07 04 Includes copyrighted material of Insurance Services Office, Inc. with permission. Page 1 of 1 0 ISO Properties, Inc., 2004 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 1 of 1 January 2008