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FY2025-08 Salonie Creek Rifle Range Lease with Kodiak Island Sportman's Association (KISA)CONTRACT TRANSMITTAL FORM RETENTION SCHEDULE: CL -09 CONTRACTS Records related to obligations under contracts, leases, and other agreements between the borough and outside parties, successful bids, and proposals. Each department maintains the file while the contract is active. once inactive, retain procurements for another 4 years and retain contracts, leases, or agreements involving real property for another 11 years. DEPARTMENT: Manager's Office CONTRACT NO.: FY2025-08 CONTRACT TITLE: Salonie Creek Rifle Range Lease CONTACT PERSON: Meagan Christiansen VENDOR OR SERVICE PROVIDER: Kodiak Island Sportsman's Association (KISA) Administrative contracts are contracts approved by the manager within the spending authority allowed by code. Assembly approved contracts are beyond the manager's spending authority and require approval by the Assembly during a meeting. APPROVED BY: MANAGERO ASSEMBLY O DATE OF APPROVAL: TYPE OF CONTRACT: Involves Real Property EXTENSION OPTIONS: Four (4) five year extensions EXPIRATION DATE: 7/31/29 PURGE DATE FOR PROCUREMENT (Exp. + 4 yrs): OR PURGE DATE FOR INVOLVING REAL PROPERTY (Exp. +11 yrs): depends upon extensions If there's no expiration date, give the process on how or when this record should be purged or flagged for review. FILL OUT BELOW IF THE RECORD AMENDS, EXTENDS, OR IS A CHANGE ORDER TO A CONTRACT CATEGORY: Select Category APPROVED BY: MANAGER O ASSEMBLY O DATE OF APPROVAL: TYPE OF CONTRACT: Involves Real Property EXTENSION OPTIONS: EXPIRATION DATE: PURGE DATE FOR PROCUREMENT (Exp. + 4 yrs): OR PURGE DATE FOR INVOLVING REAL PROPERTY (Exp. +11 yrs): If there's no expiration date, give the process on how or when this record should be purged or flagged for review. \\dove\borough\CL\U - RECORDS\FORMS\contract transmittal form NJ.docx Rev. 12/23 Salonie Creek Rifle Range GROUND LEASE As authorized by Resolution No. FY2025-05 of the Kodiak Island Borough, this Lease is made and executed on July 19, 2024, by and between Kodiak Island Borough (KIB), a municipal corporation, 710 Mill Bay Road, Kodiak, Alaska 99615 and Kodiak Island Sportsman's Association (KISA), a non-profit corporation organized and existing under the laws of the State of Alaska, Post Office Box 1098, Kodiak, Alaska 99615. I. Preamble. KIB and KISA have worked together cooperatively to develop and maintain a professionally operated and financially self-sufficient shooting range for the benefit of the citizens of the Kodiak Island Borough since 1992. II. Demise, Description and Use of Premises. KIB leases to KISA and KISA takes from KIB, for the purpose of conducting the business of a shooting range the surface estate of those certain premises, situated in the Kodiak Island Borough, Alaska, and more particularly described as follows: Tract A Rifle Range; Lot 9, U.S. Survey 2539, according to plat of dependent resurvey and subdivision thereof, accepted July 13, 1982 in the Kodiak Recording District, Third Judicial District, State of Alaska, excepting therefrom the subsurface estate, and all rights, privileges, immunities and appurtenances, of whatsoever nature, accruing unto said estate pursuant to the AIaska Native Claims Settlement Act of December 18, 1971 (85 Stat. 688, 794; USC 1601, 1613 (f) (1976)) and as conveyed in patent to Koniag, Inc., recorded January 10, 1986 in Book 78 at Page 43; comprising 687.92 acres; and Tract B Caretakers Site; That portion within the Northwest 1/4 of Section 6, Township 29 South, Range 20 West, Seward Meridian, Kodiak, Alaska with a Point of Beginning at the intersection of the Chiniak Highway Right of Way and the West boundary of the existing access road to Salonie Creek, thence South along the meander of the West boundary of the access road 660', thence due West 330', thence due North 660', to the Southerly edge of the Chiniak Highway Right of Way, then East along the meander of the right of way to the Point of Beginning, containing 5 acres more or less. Contract No. FY2025-08 KIB-KISA Salonie Creek Range Lease — Page I of 15 As used herein, the term "premises" refers to the surface estate of this real property and to any improvements located on it from time to time during the term of this Lease. KISA acknowledges that KIB has no ownership or other interest in the sub -surface estate of the Premises. KISA's use of the Premises shall be limited to the purpose of developing and operating a shooting range, and normal uses customarily included in that activity such as firearms safety education and training, and for no other purpose. KIB understands that KISA may desire to use the Premises for other purposes regularly or intermittently. However, before using the Premises for any other purposes, KISA must obtain the express written consent from KIB. KIB agrees not to unreasonably withhold its consent provided the goal of this Lease as described in the preamble is promoted by the additional uses. III. Term. A. The initial term of this Lease shall be for five (5) years, commencing on August 1, 2024, and ending on July 31, 2029. As used herein, the expression "term hereof' refers to such initial term and to any renewal of it as provided in this Lease. B. Tenant shall have the option to extend the initial term of lease up to four (4) additional five (5) year periods. Tenant may exercise this option by providing written notification to Landlord at lease sixty (60) days prior to the effective date of termination of this Lease Agreement or any extension thereof. C. The parties may mutually agree to earlier termination of this Lease at any time. D. Emergency termination. The KIB reserves the right in case of emergency to immediately terminate this Lease and take possession of the Premises. If the KIB exercises this right, it assumes all obligations under any grants that KISA has obtained due to this Lease. In addition, KISA will not be required to return the Premises to its original condition if the KIB exercises this right. IV. Rent. Subject to adjustment as provided below, the rent for the term of this Lease shall be FIVE HUNDRED DOLLARS ($500.00) per year, payable in advance on the first day of each year, plus the value of KISA's in-kind contributions. The annual rent due shall be reviewed and adjusted by the KIB manager at the end of every five-year tern or whenever the agreement is amended or extended. Based on the original date of the Lease agreement, a review will occur on or about July 1, 2029, and in five-year increments thereafter. Any changes or adjustments shall be based upon changes in the appraised fair market value of the land and improvements being leased, excluding landfill and other improvements placed upon the land by KISA as well as the value of KISA's in-kind contributions. Contract No. FY2025-08 KIB-KISA Salonie Creek Range Lease — Page 2 of 15 If the Lease is terminated because of any breach by KISA, as provided in this Lease, the rental payment last made by KISA shall be forfeited and retained by KIB as partial or total damages for the breach. V. LWCF Grant. This Lease is subject to all terms and conditions of the Land and Water Conservation Fund Grant ("LWCF") obtained by KIB for the purchase and operation of the Premises. KISA shall comply with all terms of the LWCF Grant, including the post -completion responsibilities attached as Appendix A to this Lease. Without Iimiting the generality of the foregoing sentence, KISA shall comply with the following grant requirements: I. The project site must be operated and maintained in a manner which encourages public participation. 2. Staffing and servicing must be such as to serve the public and maintain a clean, safe environment for recreation. 3. Sanitation and sanitary facilities shall be maintained in accordance with good housekeeping and applicable health standards. 4. Properties, facilities and equipment shall be kept reasonably safe for public use. 5. All facilities and other improvements shall be kept in reasonable repair throughout their estimated lifetime to prevent undue deterioration and to encourage public use. 6. The facility shall be kept open for public use at reasonable hours and times. Restrooms shall be unlocked during normal hours of use. 7. The Premises shall be open to entry and use by all persons, regardless of race, color, national origin, religion or sex, or who are otherwise eligible. S. Discrimination on the basis of residence, including preferential reservation, membership or annual permit systems, is prohibited. Fees charged to non-residents cannot exceed twice that charged to residents. 9. The Premises must be accessible to and useable by all persons who have a disability, including mobility, visual, hearing or mental impairments, to the highest degree feasible. The parties understand that safety is a primary concern. To promote the safe operation of the shooting range, KISA may place reasonable restrictions on when the facility may be used by those with visual or mental impairments. 10. The Premises may not be converted to other than public outdoor recreational uses. KIB expressly acknowledges that it will be responsible for installation and maintenance of all signs required to assure compliance with the LWCF grant. KISA expressly acknowledges that Contract No. FY2025-08 KIB-KISA Salonie Creek Range Lease — Page 3 of 15 it will be responsible for installation and maintenance of all range markers and general firearm safety signs. VL Uses Prohibited. A. KISA shall not use, permit the Premises, or any part of the Premises, to be used, for any purpose other than the purpose or purposes for which the Premises are leased. If the Premises are devoted to a use other than that for which they are leased without consent of the KIB Assembly, this Lease automatically terminates. KISA shall also comply with and abide by all federal, state, borough, municipal, and other governmental statutes, ordinances, laws, and regulations affecting the Premises, the improvements or any activity or condition on or in the Premises. KIB and KISA shall coordinate the acquisition of any necessary environmental permits needed for the operation of the shooting range. B. Special Use limitations. KISA shall comply with the following special use limitations unless the KIB consents, in writing, to modify these limitations: 1. KISA shall post the hours of operation for the shooting ranges with a phone number where a responsible party can be reached. To address the requirements in Section V, the range shall be open to the general public at a minimum of eight (8) hours per month. 2. Tannerite shall not be allowed for use on the site. 3. Shooting beyond the boundaries of the range shall not be allowed. Vir. Waste and Nuisance Prohibited, Lead Management Plan Required. A. During the term of this Lease, KISA shall comply with all applicable laws affecting the Premises, the breach of which might result in any penalty on KIB or forfeiture of KIB's title to the Premises. KISA shall not commit, or suffer to be committed, any waste on the Premises, or any nuisance. B. On or before one year from the date of this agreement, KISA shall develop a Lead Management Plan based upon the Environmental Protection Agency's most current version of The Best Management Practices for Lead at Outdoor Shooting Ranges (EPA's Best Practices) to minimize and manage lead contamination of the small arms range; and shall submit a copy of that plan to the KIB. KISA shall implement the plan and if the plan requires initial lead removal, KISA shall begin an initial lead removal operation on the small arms range within the first eighteen (18) months of Lease signing. C. Hazardous Substances. Lessee may use or otherwise handle only those hazardous substances typically used or handled in the prudent and safe operation of the permitted use allowed under this Lease. Lessee shall refrain from causing Hazardous Substances, other than lead, to be spilled, leaked, disposed of, or otherwise released on or under the property. Lessee may store such Hazardous Substances on the property only in quantities necessary to satisfy Lessee's reasonably Contract No. FY2025-08 KIB-KISA Salonie Creek Range Lease — Page 4 of 15 anticipated needs. Lessee shall comply with all Environmental Laws and exercise the highest degree of care in the use, handling, and storage of Hazardous Substances and shall take all practicable measures to minimize the quantity and toxicity of Hazardous Substances used, handled, or stored on the property. D. The KIB reserves the right to require KISA to post financial security for environmental cleanup of the site as required by the lead management plan as a condition of extension of the Lease beyond the initial term. The amount and form of the financial security must be approved by the Borough Manager. VIII. Abandonment of Premises. KISA shall not vacate or abandon the Premises at any time during the term hereof; if KISA shall abandon, vacate or surrender the Premises, or be dispossessed by process of law, or otherwise, any personal property belonging to KISA and left on the Premises shall be deemed to be abandoned, at the option of KIB. IX. KIB's Right of Entry. KISA shall permit the agents and employees of KIB to enter into and upon the demised Premises at all reasonable times for the purpose of inspecting the same, without any rebate of rent and without any liability to KISA for any loss of occupation or quiet enjoyment of the Premises thereby occasioned. KISA shall provide three (3) gate keys to the Kodiak Island Borough. X. Use of Material. KISA shall not sell or remove for use off the Premises any timber, stone, gravel, peat moss, topsoil, or any other material valuable for building or other commercial purposes, provided, however, that material may be used only to the extent that KIB could use, if required, for the development of the leasehold. Any removal of such material from the leasehold shall require written approval from the KIB Manager and, for instances involving a commercial quantity, the market value shall be paid to the KIB or to the owner of the subsurface rights, as the case may be. Additionally, KISA shall not utilize naturally deposited materials on or offsite without approval from the KIB Manager. XL Subletting and Assignment. KISA shall not sublet or assign or transfer this Lease, or any interest in it, without the prior written consent of the KIB Assembly, and a consent to an assignment or sublease shall not be deemed to be a consent to any subsequent assignment or sublease. Any such assignment or sublease without such consent shall be void, and shall, at the option of KIB, terminate this Lease. Neither this Lease nor the leasehold estate of KISA nor any interest of KISA hereunder in the Premises or any building or improvements on the Premises shall be subject to involuntary assignment, transfer, or sale, or to assignment, transfer, or sale by operation of law in any manner whatsoever, and any such attempted involuntary assignment, transfer, or sale shall be void and of no effect and shall, at the option of KIB, terminate this Lease. XIL Notices. Contract No. FY2025-08 KIB-KISA Salonie Creek Range Lease — Page 5 of 15 All notices, demands, or other writings in this Lease provided to be given or made or sent, or which may be given or made or sent, by either party hereto the other, shall be deemed to have been fully given or made or sent when made in writing and deposited in the United States mail, registered and postage prepaid, and addressed as follows: Kodiak Island Borough Attention: Borough Manager 710 Mill Bay Road Kodiak, Alaska 99615 To KISA: Kodiak Island Sportsman's Association Attention: President Post Office Box 1098 Kodiak, Alaska 99615 XYrll. Taxes and Assessments. A. Taxes as Additional Rental. As additional rental hereunder, KISA shall pay and discharge as they become due, promptly and before delinquency, all taxes, assessments, rates, charges, license fees, municipal liens, levies, or excises, whether general or special, or ordinary or extraordinary, of every name, nature and kind whatsoever, including all governmental charges of whatsoever name, nature, or kind, which may be levied, assessed, charged, or imposed, or which may become a lien or charge on or against the Premises, or any part of the Premises, the leasehold of KISA herein, any building or buildings, or any other improvements now or hereafter thereon, or on or against KISA's estate hereby created which may be a subject of taxation, or on or against KIB by reason if its ownership of the surface estate underlying this Lease, during the entire term hereof, excepting only those taxes hereinafter specifically excepted. B. Contesting Taxes. If KISA shall in good faith desire to contest the validity or amount of any tax, assessment, levy, or other governmental charge herein agreed to be paid by KISA, KISA shall be permitted to do so, and to defer payment of such tax or charge, the validity or amount of which KISA is so contesting, until final determination of the contest, on giving to KIB written notice thereof prior to the commencement of any such contest, which shall be at least thirty (30) days prior to delinquency. C. Disposition of Rebates. All rebates on account of such taxes, rates, levies, charges, or assessments required to be paid and paid by KISA under the provisions hereof shall belong to KISA, and KIB will, on the request of KISA, execute any receipts, assignments, or other acquittances that may be necessary in the Premises in order to secure the recovery of any such rebates, and will pay over to KISA any such rebates that may be received by KIB. D. Receipts. KISA shall obtain and deliver receipts or duplicate receipts for all taxes, assessments, and other items required hereunder to be paid by KISA, promptly on payment thereof. Contract No. PY2025-08 KIB-KISA Salonie Creek Range Lease — Page 6 of 15 XIV. Construction of Buildings and Other Improvements. Prior to constructing, altering, improving, charging or placing any buildings or improvements on the Premises, KISA shall, at KISA's sole expense, prepare plans and specifications describing the proposed work. Such plans and specifications shall be submitted to KIB for KIB's written approval or any revisions required by KIB. KIB shall not unreasonably withhold such approval. In the document approving the plans and specifications, KIB shall specify the time within which work is to commence and the time within which the work is to be completed. In the event KIB does not approve the plans and specifications, KIB shall give to KISA an itemized statement of reasons. For purposes of the paragraph the term "buildings and improvements" includes, by example and not Iimitation, buildings to be moved to or erected on the Premises which shall provide for and support a shooting range, range improvements, public restrooms, and access for handicapped shooters. KISA shall be responsible for compliance with any applicable laws and to obtain any permits required for work under this section. KISA shall not undertake any culvert removal and/or replacement without prior written approval by K113. KIB shall not unreasonably withhold such approval. KISA shall not perform any excavation within wetlands on the range site without notifying KIB and obtaining all regulatory permits that such work requires. XV. Repairs of Improvements. A. KISA acknowledges that it will have the possession of the Premises and will be in the best position to assure that the Premises and improvements are well maintained. Therefore, KISA shall, throughout the terms of this Lease, keep and maintain the Premises, including all buildings and improvements of every kind which may be on the Premises, and all appurtenances to those buildings and improvements, including adjacent sidewalks, in good, sanitary, and neat order, condition and repair, and, except as specifically provided herein, restore and rehabilitate any improvements of any kind which may be destroyed or damaged by fire, casualty, or any other cause whatsoever except damage caused by KIB's agents which exercising KIB's right of entry (Paragraph IX, above) and right of way (Paragraph XXVIII, below). While KISA is a non-profit volunteer organization, it is expected to use the Premises in such a manner to generate adequate revenue to provide funds for routine maintenance. B. K113 shall not be obligated to make any repairs, replacements, or renewals of any kind, nature, or description, whatsoever to the Premises or any buildings or improvements on the Premises, except damage caused by KIB's agents while exercising KIB's right of entry (Paragraph IX, above) and right of way (Paragraph XXVIII, below). XVI. Utilities. KISA shall fully and promptly pay for all water, gas, heat, light, power, and other public utilities of every kind furnished to the Premises throughout the term of this Lease, and all other costs and expenses of every kind whatsoever of or in connection with the use, operation, and Contract No. FY2025-08 KIB-KISA Salonie Creek Range Lease — Page 7 of 15 maintenance of the Premises and all activities conducted thereon, and KIB shall have no responsibility of any kind for any of these costs or expenses. XVII. Liens. KISA shall keep all and every part of the Premises and all buildings and other improvements at any time located on the Premises free and clear of any and all mechanics', materialmen, and other liens for or arising out of or in connection with: 1. work or labor done, services performed, or materials or appliances used or furnished for or in connection with any operations of KISA; or 2. any alteration, improvement, or repairs or additions which KISA may make or permit or cause to be made, or any work or construction, by, for, or permitted by KISA on or about the Premises; or 3. any obligations of any kind incurred by KISA. KISA shall, at all times, promptly and fully pay and discharge any and all claims on which any lien may or could be based, and to indemnify KIB and all of the Premises and all buildings and improvements on the Premises against all such liens and claims of liens and suits or other proceedings. XVIII. Indemnification of KIB. KIB 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 KISA or by any person whosoever may at any time be using or occupying or visiting the demised Premises or be in, on, or about the same, whether such loss, injury, death, or damage shall be caused by or in any way result from or arise out of any act, omission, or negligence of KISA or of any occupant, subtenant, visitor, or user of any portion of the Premises, or shall result from or be caused by any other matter or thing whether of the same kind as or of a different kind than the matters or things above set forth, and KISA shall defend and indemnify KIB against all claims, liability, loss, or damage whatsoever on account of any such loss, injury, death, or damage except loss, injury, death or damage caused by right of way (Paragraph XXVIII, below). KISA hereby waives all claims against KIB for damages to the building and improvements that are now on or hereafter placed or built on the Premises and to the property of KISA in, on, or about the Premises, and for injuries to persons or property in or about the Premises, for any cause arising at any time except loss, injury, death or damage caused by KIB's agents while exercising KIB's right of entry (Paragraph IX, above) and right of way (Paragraph XXVIII, below). XIX. Attorneys' Fees. If any action at law or in equity shall be brought for or on account of any breach of, or to enforce or interpret any of the covenants, terms, or conditions of this Lease, or for the recovery of the possession of the demised Premises, the prevailing party shall be entitled to recover from the Contract No. FY2025-08 KIB-KISA Salonie Creek Range Lease — Page 8 of 15 other party as part of the prevailing parry's costs a reasonable attorneys' fee, the amount of which shall be fixed by the court and shall be made a part of any judgment or decree rendered. XX. Redelivery of Premises. KISA shall pay all sums required to be paid by KISA hereunder in the amounts, at the times, and in the manner provided in this Lease, and shall keep and perform all the terms and conditions of this Lease on its part to be kept and performed, and, at the expiration or sooner termination of this Lease, peaceably and quietly quit and surrender to KIB the Premises in good order and condition subject to the other provisions of this Lease. In the event of the non- performance by KISA, of any of the covenants of KISA undertaken herein, this Lease may be terminated as herein provided. XXI. Remedies Cumulative. All remedies hereinbefore and hereafter conferred on KIB shall be deemed cumulative and no one exclusive of the other, or of any other remedy conferred by law. XXIL Insurance. A. Insurance Coverage of Premises. KISA shall, at all times during the term of this Lease and at KISA's sole expense, keep all improvements which are now or hereafter a part of the Premises insured against loss or damage by fire and extended coverage hazards for one hundred percent (100%) of the full replacement value of such improvements, with loss payable to KIB and KISA as their interests may appear. Any loss adjustment shall require the written consent of both KIB and KISA. B. General Liability Insurance. KISA shall maintain in effect throughout the term of this Lease liability insurance covering the Premises and its appurtenances in the amount of Two Million Dollars ($2,000,000.00) for injury to or death of any person or persons in one occurrence, and property damage liability insurance in the amount of One Million Dollars ($1,000,000.00). Such insurance shall specifically insure KISA against all Iiability assumed by it hereunder, as well as liability imposed by law, and shall insure both KIB and KISA but shall be so endorsed as to create the same liability on the part of the insurer as though separate policies had been written for KIB and KISA. C. Proof of Insurance. KISA shall provide a copy of its insurer's Certificate of Insurance upon each renewal or change of insurance coverage. E. Cost of Insurance Deemed Additional Rental. The cost of insurance required to be carried by KISA in this section shall be deemed to be additional rent hereunder. XXIIL Prohibition of Involuntary Assignment; Effect of Bankruptcy, or Insolvency. A. Prohibition of Involuntary Assignment. Neither this Lease nor the leasehold estate of KISA nor any interest of KISA hereunder in the Premises or in the buildings or improvements Contract No. FY2025-08 KIB-KISA Salonic Creek Range Lease — Page 9 of 15 on the Premises shall be subject to involuntary assignment, transfer, or sale, or to assignment, transfer, or sale by operation of law in any manner whatsoever (except through statutory merger or consolidation, or devise) and any such attempt at involuntary assignment, transfer, or sale shall be void and of no effect. B. Effect of Bankrutc . Without limiting the generality of the provisions of the preceding sub -paragraph (A) of this paragraph, KISA agrees that in the event any proceedings under the Bankruptcy Act or any amendment thereto be commenced by or against KISA, and, if against KISA, such proceedings shall not be dismissed before either an adjudication in bankruptcy or the confirmation of a composition, arrangement, or plan or reorganization, or in the event KISA is adjudged insolvent or makes an assignment for the benefit of its creditors, or if a receiver is appointed in any proceeding or action to which KISA is a parry, with authority to take possession or control of the Premises or the business conducted thereon by KISA, and such receiver is not discharged within a period of thirty (30) days after his appointment, any such event or any involuntary assignment prohibited by the provisions of the preceding sub -paragraph (A) of this paragraph shall be deemed to constitute a breach of this Lease by KISA and shall, at the election of KIB, but not otherwise, without notice or entry or other action of KIB terminate this Lease and also all rights of KISA under this Lease and in and to the Premises and also all rights of any and all persons claiming under KISA. XXIV. Notice of Default. A. Major Defaults. The obligations and responsibilities of KISA as described in Paragraphs X, XXII and XXIII of this Lease are of major importance to KIB. KISA shall be in default of its obligations under this Lease if any of the events required by or prohibited by those paragraphs. Prior to exercising its remedies as described in Paragraph XXV, KIB shall first give to KISA five (5) days. If KISA does not cure the default, KIB may proceed with its remedies as described in Paragraph XXV. B. Default in Payments. KISA shall be in default of its obligations under this Lease if it fails to pay rent or any other moneys as required by this Lease. Prior to exercising its remedies as described in Paragraph XXV, KIB shall first give to KISA thirty (30) days written notice of the default. KISA must cure the default within those thirty (30) days. If KISA does not sure the default, KIB may proceed with its remedies as described in Paragraph XXV. C. Other Defaults. KISA shall not be deemed to be in default of any of its other obligations under this Lease unless KIB shall first give to KISA sixty (60) days written notice of such default, and KISA fails to cure such default within such sixty-day period. If KISA does not then cure the default, KIB may proceed with remedies as described in Paragraph XXV. If the default is of such a nature that it cannot be cured within sixty (60) days, KISA must commence to cure the default within such period of sixty (60) days and provide KIB in writing, during the original sixty (60) day notice period, with the date by which default will be cured. If KISA does not cure the default by that date, KIB may proceed with its remedies as described in Paragraph XXV. XXV. KIB's Remedies upon KISA's Default. Contract No. FY2025-08 KIB-KISA Salonie Creek Range Lease — Page 10 of 15 A. Re-entry. Subject to the notice requirements of Paragraph XXIV, in the event of any default or breach of this Lease by KISA, KIB, in addition to the other rights or remedies it may have, shall have the immediate right of re-entry and may remove all persons and property from the Premises; such property may be removed and stored in a public warehouse or elsewhere at the cost of, and for the account of KISA. Should KIB elect to re-enter, as herein provided, or should it take possession pursuant to legal proceedings or pursuant to any notice provided for by law, KIB may either terminate this Lease or it may from time to time, without terminating this Lease, re -let the Premises or any part of the Premises for such term or terms (which may be for a term extending beyond the term of this Lease) and at such rental or rentals and on such other terms and conditions as KIB in the sole discretion of KIB may deem advisable with the right to make alterations and repairs to the Premises. B. Right to Perform. Alternatively, in the event of any default or breach of this Lease by KISA and KISA failure to cure as required by Paragraph XXIV, then KIB may, but shall not be required to, do or perform or cause to be done or performed such act or thing (entering on the Premises for such purposes, if KIB shall so elect), and KIB shall not be or be held liable or in any way responsible for any loss, inconvenience, annoyance, or damage resulting to KISA on account thereof, and KISA shall repay to KIB on demand the entire expense thereof, including compensation to the agents and employees of KIB. Any act or thing done by KIB pursuant to the provisions of this section shall not be or be construed as a waiver of any such default by KISA, or as a waiver of any covenant, term, or condition herein contained or the performance thereof, or of any other right or remedy of KIB, under this Lease, or otherwise. C. Interest. All amounts payable by KISA to KIB under any of the provisions of this Lease, if not paid when the same become due as in this Lease provided, shall bear interest from the date they become due until paid at the rate of 10.5 percent per annum, compounded annually. XXVI. Surrender of Lease. Upon termination of the Lease, the KISA shall peaceable and quietly leave, surrender, and yield up unto KIB all of the Leased Premises. The voluntary or other surrender of this Lease by KISA, or a mutual cancellation of the Lease, shall not work a merger, and shall, at the option of KIB, terminate all or any existing subleases or subtenancies, or may, at the option of KIB, operate as an assignment to it of any or all such subleases or subtenancies. XXVII. Disposition of Improvements on Termination of Lease. A. If the expiring leasehold is not to be re -offered for Lease, the following schedule shall apply: 1. Subject to Paragraph XXV(A), improvements owned by the KISA shall, within ninety (90) calendar days after the termination of the Lease, be removed by KISA, provided such removal will not cause injury or damage to the Premises or improvements, and further provided that the KIB Manager may extend the time for removing such improvements in cases Contract No. FY2025-08 KIB-KISA Salonie Creek Range Lease — Page I 1 of 15 where hardship is proven. All periods of time granted KISA to remove improvements are subject to KISA's paying to the KIB pro rata lease rentals for the period. 2. If any improvements or chattels not owned by KISA which have an appraised value in excess of five thousand dollars, as determined by the KIS assessor or appraiser, are not removed within the time allowed, such improvements or chattels shall, upon thirty (30) days' notice to KISA, be sold at public sale under the direction of the KIB Manager. The proceeds of the sale shall inure to the KISA if it placed the improvements or chattels on the Premises, after deducting for KIB's rents due and owing, expenses incurred in making such sale and any other sums owed to KIB under this Lease. If no responsible bids are received, title to such improvements or chattels shall vest in the KIB. 3. If any improvements or chattels having an appraised value of five thousand dollars or less, as determined by the KIB assessor or appraiser, are not removed within the time allowed, such improvements and chattels shall revert to, and absolute title shall vest in, the KIB. B. If the expiring leasehold is to be reoffered for lease or sale within one year of the Lease termination, and the improvements have been allowed to remain in place, KIB shall state when re -offering the real property: The estimated value of the authorized improvements remaining on the land placed there by KISA; 2. That the purchaser or new tenant will be required, as a condition of the sale or lease, to purchase the improvements from KISA for an amount equal to the value specified. XXVIII. Right -Of -Way. KIB expressly reserves the right to reasonable ingress or egress over and across the Leased Premises for the purposes of construction, repairing, maintaining, or replacing any utility or road right-of-way which KIB is authorized to construct or maintain and to grant to itself reasonable easements over and through the Leased Premises for these purposes. Annual rentals may be adjusted to compensate KISA for loss of use of the Leased Premises. KIB agrees to coordinate with KISA to minimize the disruption to KISA's use and enjoyment of the Premises. This includes co -locating any roads with the road utilized by KISA. To prevent the disruption in any of KISA's scheduled events, KISA will provide KIB with a schedule of events on a quarterly basis. KIB agrees that is will not make or allow the use to be made of any rights-of-way during a KISA scheduled event, except in an emergency situation. KIB reserves the right to grant easements or rights-of-way over and across leased land if it is determined in the best interest of the KIB to do so and by doing so the KIB and KISA remain in compliance with the requirements of the LWCF grant. If KIB grants an easement or right-of-way across any of the Premises, KISA shall be entitled to damages for all KISA-owned improvements destroyed or damaged. Damages shall be limited to improvements only, and loss shall be determined by fair market value. Annual rentals may be adjusted to compensate KISA for loss of use of the Premises. Contract No. FY2025-08 KIB-KISA Salonie Creek Range Lease — Page 12 of 15 XXIX. Waiver. The waiver by either party of, or the failure of either party to take action with respect to any breach of any term, covenant, or condition herein contained by the other party shall not be deemed to be a waiver of such term, covenant, or condition, or subsequent breach of the same, or any other term, covenant, or condition therein contained. The subsequent acceptance of rent hereunder by KIB shall not be deemed to be a waiver of any preceding breach by KISA or KIB of any term, covenant, or condition of this Lease, other than the failure of KISA to pay the particular rental so accepted, regardless of KIB's knowledge of such preceding breach at the time of acceptance of such rent. The subsequent payment of rent hereunder by KISA shall not be deemed to be a waiver of any preceding breach by KIB of any term, covenant, or condition of this Lease regardless of KISA's knowledge of such preceding breach at the time of payment of such rent. XXX. Parties Bound. The covenants and conditions herein contained shall, subject to the provisions as to assignment, transfer, and subletting, apply to and bind the successors, administrators, and assigns bf all of the parties hereto;" and all of the parties hereto shall be jointly and severally liable hereunder. XXXI. Time of the Essence. Time is of the essence of this Lease, and of each and every covenant, term, condition and provision hereof. XXXII. Captions. The captions of this Lease are for convenience only and are not a part of this Lease and do not in any way limit or amplify the terms and provisions of this Lease. XXXIII. Condition of Premises. KISA acknowledges that it has inspected the Premises and is fully satisfied with the physical condition of such Premises and any fixtures and improvements located on the Premises. XXXIV. Quiet Enjoyment. If KISA is not in default under this Lease, KISA may peacefully enjoy the Premises during the term of this Lease. XXXV. Enforceability. If any part of this Lease is deemed invalid or unenforceable, the balance of this Lease shall remain effective, absent the unenforceable provision. Contract No. FY2025-08 KIB-KISA Salonie Creek Range Lease — Page 13 of 15 XXXVI. Amendment. No change in this Lease shall be effective unless it is in writing and signed by both KIB and KISA. XXXVII. Governing Law. The laws of the State of Alaska shall govern the interpretation, validity, performance and enforcement of this Lease. Venue for any action under this Lease shall be in the Third Judicial District at Kodiak, Alaska. IN WITNESS WHEREOF, the parties have executed this Lease at Kodiak, Alaska on the day and year first above written. Kodiak Island Borough Aimee illiams, Borough Manager G ® G% At t 0 z a-! 10 � n Nova M. Javier, MM , Borough Clerk S �1 KA Kod' k Island ;Soirltan's sxnAssociation atric Anderson, President Contract No. FY2025-08 KIB-KISA Salonie Creek Range Lease — Page 14 of 15 STATE OF ALASKA ) )53: THIRD JUDICIAL DISTRICT ) THIS IS TO CERTIFY that on the 19th day of July, 2024, before me, the undersigned, a Notary Public in and for the State of Alaska, duly commissioned and sworn, personally appeared Aimee Williams, to me known and known to me to be the identical individual described in and who executed the within and foregoing instrument as Manager of the Kodiak Island Borough and he acknowledged to me that he signed the same in the name of and for and on behalf of said municipality, freely and voluntarily and by authority of its Assembly for the uses and p therein mentioned, F140— WITNESS my hand and official seal the day and year fi(stabove written. 0,, NCTARYAUSLIC Notary Public for State of Alaska ` 'qT My Commission Expires: p • W ' F�FALP`' STATE OF ALASKA ) )ss: THIRD JUDICIAL DISTRICT ) THIS IS TO CERTIFY that on the day of1j,4 2024, before me, the undersigned, a Notary Public in and for the State of Alaska duly Ommissioned and sworn, personally appeared Patrick Anderson, to me known and known to me to be the identical individual described in and who executed the within and foregoing instrument as President of Kodiak Island Sportsman's Association and he acknowledged to me that the same was signed in the name of and for and on behalf of said corporation, freely and voluntarily and by authority of its Board of Directors for the uses and purposes therein mentioned. WITNESS my hand and official seal the day and year first above "0 °U�L�6 Notary a lic for State of Alas a +"N. V, My Commission Expires: Contract No: lad 'V=U8+4TB-K1SA Salonie Creek Range Lease — Page 15 of 15 a.� 0 05 M N O N r Q r