HomeMy WebLinkAbout1990-R-08RESOLUTION NO. 90-R- ~
RESOLUTION AUTHORIZING REVISION OF CERTAIN TERMS OF
A GROUND LEASE BETWEEN THE CITY OF JEFFERSONVILLE,
INDIANA, AND HUGHES GROUP, INC.
WHEREAS, the Common Council of the City of jeffersonville,
Indiana, approved a certain ground lease with the Hughes Group,
Inc., on behalf of the City of Jeffersonville, Indiana, on
August 19, 1989, which lease was finally and fully executed by
the respective parties on September 22, 1989; and,
WHEREAS, the time constraints of said lease were
predicated upon the issuance of certain permits and approvals
by various governmental agencies specifically including the
Indiana Department of Natural Resources and the United States
Army Corps of Engineers; and,
WHEREAS, applications for said permits and approvals have
been timely filed by the Hughes Group, Inc., but have not been
acted upon by the respective governmental agencies to the
extent that the Hughes Group, Inc., can proceed in good faith
to commit to the twenty-five (25) year primary term under said
lease with the attendant
thereunder; and,
WHEREAS, Section 5.8 of
rights and responsibilities
the subject lease requires the
Hughes Group to give any notice of termination of the subject
lease by April 1, 1990, or to waive the right of termination
under Article V of the lease; and
WHEREAS, the Common Council of the City of Jeffersonville
continues to believe that the improvements to be constructed
pursuant to the provisions of the lease are in the public's
best interest in that the public access areas will be enhanced,
and erosion and public safety concerns will be mitigated; and,
WHEREAS, Hughes Group, Inc. has expressed its continued
interest in developing this project subject to receiving the
requested approvals by various governmental agencies.
NOW, THEREFORE, BE IT RESOLVED by the Common Council of
the City of Jeffersonville as follows:
1. That the City Attorney is hereby authorized to
negotiate an acceptable addendum to the subject lease
by which the Hughes Group, I~., shall be granted a
period of 120 days after the issuance of required
approvals or permits by the Indiana Department of
Natural Resources, the U. S. Army Corps of Engineers,
or Indiana Department of Environmental Management,
later, in order to obtain all other
approvals, remove all other
and proceed under the
whichever is
governmental
contingencies under the lease,
primary term of the lease.
This addendum shall provide
120th day
approval or
Section 5.8
notice is
shall be
termination
for payment
the lease.
that on or before the
after the issuance of any necessary
permit from the Indiana Department of
Natural Resources, the U. S. Army Corps of Engineers,
or Indiana Department of Environmental Management,
whichever occurs later, the Hughes Group, Inc., shall
provide proper notice of termination under
of the lease, and in the event no such
received by that date, Hughes Group, Inc.
deemed to have waived its right of
under the lease and shall be responsible
of all rent through the primary term of
That all funds received by the Hughes Group, Inc.,
during 1990 from sub-lessees within the leasehold
premises shall be held in an escrow account'jointly
maintained by the Hughes Group, Inc., and the
jeffersonville Parks Department. said funds may be
disbursed only for payment of rent acquired to the
City of Jeffersonville under the provisions of the
ground lease, or for the payment of maintenance and
upkeep expenses for the subject leasehold premises,
and Hughes Group, Inc., shall provide proof of such
expenditures by receipts or ether written evidence to
the Superintendent of the Jeffersonville Parks
Department for approval by the Jeffersonville Parks
Board~ ~- ~
In the event that Hughes Group, Inc., terminates the
lease prior to waiving all contingencies, the balance
of escrow monies shall be returned to the City of
jeffersonville. In the event that the Hughes Group,
Inc. waives all contingencies and proceeds with their
obligations during the primary term of said lease,
all remaining escrow
Hughes Group, Inc.
Hughes Group, Inc.,
for the maintenance,
funds shall be returned to the
shall have full responsibility
upkeep, and operation of the
leasehold premises during calendar year 1990. In the
event that Hughes Group, Inc., terminates its rights
and responsibilities under the lease during 1990 the
premises shall be surrendered to the City of
jeffersonville on January 1, 1991, in substantially
the same condition as exists today subject to any
naturally occurring condition at the site.
That the City of jeffersonville by and through its
Common Council shall have the right to approve or
disapprove any lease arrangement entered into by
Hughes Group, Inc., for mooring space in the subject
leasehold premises beyoud January 1, 1991, until such
time as Hughes Group, Inc., issues its notice to
proceed with the primary term of the lease.
That so long as the provisions set forth in this
Resolution are adequately addressed and the addendum
to the ground lease between the City of
jeffersonville, Indiana, and Hughes Group, Inc., to
be negotiated and prepared by the City Attorney, the
Mayor and Common Council President are hereby
authorized to execute addendum on behalf of the
Common Council of the City of jeffersonville.
Passed and adopted this
1990, by the Common Counc i 1
of the City of Jeffersonville,
Clark County, Indiana.
~ BER~ L. ~I U
PRESIDENT, COMMON COUNCIL
ATTEST:
Presented by me as
City of Jeffersonville,
Approved and signed
/~4~'A~ , 1990.
Clerk-Treasurer to the Mayor of the
Indiana, this /~
day
of