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HomeMy WebLinkAboutRes1982-062 08/19/82 LM:lm . . . . ~ CITY OF SEWARD, ALASKA RESOLUTION NO. 82-62 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING A LEASE AGREEMENT WITH RESURRECTION BAY ENTERTAINMENT TELEVISION, INC. WHEREAS, Gary L. Ferguson, President of Resurrection Bay Enter- tainment Television, Inc. (RBETV) has submitted a proposal to the Seward City Council to lease the City's satellite receiving station for the pur- pose of operating a pay television station; and WHEREAS, the City Council solicited comments from the citizens of Seward at public hearings conducted for the purpose of duscussing said lease with RBETV; and WHEREAS, following these public hearings, the City Council, by majority vote at its regular meeting of May 24, 1982, instructed the admin- istration to negotiate a lease with RBETV; and WHEREAS, Gary L. Ferguson has executed a lease agreement (Attach- ment A) with the City of Seward; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. The administration of the City of Seward is hereby authorized to execute the lease agreement (Attachment A) which is attached and incorporated herein as a part of this resolution. Section 2. This resolution shall take effect immediately upon its adoption. PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, this 23 day of August , 1982. AYES: NOES: ABSENT: BURGESS, CRIPPS, GILLESPIE, O'BRIEN, SORIANO AND SWARTZ NONE MEEHAN . . . e City of Seward, Resolution No. Page 2 Alaska 82-62 ATTEST: (City Seal) . APPROVED AS TO FORM: HUGHES, THORSNESS, GANTZ, POWELL & BRUNDIN Attorneys for the City of Seward, Alaska -:(~ (J/ Ii+..c- Fred B. Arvidson, City Attorney f; .' " l ..~ :~ ~; I I. " ~~ " ~ ~~ , J .~~ ~ I, r !~ .: ,"i>, :;i II II I II ,j il I, Ii HUGHES THQRSHES$ II GANTZPOWELLa BRUNDIN ATTOIIINE;Y$ AT LAW 50. WESTTHIAD,lVUWl ANCHORAGE. AK 99501 (901)274.7522 Ii ,I II I I il Ii :1 and II I, !: !I il II i i I , I I I I I JOINT USE OF EQUIPMENT LEASE THIS AGREEMENT, made this 23 day of August, 1982, by herein) and GARY L. between the CITY OF SEWARD ( "Lessor" TELEVISION, INC. FERGUSON d/b/ a RESURRECTION BAY ENTERTAINMENT ("Lessee" herein) . WHEREAS, it is in the public interest to provide to the citizenry of the City of Seward the accessibility to pay televi- sian: and WHEREAS, Gary L. Ferguson d/b/a Resurrection Bay Enter- tainment Television, Inc. has been granted a low power television translator license Eor service in the City of Seward by the Fed- 1982, a eral Communications Commission on copy of which attached; and WHEREAS, Gary L. Ferguson d/b/a Resurrection Bay Enter- tainment Television, Inc. has requested of the City of Seward joint use of its satellite receiving station to provide low power television service on Channel 17 to the citizenry of the City of Seward. WIT N E SSE T H: 1. Lease. Lessor hereby leases to Lessee, and Lessee hereby hires and takes from Lessor, the personal property described on the attached Schedule lIAII (referred to herein as Uequipmentn) . 2. Term. This lease is for the term of one (1) year, commencing on July 15, 1982 and ending July 15, 1983. 3. Rentals. Lessee agrees to pay to Lessor or its assignee (hereinafter collectively called llLessor, II except where the context otherwise indicates) for said term or any portion thereof an aggregate monthly rental of ONE HUNDRED FIFTY AND NO/lOO DOLLARS ($150.00). The first monthly installment of rent .'. .' ~ " .' " J '1 I \ f. ) j " n . f: ',' . ."; .1 II !I i' Ii Ii II 'I I i I HUGHES THORSNESS I GANTZ POWELL,SRUNDIN "'TTORN~S"'Tl.AW I' 50' Wl$T TH1~D AVlNI,/[ I ANCHORAGE. .ilK 99liOl (90712:74.7522 shall become due on July 15, 1982, and the remaining payments shall, unless accelerated as herein provided, become due on the first day of each successive month thereafter. All rent shall be paid without notice or demand and without abatement, deductions or setoff of any amount whatsoever at: City of Seward Box 167 Seward, AK 99664 A TTN: CITY CLERK 4. Use of Equipment. The Lessor is not awarding a franchise or monopoly to Gary L. Ferguson d/b/a Resurrection Bay Entertainment Television, Inc. via this lease since the Federal Communications Commission regulates low power television service. However, the Lessor prohibits the use of the equipment for the broadcast of obscene material and lotteries. If the equipment is so used, this lease is null and void. Further, Lessee's use of the equipment via Channel 17 shall not interfere with the recep- tion or broadcast of the Lessor's VHF stations. If interference develops, this lease is null and void. 5. No Warranties by Lessor: Maintenance, Compliance with Laws and Insurance. Lessee hereby acknowledges that Lessor is not the manufacturer of the equipment, nor manufacturer IS agent, and that LESSOR MAKES NO WARRANTY OR REPRESENTATION, EITHER EXPRESS OR IMPLIED, AS TO THE FITNESS, DESIGN OR CONDI- TION, THE MERCHANTABILITY OF THE EQUIPMENT OR ITS FITNESS FOR ANY PARTICULAR PURPOSE, THE QUALITY OR CAPACITY OF THE MATERIALS IN THE EQUIPMENT OR WORKMANSHIP IN THE EQUIPMENT, or that the equipment will satisfy the requirements of any law, rule, spec i- fication or contract which provides for specific machinery or operators, or special methods. No defect or unfitness of the equipment shall relieve Lessee of the obligation to pay rent, or -2- e h ~ ~ ~ i :1 I ,I " ~ j :r ~ , i " e: II II II 'I II Ii 1\ any other obligation under this lease, to Lessor. No oral agree- ment guaranty, promise, condition, representation or warranty nor any oral modification hereof shall be binding. All prior conver- sations, agreements or representations related to this lease or to the equipment are integrated herein. Lessee shall, at its own cost and expense, (a) pay all charges and expenses in connection with the day-to-day operation of the equipment: (b) comply with all laws, ordinances, regulations, requirements and rules with !1 respect to toe use, II ii I, I !\ II II Ii maintenance and operation of the equipment; (c) maintain at all times property damage, fire, theft, and com- prehensive insurance for the full insurable value of the equip- ment, in companies satisfactory to Lessor, protecting Lessor 1 s interest as it may appear, and public liability insurance includ- ing Lessor as an insured, in amounts satisfactory to Lessor; (d) deliver to Lessor evidence of such insurance coverage. " ,.'. Lessor agrees to make all repairs and replacements required to be made to maintain the equipment in good condition, reasonable wear and tear excepted. In addition, Lessor agrees to test, adjust and service the equipment if needed. In performing the duties set forth in the two sentences immediately preceding, Lessor may contract with and delegate Lessor's duties to such persons or entities as Lessor sees fit in the exercise of Les- sor's discretion. 6. Destruction of Equipment. If any equipment is totally destroyed, the liability of Lessee to pay rent therefor may be discharged by paying to Lessor all the rent due and to become due thereon, less the net amount of the recovery, if any, actually received by Lessor from insurance or otherwise for such loss or damage. Except as provided in the preceding sentence, HUGHES THORSNESS GI.NU POWELL. BRUNDIIi ....TTO~NI!Y5....T LA"... SOl WEST THIIlO AV[NU[ I.NC\olORll.GE. A.1t 9ll!\oCI (907)274.7522 the total or partial destruction of any equipment, or total or partial loss of use or possession thereof by Lessee, shall not -3- .,: fl M .' ~.' j '1 ;1 r, ~-; ~l ~ , '! :~ j . .'". , -' . HUGHES THORSNESS I GA~~:~:"EyLSL~~~~OIN ! ~OtwnTTH1RDAV!MU! ANCHOR"GE. AK 99501 (90712.74.1522 release or relieve Lessee from the duty to pay the rent herein i, provided. I i i II !I [, " , II I " I I, " " II " II II I :1 III i I Lessor shall not be obligated to undertake, by litiga- ticn or otherwise, the collection of any claim against any person for loss or damage of the equipment. 7. of by Lessee. During Payment Taxes the term of this lease, Lessee shall, in addition to the rent provided herein to be paid, promptly pay all taxes, assessment and other govern- mental charges levied or assessed upon the interest of the Lessee in the equipment or upon the use or operation thereof or on the earnings arising therefrom, and as additional rent shall promptly payor reimburse the Lessor for all taxes (other than sales taxes paid by Lessor with to its purchase of the equipment), respect and other (including assessment governmental charges fees for titling and registration of the equipment, if required) levied or assessed against and paid by the Lessor on account of its owner- ship of the equipment or any part thereof, or the use or opera- tion thereof or the leasing thereof to the Lessee, or the rent herein provided for or the earnings arising therefrom, exclusive, however, of any taxes based on net income or gross receipts or gross income of Lessor. 8. ownership of Lessor. The equipment shall at all times remain the property of Lessor. Lessee will at all times protect and defend, at its own cost and expense, the ownership of Lessor against all claims, liens and legal processes of creditors of Lessee and other persons, and keep the equipment free and clear from all such claims, liens and processes. The equipment is and shall remain personal property and not part of any real estate. Upon the expiration or termination of this lease, Lessee at Lessee's sole expense shall return the equipment unencumbered to Lessor and in the same condition as when received by Lessee, reasonable wear and tear resulting from authorized use excepted. -4- b ~'l , , 'i ;\ ;i " 1 j "j k . HUGHES THORSNESS GANTZ POWELL! BRUHDIN ATTORN"VS AT LA.W $0' WEST THIRO"'V~NU( ANCHORAGE. AK 99501 e90712:14-7522. I I I I II II i' 9. Equipment to be Identified. Lessee shall, upon the request of Lessor. and at its own expense. firmly affix to the I I II I, if equipment.. in a conspicuous place, such a decal or metal plate as equipment, shall be supplied by Lessor showing Lessor, or Lessor's ~ssignee of such the owner and Lessor assigned} , be as (if this lease Lessee shall not affix any signs, decals or labels to the equipment. to. Possession, Use and Location of Equipment. So long as Lessee shall not be in.... default under this lease, Lessee may possess and use the equipment in accordance with this lease. '!'he equipment shall be used in the lawful business of Lessee and shall be kept at Seward, ~laska. Lessee shall not, without Les- sorls prior written consent, remove the equipment from such loca- tion, part with possession or control of the equipment or sell, pledge, mortgage or otherwise encumber the equipment or any part thereof or assign or encumber any interest under this lease. 11. Performance of Obligations of Lessee by Lessor. If Lessee shall fail duly and promptly to perform any of Lessee' s obligations under the provisions of paragraphs 6, 7 and 8 of this lease, Lessor may, at its option, at any time thereafter perform the same for the account of Lessee without thereby waiving the default, and any expense or liability incurred by Lessor in so doing, together with interest at one percent (l%) per month or the highest lawful rate, whichever is less, until paid by Lessee to Lessor, shall be payable by Lessee upon demand as additional rent for the equipment. 12. Inspection. Subject to any applicable laws, regu- lations and rules, Lessor shall have the right from time to time to enter upon Lessee's premises or elsewhere for the purpose of confirming the existence, condition and the proper maintenance of the equipment. -5- f, .. " ~~ . '1 ~\ t', ", 1 :j , .i j' t . ., .'/- :.'1 I I' !I Ii I' .I II I[ HUGHES THQASNESS II GANTZPOWELLABRUNDIN! ATTOP'tNI!;YS AT LAW $0' WfST HIIRll"'V~NUE ANCHORAGE. AI( 99501 (907) 274.7~jz2 I II Ii ill Lessor II II :1 p II Ii II Ii ill Ii 'I I II Ii \ 13. Indemnity. Lessee shall indemnify Lessor and save damage, liability, loss, from any and all ex- harmless pense, causes of action. suits, claims or judgments arising from injury to person or property resulting from or based upon the actual or alleged use, operation, delivery or transportation of location or condition; and any or all of the equipment or its shall, at Lessee's own cost and expense, defend any and all suits ~hich may be brought against Lessor, either alone or in con junc- liability or claim or claims. such tion wi th others, upon any Lessee shall satisfy, pay and discharge any and all judgments and fines that may be recovered against Lessor in any such action or actions, provided, however, that Lessor shall give Lessee written notice of any such claim or demand. of rights Lessor 14. 1\.ssiqnment. This lease and all hereunder shall be assignable by Lessor without Lessee's consent, but l.essee shall not be obligated to any assignee of Lessor ex- cept after written notice of such assignment sent by regular mail from l.essor. Lessee shall not assign this lease or its interests ! hereunder or enter into any sublease with respect to the equip- ment covered hereby. 15. Default. This lease shall be breached if: (a) Lessee shall default in the payment of any rent hereunder and such default shall continue for ten (10) days; (b) Lessee shall default in the performance of any other covenant herein and such default shall continue for fifteen (15) days after written notice thereof by Lessor to Lessee; (e) Lessee shall cease to do business as a going concern; (d) 1\. petition is filed by or against Lessee under the Bankruptcy Act or any amendment thereto (including a petition for reorganization or an arrangement); or -6- .i' D ., ~; .~ " ,i " ~ , J ;) I I HUGHES THOR5NESS II GANTZPOWELLtl: BRUNPIN ATTORNlEYS AT LAW , 509 WESTTMIRP......UIUE I ANCHORAGE. Ale: 99501 {90n 2U.7522 I (e) Lessee attempts to remove or sell or transfer or encumber or sublet or part with possession of any of the equipment. In the event of a breach of this lease: (1) all sums to become due hereunder shall, at Lessor's option, become due and payable forthwith: and (2) the equipment shall upon Lessor's demand forthwith be delivered to Lessor at Lessee I s expense at such place as Lessor shall designate and Lessor and/or its agents may, without notice or liability or legal process, enter into any premises of or under control or jurisdiction of Lessee or any agent of Lessee where the equipment may be or by Lessor is be- lieved to be, and repossess all or any part of the equipment, disconnecting and separating all thereof from any other property and using all force necessary or permitted by applicable law so to do. Lessee hereby expressly waives all further rights to possession of the equipment and all claims for injuries suffered through or caused by such repossession. If Lessor takes posses- sian, Lessor shall give Lessee credit against Lessee's liability for lease rentals for an amount equal to the difference between the aggregate rent reserved hereunder for the unexpired term of this lease after such taking of possession (hereinafter called "Unexpired Rentals") and the then aggregate rental value of all equipment for the unexpired original term of this lease (herein- after called "unexpired Rental Value of Equipment") 1 provided, however, that any statute providing a lesser amount of damages shall control, if applicable and not subject to agreement of the parties. The foregoing provisions shall be with prejuoice to any greater rights given to Lessor by any such statute. Lessor, upon any breach of this lease, may sell the equipment or may release such equipment for a term and a rental which may be equal to, greater than or less than the rental and term herein provided, and any proceeds of such sale received within sixty (60) days -7- II II I I , .:' I I I ! tj I !I f 'I 1 II 'I II II 'I Ii " J [, ~ 'I . ,. ~ (~ after Lessor receives possession of the equipment or any rental payments received under a new lease made within such sixty (60) days for the period prior to the expiration of this lease. less Lessor's expenses of taking possession, storage, re-connitioning and sale or re-leasing r shall be deemed and considered for the purposes of this paragraph as being the Unexpired Rental Value of Equipment. If the Unexpired Rental Value of 'Equipment exceeds the Unexpired Rentals. Lessor shall be entitled to the excess. "rhe provisions hereof entitling Lessor to collect all unpaid rentals reserved under this lease less the Unexpired Rental Value of Equipment is agreed on as a liquidated damage provision and not as a penalty. The provisions of this paragraph shall be without prejudice to Lessor's right to recover in full for unpaid rent that accrued prior to the taking of possession of the equip- ment. In the event of a breach of this lease, Lessor, at its option. may enforce by appropriate legal proceedings specific performance of the applicable covenants of this lease, as well as any other remedy herein provided. Should any legal proceedings be instituted by Lessor to recover any monies due or to become due hereunder and/or for possession of any or all of the equip- ment, Lessee shall pay all expenses incurred by Lessor in exer- cising or attempting to exercise rights, powers and remedies herein conferred or not or nereafter existing at law or equity or in collecting or attempting to collect monies due or to become due under the lease, including attorney's fees at the time it is placed with an attorney. 16. No Purchase Option. Lessee shall have no option to purchase or otherwise acquire title to or ownership of any of the " equipment and shall have only the right to use the same under and HUGHES THQRSNESS I GA~:~=~:l!:EyL;~~R~~DIN SUbject to the terms and provisions of this lease. 501 W~ST nU~D "'~ElllJE I ANCHORAGE. AK 99501 1907) 274-7522 . -B- " j, R ': << :i ,j " " ,; " 1 !-: !~ :.~ " . .\';". i II II il I! II I HUGHES THORSNE$S GA~~:~:l[EyL~~~R~~DIH I, 50'WEHTHIRDAVENUE I ANCHORAGE> Ale 19501 (9011214_1511 I I ,I II Ii " 17. Further Assurance. Lessee shall execute and de- liver to Lessor, upon Lessor' 5 request, such instruments and assurances as Lessor deems necessary or advisable for the confir- mation or perfection of this lease and Lessor's rights hereunder. 18. Notices, Remedies and Waivers. All notices relat- ing hereto except as required under paragraph 13 shall be deliv- ered in person to an administrator of the Lessor or Lessee or shall be mailed registered to Lessor or Lessee at its respective address above shown or at any later address last known to the sender. No remedy of Lessor hereunder shall be exclusive of any other remedy herein or by law provided, but each shall be cumula- ti ve and in addition to every other remedy. A waiver of a de- fault shall not be a waiver of any other or a subsequent default. This lease is irrevocable 19. Lease Irrevocability_ for the full term hereof as set forth in paragraph 2 hereof, and the rent shall not abate by reason of termination of Lessee IS eight of possession and/or the taking of possession by the Lessor or for any other re..rason, and delinquent installments of cent shall bear interest at the highest lawful contract rate or one percent (1%) per month, whichever be the lesser. 20. Severability. provision hereof any If or any remedy herein provided for be invalid under any applicable law, such provision shall be inapplicable and deemed omitted but the remaining provisions hereof, including the remaining default remedies, shall be given effect in accordance with the manifest intent hereof. 21. Entire hgreement; Waiver. This instrument consti- tutes the entire agreement between the parties. NO supplier or agent thereof is authorized to bind Lessor or to waive or modify any term hereof. No waiver by Lessor of any provision hereof shall constitute a waiver of any other matter. -9- b , .' J .J ~l " i; t' 1~ ',', II II 1\ I. Ii I il I I I Joint use of a portion of the City of Seward's satellite receiv- ing station for the purpose of operating a pay TV station known ~ as Channel 17. I, SCHEDULE A DESCRIPTION OF PERSONAL PROPERTY LEASED ( Paragraph 1) Ii !\ Joint use of a portion of the City of Seward' s equipment Duild- Ii ing. " Ii I' I i I' Ii !: ,'( , " II :1 Ii II I' I t I HUGHES THORSNESS GANn POWELll'BRUND1N ",TTCoI..ayS /loT l..A.W 50tWE!TTHIRIlAVEltut: ANCHORAGE. AI( 99501 \9(1) 274.7522 e;, 22. Construction. This lease is to be interpreted in r'\ ~ " ,t J '4 I accordance with the laws of the state of Alaska. 23. Modification. The terms, covenants and conditions of this lease may be modified only by the written agreement of all parties hereto. IN WITNESS WHEREOF, the Lessor and Lessee have executed j\ " '.1 ,~ this Joint Use of Equipment Lease on the day and year first here- inabove written. j ,1 LESSOR: CITY OF SEWARD By: e I II )1 'I i :, ii I: I I LESSEE: GARY L. FERGUSON d/b/a RESURRECTION BAY ENTERTAINMENT TELEVISION, INC. '?~d 7~,,-, _...--1 I, (! Ii HUGtlES THORSHESS I GANTZ POWEllaSRUNDIN ATTORNEYS AT ~w ' 501 WEST r~I~D AVENUE I ANCHORAGE. AK 9i!lOI (g0112,74-1524 I I II I, \i -10- f, e. ~ ~ ~ , ~ 'j ~ . Tj ~ J . HUGHES THOR$NESS GANTZ POWELL& BRUN OIN ATTORNJ;;YS AT LAW 509 WEST TIIIRO AVENUE ANCHORAGE. AK 99501 (907) 274.752.2 ADDENDU/\ TO JOINT USE OF EQUIPI1ENT LEASE This Addendum dated this 23 day of August, 1982, is betIJeen the CITY OF SE~lARD ("Lessor") and GARY L. FERGUSON, d/b/a RESURRECTION BAY ENTERTAINl1ENT TELEVISION, INC., ("Lessee") "ho are the parties to that certain Joint Use of Equipment Lease between Lessor and Lessee to which this Addendum is attached. The parties understand and Lessee warrants that Lessee has full opera t ional au thor i ty frol'l the Federal COl'lmun ications COI1Plission to operate a low power television l!ranslator within the City of Sew,ard and within the terl'ls set forth in the Joint Use of Equipl'lent Lease but Lessor recognizes that the final license has yet to be issued in the na~e of Lessee. Lessee warrants that it has made application therefore and will forward to Lessor a true and correct copy of said license when it is finally approved and received by Lessee. DA':'ED this 23 day of August, 1982. LESSOR: CITY OF SEWARD By ~ , Ti tIe Assistant Citv ManalZer LESSEE: GARY L. FERGUSON d/b/a RESURRECTION BAY ENTERTAINMENT TELEVISION, INC. /~d//%7n~~/