HomeMy WebLinkAboutContracts & Agreements_123-2006SHARES LEASE
This Shares Lease ("Lease") is entered into between the David Knight ("Lessor") and the City of
Redlands ("Lessee") Lessor and Lessee agree as follows
A Lessor is the owner of 1,012 shares of the Capital Stock of Bear Valley Mutual Water
Company ("Shares"), and
B Lessor desires to lease 1000 of its Shares (hereinafter the "Leased Shares") to Lessee on the
terms and conditions set forth hereinafter
1 Lease Lessor hereby agrees to lease the Leased Shares to Lessee and Lessee agrees to
lease same from Lessor for the purpose of providing water to Lessee Said water shall not
be used by Lessee for human consumption prior to treatment by Lessee, to California
Department of Health Services, Office of Drinking Water Standards
2 Term. The term of this lease shall begin on June 6, 2006 and end on June 1, 2007, (in no
event more than one year) ("Lease term") Notwithstanding the foregoing, Lessee
understands and agrees that (a) the real property owned by the Lessor ("Lessor's Real
Property") could be the subject of a condemnation proceeding or other taking (b) the Leased
Shares are not currently subject to a condemnation proceeding or other taking, (c) In the
event the Leased Shares are the subject matter of a condemnation award or in the event the
Leased Shares as described are the subject matter of a condemnation proceeding then in
that event the entire amount of any such award shall be the sole and exclusive property of
Lessor and the Lessee shall have no interest therein, (d) in the event there is a taking of the
Leased Shares by condemnation then in that event this Lease shall terminate and the
Lessee shall be entitled to a pro rata refund of the Rent as defined hereinbelow, and (e) there
is no implied intention that this Lease or any rights or interest hereunder will be extended
beyond the Lease Term
3 Rent Lessee hereby agrees to pay Lessor the sum of $3,000 00 upon execution of the
Lease for the Leased Shares as set forth herein Lessee further agrees to pay Lessor, within
30 days of an invoice, the amount of any stock assessment on said shares which would
result in an annual assessment in excess of $2 00 per share, if any, and any delivery charges
levied by Bear Valley Mutual for delivery of water associated with water deliveries associated
with said shares
4 Assignability Lessee hereby agrees that it shall not have the right to assign, sublet or
otherwise transfer or encumber the Leased Shares under this Lease
5 Voting Rights. Lessor retains voting rights associated with ownership of the Leased Shares
6 Waiver Lessee hereby agrees to hold harmless Lessor from any loss, cost, expense and
claims arising directly or indirectly out of (a) condemnation of the Lessor's Real Property or
the Leased Shares prior to expiration of this Lease, (b) this Lease, and (c) from any
environmental contamination of any water attendant to the Leased Shares, from whatever
cause Lessor assumes no responsibility for the quality or purity of any water attendant to the
Leased Shares
This Lease is executed on the 6th day of June, 2006
"Lessor"
David Knight
BY
"Lessee "
City of Redlands
Attest
Jon Harrison
Mayor
City ' lerk
was unlined steel pipe, which tends to lose it structural integrity relatively
quickly compared to other pipe materials In recognition of this potential
deficiency, a project to line the steel pipe with mortar was completed in the late
1950's in an effort to extend the life of the pipeline After 80 years of service,
the Highlme has reached the end of its reliable, useful life and has been
identified for replacement Councilmember Gilbreath moved to approve an
agreement to furnish design engineering services for the Highhne Water
Transmission Main Relocation Project with Dudek & Associates, Inc in the
amount of $204,115 00 and authorized the Mayor to execute, and the City Clerk
to attest to, the document on behalf of the City Motion seconded by
Councilmember Gallagher and carried unanimously
Water Pipeline Master Plan and Replacement Project - The request to award a
contract for the Water Pipehne Master Plan and Replacement Project was pulled
from the agenda
Water Stock Leases - Due to a potential conflict of interest, Councilmember
Gilbreath retired from the Council Chambers and did not participate in
this matter; a Public Disclosure of Potential Conflict of Interest form is on
file in the City Clerk's Office Councilmember Gil moved to approve a
lease of 1,000 shares of Bear Valley Mutual Water Company stock from
David Knight and 98 shares of stock from Crafton Heights Pipeline
Company to Bear Balley Mutual Water Company for the 2006-07 water
delivery season Motion seconded by Councilmember Gallaghei and
carried with Councilmember Gilbreath having abstained
Donation of Land - Chief of Water Resources Headrick explained that Bixby
Land Company processed a Commission Review and Approval (CRA 781) to
allow the development of a 683,406 square foot warehouse distribution center
The City Council approved this project in conjunction with a Concept Plan
Amendment on September 7, 2004 A condition of approval required final
landscape plans to be approved the Planning Commission On February 22,
2005, the Planning Commission approved a final landscape plan which included
citrus on that portion of the property under the Edison easement from San
Bernardino Avenue to Almond Avenue. Staff has allowed temporary occupancy
of the building (to Ashley Furniture) but is holding up final occupancy pending
the installation of the citrus trees so as to comply with the approved landscape
plans Mr Pat Meyer, representing Bixby Land Company, approached the
Citrus Preservation Commission on January 31, 2006, with an offer to donate
approximately 14 acres of industrial -zoned land in Redlands between Lugonia
Avenue and San Bernardino Avenue (APN 167-511-05) for citrus preservation
Approximately 6 5 acres of the property offered is included in the CRA 781
landscaping plan approved On April 11, 2006, the Citrus Preservation
Commission recommended against accepting the offered land based on the
location's propensity for frost damage to citrus crops during winter months, the
June 6, 2006
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