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CCR2019017-Attachment MUSKEGO COMMUNITY FESTIVAL, INC. AND CITY OF MUSKEGO LEASE AGREEMENT FOR THE VETERAN’S MEMORIAL PARK PAVILION The Muskego Community Festival, Inc. (hereinafter, the “Festival Committee”) and the City of Muskego (hereinafter, the “City”) hereby enter into this Lease Agreement for the use of the Veteran’s Memorial Park Pavilion owned by the City and located at W182 S8200 Racine Ave, Muskego, Wisconsin 53150. Section One: Description of Premises The City hereby agrees to lease to the Festival Committee and the Festival Committee agrees to lease from the City the following described real estate. Portion of park pavilion, described as large storage area, NW ¼ NE ¼ Sec 16 T5N R20E EX ELEC RR & SE ¼ NW ¼ VOL 1085/18 39.535 AC. EX VOL 813/303 EX VOL 928/257, 966/397 977/217 & 219 1005/42, 1056/618 EX HY (29.85 AC REMAINING) VOL 1146 PG 582 DEEDS EX MUSKEGO IND PARK & EX R 14/1079 Section Two: Term of Lease The term of this Lease Agreement shall be for two (2) years commencing on August 1, 2018 and terminating on August 1, 2020. The Festival Committee shall not be responsible for paying rent from August 1, 2018 through December 31, 2018 with the first payment being due under this agreement on January 1, 2019. In the event the Festival Committee ceases to exist during the term of this Lease, this Lease Agreement shall terminate on the day that the City receives notice of its non-existence. In this event, rent is due through the date that Festival Committee ceases to exist or the date it removes its property from the premises, whichever occurs latest. In the event the Festival Committee is not able to obtain a Special Use Permit from the City, Festival Committee may terminate this Lease Agreement upon thirty (30) days written notice to City with rent due to City through the date it removes its property from the premises. Section Three: Lease Payments Rent shall be paid by Festival Committee to City on a monthly basis in the amount of $75 per month. Payments shall be made to City on the first day of each month that rent is due. A grace period is hereby given to Festival Committee of ten (10) calendar days in the event that the rent is not paid timely. All utilities are included in the monthly rental fee. Section Four: Contact Persons A. Contact person from the Festival Committee will be the Festival Committee President. The Festival Committee will also be responsible for listing an alternate contact. B. The contact for the City will be the Director of Public Works & Development. The alternate contact person will be the Recreation Manager. Section Five: Rules and Regulations The Festival Committee will agree to abide by the following: A. The Festival Committee shall be solely responsible for maintaining the rental property in good condition during the term of this Lease Agreement. Any improvements, additions or install improvements are subject to prior review and approval by the City and will be at the expense of the Festival Committee. B. The Festival Committee agrees that they will not allow rubbish to accumulate in any form on the premises used by them or at a prescribed distance from such facility used by them. The City will not provide garbage service for their operation. C. The Festival Committee agrees that they will, at their own expense, cause all damage or injury to the property of the City of Muskego to be repaired if the Festival Committee, their agents or employees cause such damage. Any repairs must be approved in writing by City prior to commencement. D. The Festival Committee agrees that no sign or advertising matter of any kind shall be displayed on the building or grounds at Veterans Memorial Park unless approved by the City and, if necessary, the Plan Commission of the City of Muskego. E. The Festival Committee shall not, without written consent of the City of Muskego, sublet the premises or any part thereof for storage use by a third party, nor assign, hypothecate or mortgage this Lease Agreement. F. Those persons representing the City of Muskego reserve the right, exercisable at any time during the term hereof, or extension thereof, without notice to Festival Committee, to enter the premises for the purpose of inspection and making repairs to the building for the proper preservation and maintenance of said premises. G. If the premises are destroyed by fire, flood, casualty, war or any other purpose, then this Lease Agreement at the option of either party shall cease and come to an end. But in case of any partial damage, the City of Muskego may restore the premises to the previous condition. H. The Festival Committee shall be responsible for maintaining their door locks and keys, to the main storage area, as a separate key entry system from the City used door locks and key system. A key for the Festival Committee storage room doors will be kept within the Recreation Department key lock box. Section Six: Legal Provisions A. Other Governmental Regulations. This Lease Agreement is subject to any and all governmental regulations as they may be amended from time to time over the term of this Lease Agreement. If the Lease Agreement is in conflict with said regulations, the regulations must be followed. B. Assignment. Neither the Festival Committee nor the City may assign its interest under this Lease Agreement without the other party’s prior written consent, which may be granted or withheld in such party's sole reasonable discretion. C. Notices. All notices permitted or required by this Lease Agreement shall be given in writing and shall be considered given upon receipt if hand delivered to the party or person intended, or upon facsimile transmission to the fax numbers set forth herein, or email to contacts set forth herein upon confirmation by the other party, or three (3) business days after deposit in the United States mail, postage prepaid, by certified mail, return receipt requested, addressed by name and address to the party or person intended as follows: To the Festival: Muskego Festival Committee P.O. Box 167 Muskego, WI 53150 Attn: President Fax No.: _________________ Email: GEM@ticon.net To the City: City of Muskego W182 S8200 Racine Avenue Muskego, WI 53150- 0749 Attn: Director of Public Works & Development Fax No.: (262) 679-5614 Email: skroeger@cityofmuskego.org D. Governing Law. This Lease Agreement shall be interpreted and construed according to the laws of the State of Wisconsin. Any legal action regarding this Lease Agreement shall be brought and maintained in the Circuit Court of Waukesha County, Wisconsin. E. Severability of Provisions. If any of the terms or conditions contained herein shall be declared to be invalid or unenforceable by a court of competent jurisdiction, then the remaining provisions and conditions of this Lease Agreement, or the application of such to persons or circumstances other than those to which it is declared invalid or unenforceable, shall not be affected thereby and shall remain in full force and effect and shall be valid and enforceable to the full extent permitted by law. F. Captions. The captions in this Lease Agreement are inserted only as matters of convenience and for reference and in no way define or limit the scope or intent of the various provisions, terms or conditions hereof. G. Binding Effect. The terms and conditions of this Lease Agreement shall be binding upon and benefit the parties hereto and their respective successors and permitted assigns. H. Entire Agreement. This writing constitutes the entire Lease Agreement between the parties hereto, and all prior statements, letters of intent, representations and offers, if any, are hereby terminated. This Lease Agreement may be modified or amended only by written instrument signed by both parties I. Counterparts. This Lease Agreement may be executed in one or more counterparts, each of which will be deemed an original. J. Representations as to Authority. Each party to this Lease Agreement represents and warrants that: (a) it has the power and authority to consummate the transactions contemplated by this Agreement; (b) all proceedings necessary for it to consummate the transactions contemplated by this Lease Agreement have been duly taken in accordance with law; and (c) the persons executing this Lease Agreement on behalf of it have been duly authorized to execute this Lease Agreement. K. Termination. The Festival Committee agrees that at the termination of this Lease Agreement or any renewal thereof, they will promptly surrender the premises to the City and will have removed therefrom all of its personal property, placed thereon, and maintained by the Festival Committee. Any personal property remaining on the premises 30 days after expiration or other termination of this Lease Agreement shall be deemed abandoned and shall become property of the City. The Festival Committee agrees that they will peaceably vacate all premises occupied by them and deliver to the City of Muskego in good condition all premises used by them, ordinary wear and tear, damage by fire and by the elements excepted. L. Signatures. The parties agree that signatures transmitted by fax or scanned and delivered via email shall be binding on the parties hereto. Section Eight: Insurance Festival Committee shall procure and maintain during the term of this Lease Agreement at its expense, comprehensive general business liability insurance, covering the premises and the insureds against loss for personal injury and property damage. The coverage under such insurance to be not less than One million dollars ($1,000,000.00) for any person injured, Two million dollars ($2,000,000.00) for any one accident, and Fifty thousand dollars ($50,000.00) for property damage or such other coverage as the parties may agree in writing from time to time. The City shall approve the coverage. Festival Committee shall also carry during the term of this Lease Agreement, fire insurance with extended coverage, vandalism and malicious mischief and theft and the mysterious disappearance endorsements covering the contents of the premises and all alterations, additions and leasehold improvements in the amount of their full replacement value. Such policies shall cover both City and Festival Committee, as their interest may appear. Before taking possession of the premises, Festival Committee shall present to City Certificates of Insurance from the insurance companies showing such coverage, along with the following written Endorsements: 1) Naming the City as an Additional Insured 2) Waiver of Subrogation 3) Primary and Non-Contributory Insurance 4) 30-day Notice of Cancellation 5) Special Events Endorsement Section Nine: Indemnification Festival Committee shall indemnify and hold harmless City from and against all claims arising from Festival Committee’ use of the Premises, or from the conduct of Festival Committee’ business or from any activity, work, or things done, permitted or suffered by Festival Committee in or about the Premises and shall further indemnify and hold City harmless from and against any and all claims arising from any breach or default in the performance of any obligation on Festival Committee’ part to be performed under the terms of this Lease Agreement, or arising from any intentional tort or negligence of the Festival Committee, or any of Festival Committee’ agents, contractors, or employees, and against all costs, attorney fees, expenses and liabilities incurred in the defense of any such claim or any action or proceeding brought thereon, and in case any action or proceeding be brought against City by reason of any such claim, Festival Committee, upon notice from City, shall defend the same at Festival Committee’ expense by counsel satisfactory to City. Section Ten: Default If default is made by Festival Committee in payment of the rent, or any part thereof, and such default shall continue to 10 days after notice by City to Festival Committee to pay the same, or if either party shall be in default under any other provision of this lease and such default shall continue to exist after receipt by the defaulting party of 30 days’ notice thereof, City may terminate this lease and take possession of the leased premises (if Festival Committee be the defaulting party) or Festival Committee may terminate this lease and surrender possession of the leased premises to City (if City be the defaulting party). Such termination of lease shall be without prejudice to the right of recovering damages against the defaulting party for breach of this lease. Section Eleven: Dispute Resolution In the event of a dispute between the Festival Committee and the City arising out of this Lease Agreement or the use of the premises, the Festival Committee and the City agree to attempt to first resolve such dispute through mediation. In the event that the Festival Committee and the City cannot agree upon a mediator, they shall each propose a qualified mediator, and such qualified mediators shall choose a qualified third-party who will mediate the dispute. In the event that mediation does not resolve the dispute, either party may utilize all remedies as provided by law. IN WITNESS WHEREOF, the parties have executed this Lease Agreement. MUSKEGO COMMUNITY FESTIVAL, INC. CITY OF MUSKEGO Festival Committee President Date Kathy Chiaverotti, Mayor Date Festival Committee Secretary Date Sharon Mueller, Director of Finance Date T:\\Departments\\Attorney\\Agreements\\Festival Committee and City of Muskego Agreement.docx