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FY2011-31 Department of Fish and Game Leaseeh&,d 17e aF T" w ilii s9 LAND LEASE _ BETWEEN THE STATE OF ALASKA "Fr ALAS DEPARTMENT OF FISH AND GAME AND KODIAK ISLAND BOROUGH 16 U veal/ - ✓� This Lease is made and entered into this l" day of May, 2011, by and between Kodiak Island Borough, whose mailing address is 710 Mill Bay Road, Kodiak, Alaska 99615-6340, hereinafter referred to as Lessor, and the State of Alaska, Department of Fish and Game, whose mailing address is P.O. Box 115526, Juneau, Alaska, 99811-5526, hereinafter referred to as Lessee. The parties agree as follows: Premises Leased: 1. Lessor and Lessee enter into this Land Lease Agreement ("Lease") for the rent and upon the terms and conditions set out. Lessor does lease to Lessee, and Lessee does lease from Lessor, the land described as: [PLAT IS NEEDED] [A southwesterly portion of Tract B -IA, US Survey 4947 (Plat #2010-8) in the Kodiak Recording District, Kodiak, Alaska. This site will consist of approximately 2.88 acres, to be described by recorded plat consistent with the standards of Kodiak Island Borough Code Title 16.1, hereafter referred to as the Premises. 2. The Premises are approximately depicted in Exhibits A-1, A-2 and A-3 attached to the LICENSE AGREEMENT, which are attached to and made a part of this Lease. Covenants to Perform: Page 1 of 13 2 of 14 2011-000930-0 I This Lease is made upon the above and the following terms and conditions, each of which the party bound by such covenants and conditions agrees to perform, irrespective of whether the particular provision is in the form of a covenant, an agreement, a condition, a direction, or otherwise, and each party agrees to provide the other party with documents or further assurances as may be required to carry out the expressed intentions. Lessor's Representations: 4. Lessor represents and warrants that Lessor, alone, has the right, power, and authority to make and enter into this Lease. Lessor represents and warrants that, at the date of this Lease, there are no restrictions, covenants, easements, rights-of-way, or uses which would prevent Lessee from building an office/laboratory building on the Premises. Rent and Term: 5. This lease shall be for a term of fifty-five (55) years commencing on the day of / , 2011, and ending on the &l / day of , 2066. A rent of $1.00 per year, will be made payable in advance commencing on the ltk of `'t , 2011. 6. The payment of rent by Lessee is subject to the availability of appropriations for the purpose of this Lease. These appropriations are authorized by the Legislature of the State of Alaska and this Lease may be terminated by Lessee due to lack of such appropriation by giving Lessor not less than thirty (30) days notice in writing. Terms and Conditions: 7. Lessee has the right to use the surface estate of the Premises for the construction, utilization, and operation of a research laboratory and administration building ("Facility"). 8. The cost of any construction, reconstruction, demolition, or of any changes, alternations or improvements, shall be borne and paid for by Lessee. The Premises shall at all times be kept free of mechanic's and materialmen's liens. Page 2 of 13 3 of 14 2011-000930-0 9. Lessee may neither assign nor sublet, either by grant or implication, the whole or any part of the Premises, a- use for a purpose other than indicated in Section 7 without the written consent of Lessor, provided that such consent shall not be unreasonably withheld by Lessor if the assignee or sublessee agrees to use the Premises for the same or similar purpose as Lessee, and agrees to such further conditions that are reasonable or necessary for entities that are" not instrumentalities of the State of Alaska. Lessee shall: I 10. Use and occupy the Premises in a lawful and proper manner in conformance with all federal, state and local laws and regulations including provisions of KIB code dealing with Buildings (Title 15), Platting (Title 16), Zoning (Title 17), and Real Property (Title 18), and will maintain the facility at its own expense throughout the life of the Lease-, 11. Be responsible for and pay all utility and services bills which may arise with respect to the Premises during the term of this Lease, including but not limited to water, sewer, electric, refuse disposal, snow removal and landscaping within the Premises as well as an allocated portion of snow removal on the access road (Research Court); and 12. Timely pay any applicable local property taxes. The State of Alaska is exempt from local property taxes. Ingress/Egress: 13. Lessor covenants and agrees that ingress/egress to the Premises shall be guaranteed across a portion of Tract A, U.S Survey 4947 (the road known as Research Court) as delineated in the Easement Agreement between the University of Alaska and the Kodiak Island Borough, recorded in Book 0163, Page 775 through 779, Kodiak Recording District. The Lessor covenants and agrees that the access easement may be utilized by any person or the general public for ingress and egresstothe Premises, and for the purpose of general public vehicular and pedestrian use and access, and for the Fire Department, Police and emergency use in, along, upon and across said easement. Page 3 of li 4 of 14 2011-000930-0 Lessor retains right of reasonable access over the Premises for existing trails and to other Lessor property outside of the Premises southwest of the Facility. Access Easement Across Leased Premises: 14. Lessor and Lessee agree to the establishment of an easement on the leased Premises identified on Exhibit A-3 as "ACCESS ESMT." and further delineated by boundary lines Ll through L5. This easement shall provide access to Lessor's Kodiak Fisheries Research Center loading dock and driveway access to Lessee's research lab/administration building. 15. Lessor and Lessee both agree to maintain clear passage through this easement at all times in order to provide both Lessor and Lessee access to their respective buildings. Lessee Improvements: 16. Lessee may, at Lessee's expense, with Lessor's approval, construct additional improvements necessary to operate and maintain the Facility. Such improvements shall remain the property of Lessee for the duration of the Lease. 17. All fixtures and equipment of whatever nature that have been installed on the Premises by Lessee, whether permanently affixed or otherwise, shall continue to be the property of Lessee, and may be removed by Lessee at the expiration or termination of this Lease. 18. Upon termination or expiration of the Lease, Lessor shall have the option to accept return of the Premises in its original condition, or in the alternative, to accept the Premises with any and all improvements existing thereon at the time of termination or expiration. If the Lessor accepts the Premises with the improvements thereon, Lessee shall convey the improvements to Lessor. If the Lessor accepts the Premises in its original condition, Lessee, at its own expense, will remove the improvements, and will fill all holes resulting from the removal and will grade the affected area to a reasonably smooth and regular surface in such a manner that it will drain properly and be left in a clean and safe condition. Page 4 of 13 5 of 14 2011-000930-0 Mineral RijZhts/Waste: 19. No mineral rights accrue to the Lessee by operation of this lease. Lessee shall not commit waste or injury upon the Premises. Maintenance of Premises: 20. Lessee shall, at all times, keep and maintain the Facility and the entire Premises in good repair and in neat, orderly and safe condition. Lessee shall not cause or permit any litter, debris, scrap or other materials not having a recognized commercial value, or usable by Lessee in its business, including refuse, to be accumulated or stored upon the Premises. Lessee agrees to not store any items on the Premises which do not belong to Lessee. Holding Over: 21. All conditions and covenants of this Lease shall remain in effect during any extension of this Lease. Any holding over after the expiration date of this Lease shall be construed to be a tenancy from month to month, at the same monthly rental and on the terms and conditions specified in this Lease, so far as applicable. Renewal Options: 22. This Lease can be renewed upon mutual consent of both Lessor and Lessee in writing. It is a condition precedent to any renewal that (1) written notice of intent to renew must be given to Lessor at least 180 days prior to the expiration of the term of the lease, and (2) Lessee must not be in default of any condition of this Lease. Liabilitv: 23. Lessor and Lessee shall each be responsible for its own acts or omissions (and those of its officers, agents, and employees); and each party to this Lease agrees to indemnify, defend and hold harmless the other, to the maximum extent allowable under Alaska law, from any claim or liability (of whatever kind, including attorney fees) for damages to property or injury to persons occasioned Page 5 of 13 6 of 14 2011-000930-0 by each party's own acts or omissions in connection with the use and occupancy of the Premises described in this Lease. 24. The parties agree to notify each other of any claim, demand, or lawsuit arising out of or affecting Lessee's occupation or use of the Premises. Both parties will fully cooperate in the investigation and litigation of any claim, demand, or lawsuit affecting the Premises. Incnrnneec 25. The State of Alaska and its agencies are covered for property liability exposures through major worldwide insurance programs with large self-insured retentions. Losses are covered by the financial resources of the State and are administered under the self-insured claims program handled by the Division of Risk management. 26. The State of Alaska, through its Division of Risk Management, provides comprehensive liability insurance coverage through our program of self- insurance for the activities and operations of its agencies. Environmental Concerns: 27. Use of Hazardous Materials on the Site. a. Lessee shall not cause or permit any Hazardous Material to be brought upon, kept or used in or about the Premises except for such Hazardous Material as is necessary to conduct Lessee's authorized use of the Premises. b. Any Hazardous Material permitted on the Premises as provided in this paragraph, and all containers therefor, shall be used, kept, stored and disposed of in a manner that complies with all Environmental Laws or other laws or regulations applicable to such Hazardous Material. c. Lessee shall not discharge, leak or emit, or permit to be discharged, leaked or emitted, any material into the atmosphere, ground, ground water, sewer system or any body of water, if such material (as reasonably determined by Page 6 of 13 7 of 14 2011-000930-0 Lessor, or any governmental authority) does or may, pollute or contaminate the same, or may adversely affect the (a) health, welfare or safety of persons, whether located on the Premises or elsewhere; or (b) condition, use or enjoyment of the Premises or any other area or personal property. d. Lessee hereby agrees that it shall be fully liable for all costs and expenses related to the use, storage and disposal of IIazardous Material kept or brought on the Premises by Lessee, its authorized representatives and invitees, and Lessee shall give immediate notice to Lessor of any violation or potential violation of the provisions of this subparagraph. 28. Operator. For all purposes, Lessee shall be deemed the operator on the Premises. 29. Hazardous Material Defined. As used in this Lease, Hazardous Material is any substance which is toxic, ignitable, reactive, or corrosive or which is regulated by any Environmental Law. Hazardous Material includes any and all material or substances which are defined as industrial waste hazardous waste, extremely hazardous waste or a hazardous substance under any Environmental Law. Notwithstanding any statutory petroleum exclusion, for the purposes of this Lease, the term Hazardous Material includes, without limitation, petroleum, including crude oil or any fraction thereof, petroleum soaked absorbent material and other petroleum wastes. 30. Environmental Law Defined. As used in this Lease, Environmental Laws include any and all local, state and federal ordinances, statutes, and regulations, as now in force or as may be amended from time to time, relating to the protection of human health and the environment, as well as any judgments, orders, injunctions, awards, decrees, covenants, conditions, or other restrictions or standards relating to same. Environmental Laws include, by way of example and not as a limitation of the generality of the foregoing, Alaska Statutes Title 46, the Resource Conservation and Recovery Act of 1976, the Comprehensive Environmental Response, Compensation and Page 7 of 13 8 of 14 2011.000930-0 Liability Act of 1980, the Clean Water Act, and the Superfund Amendments and Reauthorization Act of 1986. 31. Lessee shall obtain all permits or approvals required by any applicable law or regulation. Richt of Refusal: 32. Lessor agrees that at the termination of this Lease or any subsequent extensions, he or his designees will not lease the parcel to any other party without first giving Lessee the opportunity to renew this land lease on terms, conditions and rental no less favorable to Lessee than those offered any other party. Ril4ht to Occupy: 33. Lessee shall have the right to possession of the Premises from and after the effective date of the Lease subject to the herein described terms. 34. Lessor agrees to make any sale of the Premises during the term of the Lease, or an extension thereof, subject to this Lease. This also applies to any sales as a result of an encumbrance on the property that existed prior to the extension of this Lease. Default: 35. In the event of default by Lessee, Lessor must send a written notice to Lessee which specifies the particular alleged default. If Lessee fails to cure the default within sixty (60) days after receiving the written notice or begin to diligently pursue a cure if it wilt take longer than 60 days, Lessor may cancel this Lease. NnticPc- 36. All notices, demands or requests required or allowed hereunder or otherwise, shall be sent by mail, certified or registered, postage prepaid, or faxed, or delivered by hand to the addresses below. Notice shall be deemed to have been made at the time of delivery if delivered, faxing if faxed, and mailing if mailed. Either party must notify the other in writing of any change in address: Page 8 of 13 9 of is 2011-000930-0 Lessor: Kodiak Island Borough 710 Mill Bay Road Kodiak, Alaska 99615-6340 ATTN: Kodiak Island Borough Manager Lessee: Alaska Department of Fish and Game Division of Administration Procurement Section P.O. Box 115526 Juneau, AK 9981 1-5526 ATTN: Lands and Leasing Coordinator Effect on Successors: 37. This Agreement is binding upon, and shall inure to the benefit of the parties themselves, as well as their respective representatives, successors, permitted assigns, heirs and estates. Applicable Laws: 38. Both parties consent to the jurisdiction of the Superior Court of the State of Alaska and shall be bound. by the laws of Alaska with respect to any dispute under this Lease. Time is of the Essence: 39. Time, whenever expressed herein, shall be deemed to be of the essence in this Lease. Partial Invaliditv: 40. If any provision or covenant of this Lease is declared to be invalid by a court of competent jurisdiction, the remaining provisions and covenants will continue in full force. Nage 9 of 13 10 of 14 2011-000930-0 Amendment: 41. No amendment or extension of this Lease shall be effective unless expressed in writing executed by both parties. Entire Agreement: 42. This Lease contains all the terms, conditions, and agreements of the parties and supersedes any previous understanding or agreements regarding the Premises whether oral or written. This writing constitutes the total lease agreement between Lessor and Lessee. Page 10 of 13 �111$ 11 11111�1$t 1111 1 of 14 2011-000930-0 IN WITNESS THEREOF, the parties hereto have hereunto set their hands on the day and year written below. LESSOR: Kodiak Island Borough ���� flr� �sli-,/sff4-E✓L ���ct� Rick L. Gifford, Boroul, anager -��S��,Za// Date � a— 003 O'�K 4S Federal Tax ID# ATTEST:IZU044111, lie XJ _ i J Novd1Javier, Bord ugh Cleric STATE OF ALASKA ) )ss. THIRD JUDICIAL DISTRICT ) THIS IS TO CERTIFY that on the j� day of 2011, before me, the undersigned, a Notary Public in and for the State of Aluly commissioned AarleSF,7� and sworn, personally appeared '�zr, Aorough Manager, Kodiak Island Borough, and acknowledged to me that s/he signed the foregoing Agreement freely and voluntarily for and on behalf of the Kodiak Island Borough, for the use and purpose therein mentioned. NNY A -. .......... 0( N.��:AVBLIG . i�Grl� OF ALP'�,�P� Not( ry in ang for Alaska My commission expires: Pagc 11 of']') 12 of 14 2011-000930-0 LESSEE: STATE OF ALASKA, Department of Fish & Game l si at Printed name Itle Date STATE OF ALASKA ) )ss. FIRST JUDICIAL DISTRICT ) TI -IIS IS TO CERTIFY that on the Vky of ( 20 , before me, the undersigned, a Notary Public in andfor� We yState of Alaska, dull�pc�}o�mmissioned and sworn, personally appeared Job 1/vrt e , Kw(- �� er, Alaska Department of Fish and Game, and acknowledged to me that s/he signed the foregoing Agreement freely and voluntarily for and on behalf of the State of Alaska, Department of Fish and Game, for the use and per ose tI d. STATE OF ALASKA OFFICIAL SEAL. Rory E. Niere - NOTARY PtBLI '_' Notary In and too Alaska _ My --- My commission expires: PLEASE DIRECT ALL CORRESPONDENCE REGARDING THIS LEASE TO: Alaska Dept of Fish & Game P.O. Box 115526 Juneau, Alaska 9981 1-5526 Attn: Lands & Leasing Coordinator, Procurement Section Page 12 of 13 13 of 14 2011-000930-0 After recording, return document to: Alaska Department of Fish and Game P.O. Box 115526 Juneau, Alaska 99811-5526 Attn: Lands and Leasing Coordinator Page 13 of 13 is or is 2011-000930-0 A 201.1-000930-0 A Recording Dist: 303 - Kodiak A s 5/20/2011 1:25 PM Pages: 1 of 14 K A I IIIIIII VIII IIIIIIIIIIIIIIIIII IIIIIIIIII I VIIIA THIS COVER SHEET HAS BEEN ADDED TO THIS DOCUMENT TO PROVIDE SPACE FOR THE RECORDING DATA. THIS COVER SHEET APPEARS AS THE FIRST PAGE OF THE DOCUMENT IN THE OFFICIAL PUBLIC RECORD. DO NOT DETACH August 19. 2010 0