Loading...
Item C27AGENDA ITEM SUMMARY Meeting Date: May 21, 2014 Division: Public Works & Engineerin Bulkltem: Yes X No Staff Contact Person: Kevin Wilson/305-797-1547 AGENDA ITEM WORDING: Approval of the Third Amendment to the Lease Agreement with the Pigeon Key Preservation Foundation (Foundation). ITEM BACKGROUND: The County previously approved the second amendment to the lease which removed the language assigning responsibty for the vehicle access ramp to the Foundation. The amendment also removed the language that made the required the foundation to maintain the leasehold at its "sole expense". This reason for removing this latter language was to allow the Foundation to seek funding for maintenance from a broader array of sources, such as the TDC. This third amendment removes inconsistent language remaining in the lease that limited the sources of funding available for such repairs. PREVIOUS RELEVANT BOCC ACTION: zmei7 asz t* leaschold. Previously amended the lease to remove the language assigning responsibility for the vehicle access ramp to the Foundation and requiring maintenance to be performed at the Foundations sole expense. CONTRACT/AGREEMENT CHANGES: Deletj ..j linggWi e IQIV �j rejgired j �j I _ j I I I 1161t I I V-16 WTH I I arvirldrM 1161WIB I WE I 6iWei-Epo 6r.] M) Eq Its I 'N �lriill 114a., Vil! M�1 =� TOTAL COST: TBD BUDGETED: Yes No XX COST TO COUNTY:N/A SOURCE OF FUND: I IRATJ Diet liall411111 17111i''[11111 FEWN Mwl P�tL, -C (4),� APPROVE -- D BY: County Atty OMB/Purlga�sing — Risk Management DOCUMENTATION: Included X Not Required DISPOSITION: AGENDA ITEM # w. A Contract with: Pigeo Be FoundatiQn Contract # Effective Date: Expiration Date: Contract Purpose/Description: Third Amendment to Leggj Ageernent rpMpvm. �_S incon§ist Immage regmijigg the Foundation to be s f 2k-ly responsiblNo all costs and Menses f qLMair of the leasehold 12W=.y Contract Manager Beth Leto 4560 Public Works/#I I (Name)(Department/Stop #) I for BOCC meeting on May 21, 2014 W-01:0.11Z Deadline: May 6,2014 Total Dollar Value of Contract: $ TED Current Year Portion: $ Budgeted? YesEl GoE] Account Code: Grant: $ County Match: $ 2 Estimated Ongoing Costs: S - ot—It included in doller value above For: Changes Date Out Dgte In Needed Reviewer Division Director j YesEl NoKr Risk Management yesONOF]" O.M.WPurefai-sing :2�Z-Jlf YesE]No® Y L County Attorney YesL1 N09 A, 6".r Comments: VC0137-07110:1 X M ......... ......... ........ .......... WHEREAS, on the 19" of October 1993, County and Lessee entered in to a 30 year lei for the parcel of property known as "Pigeon Key"; and WHEREAS, on the 16" of January 2013, County and Lessee executed amendment deletine Lessee's obligation to wallitait a # rq"Jel . . . . . . . WHEREAS, on December I Vh 2013 County and Lessee entered into a second amendment transferring responsibility for maintenance of the vehicle ramp connecting Pigeox Key to the old Seven Mile bridge from the Lessee to the County; and WHEREAS, the second amendment also deleted the language in Article 2 of the lease that stated that the Lessee was required to maintain the facilities "at its sole expense" in order to broaden the funding sources Lessee could apply for and to allow Lessee to prepare for grant fimding applications on behalf of the County; and WHEREAS, Article 16 of the lease agreement has limiting language that is inconsistent with the intent of the second amendment, now therefore; IN CONSIDERATION of the premises and of the mutual covenants and agreements herein contained, and other valuable considerations, the parties agree as follows: Sf2QDQN L Article 16. jQINT )MIM. of the original agreement is amended as follows: 16, &jff yENnM. Lessee an Lessor warrant and represent that by the execution of this Lease Agreement it is not the intent of the parties that the use of the leasehold property by ..... . . . . . . -j Lessee shall be responsible for seeking arid applying for funding sources to effect the purposes of this Agreement therefore, nothing contained within the Agreement is to be construed as a limitation on the Lessee"s ability to apply for funding for repairs and maintenance. In addition, Lessor, as the owner of the improvements, shall also be authorized to apply for grant fieming to effect the purposes of this Agreement. Lessor and its authorized agents, contractors and employees shall have the right to enter upon the leased premises when Lessor, at its discretion, undertakes a repear or unprovement. MQUO—N2. This amendment shall be retroactive to April 1, 2014. U,CjjQN---3, All other provisions of the October 19, 1993 original lease, the January 16, 201-3 lease amendment and the December 11, 2013 second lease amendment not inconsistent herewith, shall remain in full force and eftect. IN WITNESS WHEREOF each party hereto has caused this agreement to be executed in duplicate by its duly authorized representative. (SEAL) ATTEST: AMY BEAVILIN, CLERK By Deputy Clerk Date (CORPORATE SEAL) ATTEST: By witness Date L�> BOARD OF COUNTY CON[IGISSIONERS OF MONROE COUNTY, FLORIDA W1 Mayor Sylvia Murphy PIGEON KEY PRESERVATION FOUNDATION A Florida Not-ibr-Profit Corporation BY - �Ze4�- M to C I 10r�NLY P .0,- 'V tj RCAPj0 PED10 J', . RNEY AS ISTANF.- Iva i I %ty Date, o -- - e: 71" i Gi i '111111i 1511ii IL THIS AMENDMENT (hereafter Amendment) is made and entered into this I I th day December, 2013 by and between Monroe County, a political subdivision of the State of Florid whose address is Gato Building, 1100 Simonton Street, Key West, FL 33040 (hereinaft "County", "Lessor" or "Owner"), and the Pigeon Key Preservation Foundation, A Florida No For -Profit Corporation, P.O. Box 500130, Marathon Fl. 33050 (hereinafter "Lessee"). )I WHEREAS, on the I 91h of October 1993 County and Lessee entered in to a 30 year lease forte parcel of property known as "Pigeon Key"; and WHEREAS, on the 16 1h of January 2013 County and Lessee executed a lease amendme deleting Lessee's obligation to maintain property insurance due to its prohibitive cost; and i WHEREAS, under the terms of the lease, Lessee is required to maintain the vehicle ramp connecting Pigeon Key to the Old Seven Mile bridge; and WHEREAS, the ramp requires refurbishment and repairs based on a lifecycle that exceeds the terms of the basic lease; and, ITAEREAS, encumbering the Lessee with the sole financial responsibility for the repaij limits the sources of funding available for such repairs; now therefore; mllxwnw-,�is�f �-- - I a W Uld I I IMM 11 r. I I I We Owl I E4 11614 IN (ATV I to ro W U-IMU 03 Ef M V 10 Ell IRM I I r-A volt I it I MWO Im axim w7_2 tu I SECTION 1. Article 2. MAINTENANCE OF PREMISES AND FACILITIES of the origin agreement is amended as follows: i 2. MAINTNENANCE OF PREMISES AND FACILITIES. Lessee has inspected the premises and agrees to accept possession of the premises in "as is" condition. expense. Lessee shall maintain the facilities including the buildings, sewage system, boat basin, picnic shelters, generator, fuel tank, and any appurtenances thereof and any improvements made in a state of good repair and in a sanitary condition at all times. Work such as stabilization repairs and painting will be deemed maintenance. Buildings shall be maintained as Historical Buildings in conformance with applicable regulations. c*iYm:i!it iwpe-sv1`116�i-4o cowniyift4 was�v 44,nj�564.114 Init�FetiY-.4't t* ffly improvements thereon. Lessee acknowledges that Lessor shall have no responsibility for the operation and maintenance of the leasehold except to provide such municipal services as are available to and are provided to all property owners or occupants of property within Monroe County, Florida, at the Lessees expense. The parties agree that neither the Lessor nor the Lessee shall have any obligation to the other party to maintain the bridge that currently connects the Island to Knight s Key. The Lessor will maintain the ramp from the bridge to the Island If the bridge cannot be used for access to the Island the Lessee may provide public access through other means, including the use of watercraft. SECTION 2. All other provisions of the October 19, 1993 original lease and the January 16 1h fflksmm- MY HEAVILIN, CLERK By 'AW Dep99'ty'Clerk By �(- 'L V Mayor4lvia aurphy ATTEST: PIGEON KEY PRESERVATION FOUNDATION A Florida Not -for -Profit Corporation By By Witness I=- c_aca MG E OUN cr) AVC0 NEY x. ED S M A SISTANT UNTY 61-F(PRNEY LL- Date... M LLj El 12 144 X810 N 478 Wti I D1 I L13 1Z I Z I 1110 11111 TI-IIS AMENDMENT (hereafter Amendment) is made and entered into this 16th day of January, 2013 by and between Monroe County, a political subdivision of the State of Florida, whose address is Gato Building, 1100 Simonton Street, Key West, FL 33040 (hereinafter "County", "Lessor" or "Owner"), and the Pigeon Key Preservation Foundation, A Florida Not - For -Profit Corporation, P.O. Box 500130, Marathon Fl. 33050 (hereinafter 'Tessee7). WHEREAS, on the 19'� of October 1993 County and Lessee entered in to a 30 year leasI for the parcel of property known as "Pigeon Key"; and I � III III 1 11 iffiffiliffiffliffil � . 0 6 & , . I WHEREAS, under the terms of the lease Lessee is required to maintain property insurance on the premises to cover the perils of fire, windstorm and flood; and WHEREAS, under the terms of the lease Lessee is also required to maintain comprehensive General Liability, Vehicle Liability, and Workers Compensation; and WHEREAS, as it relates to the Lessee's cost of complying with the insurance requirements, the Wind, Flood, and Fire property insurance premiums have become cost - prohibitive; and WHEREAS, Lessee has requested that the County waive only the property insurance requirements; and WHEREAS, at the regularly scheduled December 12, 2012 County Commission meetinTA the Board of County Commissioners discussed the request and unanimously approved th(; request, now therefore; SECTION I, Article 15 b) - related to fire, windstorm and flood coverage - is deleted in its entirety. ZECTION 2. All other provisions of the October 19, 1993 original lease not inconsistent m ATTEST: AMY DEAVILIN, CLERK Deputy Clerk Date 14, a.. 3 (CORPORATE SEAL) ATTEST: By Date (V 7>.1 0. T— ffow orge Neugent PIGEON KEY PRESERVATION FOUNDATION A Florida Not -for -Profit Corporation By 7,� rE A"ST Y PE0,10 A83%siAmrin-u 'ATTORNEY Date 31, pj cn CA CD 'LEASE AGREEMENT Lease Agree en made this day of October, 1993, by And between the Board of County Commissioners of Monroe County, hereinafter "Lessor" and the Pigeon Key Preservation Foundation, Inc., a Florida Not -For -Profit Corporation chartered under the laws of the State of Florida, hereinafter called "Lessee: RECITALS 1. Lessor owns a parcel of property known as "Pigeon Key" (hereinafter the "premises") located southwest of Marathon under the Old Seven Mile Bridge. 2. The ownership and maintenance of the premises by the Lessor has created a financial burden upon the taxpayers of Monroe County, Florida due to the high cost of maintenance and repair required by the premises. 3. The buildings located upon the premises have greatly deteriorated and require extensive and costly renovation and repair. 4. It is in the best interest of the citizens of Monroe County, Florida that a tenant be obtained by Lessor for the premises who will make 'the required renovations and repairs upon the Premises at tenant's expense. 5. on or about the 9th day of pja 1992, Lessor published in several newspapers a request for proposals from persons desiring to lease the premises, a copy of which is attached hereto as Exhibit "All. 6. At public onroe County Commission meeting held the a M 6th day of October, 1992, the Lessee was ranked first of the groups responding to Lessor's request for proposals for the purpose of negotiating a lease for the premises by the Monroe County Commission. 7. Lessee is a Non -Profit Florida corporation formed to protect and preserve the valuable heritage of Pigeon Key and for the purpose of performing environmental research, historical and educational work, historical restoration and renovation of Pigeon Key' s improvements, and other educational and charitable activities. 8. Lessor finds that the program proposed by Lessee benefits all of Monroe County and its citizens. 9. Lessor finds that Lessee is a unique organization bringing together many professionals from related fields for the purpose of protecting, preserving and fully utilizing Pigeon Key for public interest purposes. These professionals include but are not limited to scientists, administrators, teachers, historians and business persons. 10. Pigeon Key has been designated by the U.S. Department of Interior a National Historical District. 11. As a result 'of this designation, renovation and restoration of the improvements upon the premises must meet the standards for historical renovation set forth in federal regulations. Cost of these improvements, estimated to exceed one million dollars, shall be paid by the Lessee under Lessee's 1034101%gkm-W 0 12. All costs Of maintenance and upkeep of the premises, which had been costing Lessor approximately $60,000 per year, shall be paid by the Lessee under Lessee's proposal. 13. Lessor finds that the proposal presented by Lessee is the highest and best bid for leasehold of the premises and that the capital improvements, maintenance and uses for the premises proposed by Lessee constitute the greatest benefit to the citizens of Monroe County of the proposals presented. 14. Lessor is unable to provide adequate funding for the improvements and maintenance of the premises without creating a to term tax burden on the citizens of Monroe County. 15. Lessor finds that entering into a lease with Lessee that requires Lessee to restore and maintain the improvements on the premises at the expense of Lessee is in the best interest of Monroe County, Florida. NOW, THEREFORE, in consideration of the mutual promises and covenants set forth herein and of good and valuable considerations exchanged the parties agree as follows: 1. TENANCY AND TERM. Lessor does lease to Lessee for a period of thirty years from date of execution of this Lease the island known as Pigeon Key located adjacent to the Old Seven Mile Bridge immediately southwest of Marathon more particularly described as Lot 1, Section 13 in the or East Quadrant of Township 66S, Range 31E consisting of 5.31 acres more or less. 0 21 14AINTENANCE OF PREMISES AND FACILITIES. Lessee has inspected the premises and agrees to accept possession of the premises in "as is" condition. Lessee shall maintain the grounds in a neat condition, at all times, at Lessee's sole expense. Lessee, at its sole expense, shall maintain the facilities including the buildings, vehicular ramp, sewage system, boat basin, picnic shelters, generator, fuel tank, and any appurtenances thereof, and any improvements made, in a state of good repair and in a sanitary condition at all times. Work such as stabilization, repairs and painting will be deemed maintenance. Buildings shall be maintained as Historical Buildings in conformance with applicable regulations. Lessee shall not commit, -nor suffer to be committed, waste to leasehold property, or to any improvements thereon. Lessee acknowledges that Lessor all have no responsibility for the operation and maintenance of the leasehold, except to provide such municipal services as are available to and are provided to all property owners or occupants of property within Monroe County, Florida, at the Lessee's expense. The parties agree that neither the Lessor nor the Lessee all have any obligation to the other party to maintain the bridge that currently connects the Island to Knight's Key. The Lessee will maintain the ramp from the bridge to the Island. if the bridge cannot be used for access to the Island, the Lessee may provide public access through other means, including the use of watercraft. 0 3. RENT. Lessee shall pay to Lessor the sum of One Dollar per year for a total of Thirty Dollars due and payable upon execution of this Lease. 4. PERMITTED USES. it is hereby agreed that the premises shall be used for oceanographic and environmental research and for educational purposes relating to but not limited to the preservation and protection of the history and environment of the Florida Keys. Community and educational benefits: Use all include activities and events designed to attract visitors and residents of Monroe County to Lessee sponsored or authorized community events having a historical and./or educational format. Lessee shall devote the property to uses pursuant to the terms of the Master Plan, including the Educational Program Phases. Research and programs undertaken by Lessee or associate organizations all include but not be limited to those which restore and maintain a healthy marine environment in and around Monroe County., Education programs must be those is include but are not limited to the history and environment of Monroe County. A) Public Access: The Lessor and Lessee agree that Lessee must engage in a program of managed public access to the island and the buildings and other improvements located thereon. Lessee shall allow public access to the island for at least 8 hours a day for a minimum of 26 days per month, averaged yearly. Use of the island for environmental education by students of the 0 Monroe County School System is encouraged but shall not by itself count toward the public access requirements of the Lease. Public use as an attraction of historical significance on the island, in conjunction with use by school children at different or overlapping periods of the same day shall count toward public access requirements. Lessee can manage access through the use of organized tours of the property lead by employees or volunteers of the Lessee or its assigns. Lessee will provide a published listing of the operating days., hours, and tours so that the general public and local business community can plan for visitation to the island. Lessee's obligation hereunder shall be subject to its obtaining all required government approvals to allow for public access and visitation and shall also be subject to any force majeure, safety concern or other conditions outside of the control of Lessee' that prohibit Lessee from allowing public access to the premises. Maximum capacity to the island and of each facility open to visitations be established by the Fire Marshal. Lessee agrees to use all reasonable efforts to apply for and diligently pursue obtaining the governmental approvals necessary to permit public access to the island. If the island is not open for public access at least 312 days in any calendar year for reasons other than the exceptions identified above, Lessee shall provide the Lessor a proposed schedule of the -days the island will be opened during the next one to two calendar years. The schedule shall contain a sufficient number of days that when added to the actual number of days the island was open during the prior year and divided by 2 A in the case of a one year schedule, or divided by 3 in the case of a two year schedule, provides for an average of 312 days per year that the island shall have been opened during that two or three year period. Deviations from the schedule published to correct such deficiencies shall require Lessor approval. Compliance with the schedule shall be of the essence of this Lease, and non-compliance shall be deemed a default entitling the Lessor to terminate as provided in paragraph 2. Notwithstanding the above, the Lessor agrees that Lessee shall have no obligation to open the island to public access during the first 180 days immediately following the execution of this Lease by the Lessor and Lessee. This period of time is necessary to identify and or to eliminate hazardous or harmful conditions on the property, install interpretive and warning signs, begin to stabilize the existing structures, provide for potable water and adequate sewage treatment for the initial use of the island. The Lessee agrees to waive any claim for damages against the Lessor that it may sustain should this Lease be delayed or declared invalid by Court order for any reason. The 180 day period will be tolled in the event of the institution of litigation which would impede the progress of the work. B) Community and educational benefits: Use all include activities and events designed to attract visitors and residents of Monroe County to Lessee sponsored or authorized community events having a historical and/or educational format. Lessee shall devote the property to uses pursuant to the terms of the Master Plan, including the Educational Program Phases. 7 C) Research and programs undertaken by Lessee or associated organizations shall include but not be limited to those which restore and maintain a healthy marine environment in and around Monroe County. Education programs must be those which deal with but are not limited to the history and environment of Monroe County. D) Lessee shall only be permitted to take marine samples from within one quarter mile from the subject premises pursuant to a resources collection plan approved by the Monroe County Board of County commissioners. 5. INSPECTION FOR COMPLIANCE. Lessor shall have at any time during the term of this Lease, upon reasonable notice to Lessee, the right to enter upon the premises to inspect Lessee's compliance with the terms and conditions set forth herein. In addition, Lessee all keep the premises in a neat and clean condition as is reasonable given that the premises is an off -shore island. Lessor's right of inspection upon reasonable notice includes the right to inspect for condition of the premises. 6. CAPITAL IMPROVEMENT PLAN. Lessee shall restore the buildings located on the island in a manner which shall comply with the Secretary of the Interior's Standards for Rehabilitation and Guidelines for Rehabilitation of Historic Buildings, which standards are imposed on places listed on the National Register. The Lessee shall comply with the Capital Improvements Section of the Lessee's �-J Master Plan, incorporated herein by reference, as it relates to completing the rehabilitation of the buildings existing on the Island within five years of the execution of the Lease. The County commission may approve a revision of said Plan and subject to the Lessee' obtaining all necessary permits, resolving conflicts in applicable laws of force majeures. The Master Plan is attached hereto as Exhibit B . A copy of the Capital Improvements Section is attached as Exhibit C The Lessee may, subject to the requirements of paragraph 7, substitute the order of rehabilitative activities on a building per building basis so long as it substantially completes the rehabilitation within five years from the date of this Lease. The Lessee shall fund, pay for, or obtain funding for all construction, engineering, permitting, and maintenance of all improvements unless the County commission grants an exception. The initial maintenance and stabilization work identified on Exhibit D attached hereto may be undertaken by Lessee without further approval of the Lessor subject to obtaining required permits. 7. FUTURE IMPROVEMENTS. No structures of any kind shall be constructed on the leasehold property, or within the waters adjacent thereto, without the prior co sent of the county commission. Approval of the Master Five Year Plan does not constitute this consent. All signs must conform to County Code requirements. Prior to commencing construction of any permanent structure, additional building or dock or dredging, the Lessee shall obtain written approval from the County commission through a process commencing 2 with provision of a written request for such approval. Lessee acknowledges that the consent shall be upon such terms and conditions as the County Commission, in its sole discretion, shall deem necessary and that consent may be withheld unless Lessee agrees to all terms and conditions imposed by Lessor as a condition precedent to the granting of the consent. However, Lessee is authorized to make "minor improvements' to the leasehold property without prior approval of the County Commission as long a the minor improvements conform to the purposes of this Lease. "Minor improvements" shall refer to any work, installation, construction, grading or the like, on the leasehold property, which does not require a permit from any federal, state or local government agency. Upon termination of the Lease, all improvements made shall become the property of the Lessor. 8. CONSTRUCTION. Lessee shall, prior to commencing rehabilitation or the construction on any new improvement not deemed minor, obtain conceptual approval by the County commission pursuant to procedures specified by the County. Prior to commencing construction, Lessee shall obtain all the necessary permits along with a copy of the contractor's insurance and license. The improvements shall be erected in a good and workmanlike manner in substantial compliance with the plans and specifications as approved by the Lessor. Upon completion of construction, Lessee shall furnish Lessor with an affidavit from its licensed general contractor, and an affidavit from the Lessee, certifying that all M -Eirms and corporations, which have supplied labor and materials used directly or indirectly in the construction of the improvements to leasehold property have been paid in full and that there are no outstanding construction liens pertaining to the leasehold property and improvements thereon. 9® COMPLIANCE WITH LAWS. Lessee covenants that it will promptly comply with all applicable laws, ordinances and regulations. Further, Lessee shall use the leased premises only for the purposes authorized herein. 1,0. PERMIT FEES, IMPACT FEES.LETC- Lessee shall be responsible for obtaining, at its sole expense, all permits and licenses required to construct or repair improvements, and otherwise operate the leasehold premises. In addition, Lessee shall be required to pay all permit fees, utility fees and impact fees resulting from improvements made or additional services to the leasehold, unless otherwise waived. 11. UTI.LITIES. Lessee shall pay for all water, gas, diesel, heat, septic, light, garbage service, power and telephone service and other utilities of every kind furnished to the premises throughout the term hereof, and all other costs and expenses of every kind whatsoever in connection with the use, operation and maintenance of the premises and all activities conducted thereon, and Lessor all have no responsibility of any kind for any thereof. no 12. RIGHT OF INSPECTION. Lessor, by and through its authorized agent., shall have the right at all reasonable times during the term of this Lease Agreement and any renewal thereof, to enter the leased premises for the purpose of inspecting the premises for compliance with this Agreement and improvements proposed, underway or completed, and while doing so, the lessor shall not be liable to the Lessee for any loss of occupation or quiet enjoyment of the premises thereby occasioned. 13. pAYMENT OF TAXES. Lessee shall promptly pay any and all taxes and special improvement assessments as may be levied on the property during the period of this Lease. Should the State of Florida determine that this leasehold is subject to sales tax, Lessee shall be solely responsible for the payment of said tax. 14. ADMISSION FEE. Lessee all have the right to establish classes or membership and charge for same. Lessee may charge a reasonable admission fee, by local community standards in the Keys, to the public for any programs which Lessee may conduct on the premises provided the admission fees are charged for the purpose of defraying the expenseslof providing the programs for the public, defraying the financial burden of the scientific/research programs is are conducted by Lessee and for maintenance, restoration, improvement and construction of the island's existing and proposed facilities, and any endowments for the above. All public program fee rates shall be approved by the M County commission prior to implementation and reviewed annually thereafter. 15. HOLD HARMLESS/INSURANCE. Lessor and Lessee hereby agree that Lessor shall not be liable for any loss, injury, death or damage to persons or property which at any time may be suffered or sustained by any person whatsoever who may be using, occupying, or visiting the leasehold property, or who may be in, on or about the leasehold property and any improvements constructed thereon by Lessee, whether such loss, injury, death or damage shall be caused by, or shall in any manner result from, or arise out of any act, omission or negligence of Lessee or any other periods. Lessee hereby covenants and agrees to indemnify Lessor and hold harmless Lessor during the term of the Lease of any holding over thereof, from all claims, liabilities, loss, injury, death or damage whatsoever on account of, or arising out of the subject matter of this Lease Agreement. Lessee further agrees to provide the following insurance coverages: A) A Comprehensive General Liability insurance policy with the limits of at least TWO HUNDRED FIFTY THOUSAND & 00/100 ($250,000-00) DOLLARS for each person injured in an accident or occurrence and FIVE HUNDRED THOUSAND & 00/100 ($500,000-00) DOLLARS for an aggregate of persons injured as a result of one accident or occurrence, and FIFTY THOUSAND ($50,000-00) DOLLARS for property damage coverage. Said insurance shall be placed with an insurance company acceptable to M Lessor. Lessor shall be named an additional insured and certificate of insurance shall be furnished to the Lessor, prior to the date of the signing of this Lease Agreement., and each anniversary date of the insurance policy. Said policy shall provide that the insurance coverage shall not be cancelled or reduced by the insurance carrier without the Lessor having been given fifteen (15) days prior written notice thereof by such carrier. From time to time, Lessor may require Lessee to increase its public liability coverage if Lessor's liability is increased as a matter of law. b) Lessee shall keep all buildings on the leased property insured for their full insurable value and a policy insurance with extended coverage, fire, windstorm and flood coverage, including a loss payable clause in favor of Lessor, and lessee, as their respective interest may appear, shall be included. Any sums payable by virtue of a loss under such insurance shall be applied first to the repair or reconstruction of any building damages, unless the parties hereto agree to another or different application of the insurance proceeds aid. The original policy or other satisfactory evidence thereof, shall be furnished to the Lessor, prior to the execution of this Lease Agreement and on each anniversary date of the insurance policy. Said policy shall provide that the insurance coverage shall not be cancelled or reduced by the W insurance carrier without Lessor having been given fifteen (15) days prior written notice thereof by such carrier. C) A vehicle liability insurance policy with limits of at least ONE HUNDRED THOUSAND ($100,000-00) DOLLARS per person, THREE HUNDRED THOUSAND ($300,000.00) DOLLARS per occurrence for bodily injury and ONE HUNDRED THOUSAND ($100,000.00) DOLLARS for property damage. Said insurance shall be placed with an insurance company acceptable to the Lessor, and shall include hired and non -owned coverage. Lessor shall be named as an additional insured and a certificate of insurance shall be furnished to the Lessor prior to the date of the signing of the Lease Agreement and each anniversary date of the insurance policy. D) workers compensation insurance in compliance with Section 440, of the Florida Statutes, including OKE HUNDRED THOUSAND ($100,000.00) DOLLARS in employer's liability. 16. JOINT VENTURE. Lessee and Lessor warrant and represent that by the execution of this Lease Agreement it is not the intent of the parties that the use of the leasehold property, by Lessee or the construction of improvements thereon by Lessee, be construed or deemed to represent a joint venture or undertaking between the Lessor and Lessee. Lessee shall, at all times, be solely R9 responsible for the operation and maintenance of the leasehold . property, the improvements constructed thereon, and the conduct of all activities and services, provided by Lessee as part of its operation. Additionally, Lessee shall be solely responsible for all costs and expenses incurred with reference to its use of the leasehold property and construction of any improvements thereon. 17. RENTAL AMOUNT. The faithful performance by Lessee of all of the terms, conditions and covenants contained herein shall be deemed to be substantial valuable consideration for the grant of this leasehold to LESSEE. Additionally, Lessee shall pay the sum of ONE ($1.00) DOLLAR, per year, to the Lessee as consideration for said Lease Term. 18, RIGHT OF FIRST REFUSAL. If, during the term of this Lease or any extensions thereof, Lessor elects to enter into a lease of the premises or receives a bona fide offer, acceptable to the Lessor, to lease the premises after the termination of this Lease, the Lessor shall notify the Lessee of the terms of such offer (including the consideration) and the name of the offerer, if any, (the "Notice") before accepting the same, and the Lessee shall have thirty (30) days from receipt of said Notice ("Exercise Period") to lease the premises on the same terms of such on fide offer with such lease commencing after the termination fo this Lease. If Lessee fails to exercise its right within said Exercise Period, the County may lease the premises to such third person in accordance with the terms and conditions of the offer set forth ON. in the Notice. If such lease is not executed within one hundred eighty (180) days from the expiration fo the Exercise Period, and this Lease is still in effect, the rights granted to the Lessee in this paragraph shall continue in full force and effect as to any future proposals or offers for lease that occur during the term of this Lease. If, during the term of this Lease, Lessor elects to sell the premises, or receives a bona fide offer, acceptable to the Lessor, for the purchase of the premises, the Lessor shall notify the Lessee of the terms of such offer (including the consideration) and the name of the offerer, if any, (the "Notice") before accepting same, and the Lessee shall have thirty (30) days from receipt of said Notice ("Exercise Period") to purchase the premises on the same terms of such on fide offer. If Lessee fails to exercise its right within said Exercise Period, the Lessor may sell the premises to such it person in accordance with the terms and conditions of the offer set forth in the Notice. IF such sale is not consummated within one hundred eighty (180) days from the expiration of the Exercise Period, the rights granted to the Lessee in this paragraph shall continue in full force and effect for the remainder of the to of this Lease. If the Lessor shall sell the premises after a failure of the Lessee to exercise its rights hereunder, such sale shall be subject to the provisions of this Lease. 19. PLEDGE OR ASSIGNMENT OF LEASE. Lessee shall not pledge or assign this Lease Agreement, or sublet any part of the leased property, and Lessee all have a no right, to mortgage or encumber any part of the leasehold, or improvements located thereon without the approval or the County commission. The staff or scientists of Mote Marine Laboratory or similar marine research institute shall be allowed to use a portion of the island subject to the provisions of paragraph 3. Lessee shall not allow the use of the leasehold by any other group or organization, in excess of two weeks per group or organization, without the prior approval of the County Administrator. In addition to Lessee keeping the leasehold and improvement thereon free and clear of all liens, claims or lien and encumbrances, Lessee does hereby indemnify and hold harmless the Lessor of and from, all or any lien, claim of lien or encumbrance, whether the validity of the same shall be in question or not, and said indemnifications shall include Lessee paying for all reasonable court costs, attorney's fees and expenses as may be incurred by Lessor in protecting the leasehol-d against and from any lien, claim of lien or encumbrance. The indemnification shall include court costs and attorney's fees at the trial court level, as well as attorney's fees and costs associated with appellate proceedings, if any. 20. PROGRESS REPORT. Lessee shall be required to prepare annual written and oral reports during the first ten years of the Agreement and annual reports thereafter to the County commission regarding the progress being made in fulfillment of Lessee's financial condition including fund raising efforts/successes, and costs incurred to comply with the of and objectives specified in FU this Agreement and the Master Plan. Further, the report shall contain a project schedule tracking each project identified in the Master Plan and noting the phase of development/improvement for each. Also, specific accomplishments should be included in the annual report. The first report shall be due one year following the execution date of the Agreement. 21. TERMINATION. A) The Lessee acknowledges that the conditions, covenants and requirements on its part to be kept, as stated herein, are material inducements to the Lessor entering into this Lease Agreement. Should the Lessee fail to perform any of the conditions, covenants and requirements on its part to be kept, then this Lease Agreement may be terminated at the option of the Lessor. In such event, the Lessor may take possession of leasehold property and improvements, and shall have the right to remove all persons therefrom. The failure of Lessor to take any action with respect to any breach of any term, covenant or condition contained herein, or any instance of default, all not be deemed to be a waiver of any subsequent breach, of the same or other condition, and the subsequent acceptance of rent or further performance hereunder by Lessee should not be deemed to be a waiver of any default or breach by Lessee. B) If the Lessee at any time during the term of this Lease should lose its tax-exempt status for Federal Income Tax purposes for more than one (1) taxable year, the Lessor may, at its option-, terminate this Lease by giving Lessee written notice of such termination and specifying the date of termination. The W Lessee shall, at Lessor's request, furnish evidence of the continuation of such tax-exempt status and a failure to furnish such evidence in acceptable form to the Lessor after request shall constitute a default hereunder. ) In the event that Lessee ceases its corporate existence, files for bankruptcy, or becomes financially insolvent, then the Lessor may, at its option, terminate this e event that Lessee uses the premises in any way not contemplated by this Lease, the Lessor may terminate this Agreementof g the procedures in paragraph 22, below. the Lessor's option, all new structures constructed by the Lessee located on the leasehold oe Lessee, at its sal.e expense, e leasehold y shall be returned to its stateat the beginning. 22. NOTICEOF F In the event of a defaulto r c of any covenant or through any use of premises whichCounty Commission finds to be a use not contemplated by the Lease, Lessor shall give Lessee written notice of the default, specifying those acts or things which mustoccur in order to cur said default, and Lessee shall have such period of time a Lessor shall designate, and not less than 30 days, in its written notice of default, within which to cure the default. Should the default remain., upon expiration of the time granted to cure the same, Lessor shall provide written notice to Lessee of the termination M1 of this Lease Agreement and such termination shall be effective immediately. 23. NORMAL EXPIRATION OF LEASEHOLD TERM. Lessee shall voluntarily quit its use of the leasehold property and shall return the leasehold property to Lessor on the date of the normal expiration of this Lease Agreement in a satisfactory condition as determined by the Lessor. At the Lessor's option, at the time of expiration of the leasehold term, all new structures constructed by the Lessee to the leasehold, shall be removed by Lessee at Lessee's sole expense. Further, Lessor shall not be required to provided notice to Lessee to quit the leasehold property upon the normal expiration of this Lease Agreement. Lessor may, in its sole discretion, allow Lessee to of over upon expiration of this Lease, on such to and conditions as Lessor shall deem warranted. In the event that Lessee shall of over, Lessor shall have the exclusive right to determine the terms and conditions of the same, and shall notify Lessee of those conditions in writing. 24. QUITE ENJOYMENT. Lessor covenants with Lessee, that upon paying the rent and performing the covenants herein set forth, Lessee shall have quiet enjoyment of the -premises during the term of this Lease without interruption by the Lessor or any or any premises in fee simple, free and clear of any and all liens, encumbrances and exceptions and that it has full power, right and authority to lease the premises pursuant to this Lease. The Lessor agrees with the Lessee to undertake the actions set forth under the M" heading "Monroe County Activities" on page 5 of the Lessee's Master plan designated Exhibit B. The parties acknowledge that the Monroe County Activities as aforesaid cannot be guaranteed; however, the Lessee agrees that it will exercise its best effort to achieve such objectives. 25. ABANDONMENT OR SuspENSION OF USE. Should Lessee voluntarily abandon or suspend its activities on the leasehold property, and should that suspension or abandonment continue for a period of Sixty (60) days, Lessor may, at it's option, terminate this Lease Agreement and Lessee shall be required, hereby, to voluntarily quit the leasehold property. In this event, Lessor may require that Lessee, at its sole expense, remove all new structures constructed by Lessee from the leasehold and return the property to Lessor in as good a condition as existed at the commencement of this Lease. 26. ZONING IN MASTER PLAN. The parties recognize that the Lessee is entering into this Lease with the intent to use the premises for those activities enumerated herein, and that the Lessee may need to obtain a change in the future land use classification of the premises under the Monroe County Year 2010 Comprehensive Plan and a change in the zoning designation applicable to the premises to allow for such uses. This Lease is made expressly conditioned upon the Lessee being able to obtain the necessary changes, if any, to the future land use classification and the zoning designation for the premises that will allow for public access to the premises for the uses specified herein, including marine and W oceanographic research, for environmental education, the use of some of the improvements as dormitories for residential use by groups each staying on a short term basis, and for use of at least one of the improvements as a residence for a caretaker, security guard or supervisory personnel. If, after a reasonable attempt Lessee is unable to obtain the necessary future land use classification and/or zoning designation to permit the above use, Lessee will have the right upon sixty (60) days for written notice to the Lessor to terminate this Lease. If Lessee exercises this right of termination, it shall, on the date of termination of the Lease, reLurn the Premises to the Lessor in the same condition as on the Commencement Date, ordinary wear and tear excepted and except for any improvements, stabilization or restoration that may have been completed prior to the termination. 27. CONTROL OF USE AND PROTECTION OF HISTORIC STRUCTURES - The Lessee agrees that it will, within six (6) months, present to the Board of County commissioners a plan which will demonstrate the continued control of the use of the facilities and the protection of the historic structures, which plan must be approved by the Board of County Commissioners. 28. BOARD OF DIRECTORS RESIDENCY RE2UIREMENTS- During the term of this Lease, the Lessee agrees that a majority of its Board of Directors shall be residents of Monroe County, Florida. W 2_19. SEVERABILITY. If any provision of this Lease is determined to be illegal or unenforceable, such determination shall not affect the validity or effect of the remaining provision of this Lease, all of which shall continue in effect as if such invalid provision had not been included in this Lease. 30. ATTORNEY'S FEES. In the event it is necessary for Lessor to bring any action against Lessee for the enforcement of any of the provisions of this Lease Agreement, Lessee shall pay unto Lessor all costs incurred by Lessor to enforce its rights hereunder, to include costs of any nature whatsoever associated with collecting sums due hereunder or incurred in obtaining compliance by Lessee with any provisions hereof, and Lessee obligation shall include a reasonable attorney's fee to any attorney hired by Lessor, the attorney's out-of-pocket expenses, and the same shall include attorney's fees and costs for appellate proceedings and declaratory relief, if any. 31. BINDING EFFECT. This Lease Agreement shall be binding upon the respective successors of the parties hereto. 32. ENTIRE AGREEMENT. This Agreement constitutes the entire Agreement of the parties and shall be binding on the parties hereto. Any previous Lease Agreement entered into by the parties hereto shall be null and void. All remedies hereinbefore and hereafter conferred on Lessor all be deemed cumulative and no one exclusive of the other, or of any other remedy conferred by law. 34. NOTICES. Any notice given Lessee or Lessor pertaining to the terms and conditions of this Lease, unless changed in the future shall be addressed. COUNTY ADMINISTRATOR PIGEON KEY PRESERVATION Public Service Building FOUNDATION, INC. 5100 College Road P.O. Box 500130 Key West, FL 33040 Marathon, FL 33050 35. TERMS OF EFFECTIVENESS. This Lease shall to effect only in the event that the Circuit Court in and for Monroe County lifts the stay of its filed judgment as provided in Rule 9.310(2) of the Florida Rules of Appellate Procedure in connection with that certain case styled Pigeon Key Historic Park, I . v. Monroe County and being Case No. 93-10244-CA-18; or in the event that the 3rd District Court of Appeal affirms the it judgment in the said case. IN WITNESS WHEREOF, the parties hereto have caused these presents to be executed as of the day and year first above written. a., Danny L. Kolhage, Clerk BOARD OF COUNTY COMMISSIONERS OF MONR1i•COUNTY J, FLORIDA By­�� By_, D, W PIGEON KEY PRESERVATION FOUNDATION, IN 'XX �plesnt-�-' APPROVEjAS JO FOW AND LE,igualr-rll�wy. mm