066-22 - WA State Military Department - ContractMIL#: LX22-008
Contract No. 066-22
State of Washington Military Department
Bldg. 36, Camp Murray
Tacoma, WA 98430-5013
Attn: Real Property Office
Document Title: Lease
Lessor: Washington State Military Department
Lessee: City of Port Orchard (Police Dept.)
FACILITY LEASE
This LEASE is made and entered into between Washington State Military Department whose
address is Real Property Office, Camp Murray, Building 36, Tacoma, Washington 98430- 5013, for
its administrators, successors, and assigns, hereinafter called the Lessor, and City of Port Orchard
(Police Dept.) hereinafter called the Lessee.
WHEREAS, the Lessor and Lessee deem it to be in the best public interest to enter into this Lease;
NOW, THEREFORE, in consideration of the terms, conditions, covenants and performances
contained herein, IT IS MUTUALLY AGREED AS FOLLOWS:
PREMISES
The Lessor hereby leases to the Lessee the following described Premises:
Tax Parcel Number: Aportion of 362401-1-014-200
Common Name and Street Address: 1950 Mile Hill Drive, Port Orchard, Washington 98221,
ARMORY
Legal Description: A portion of said parcel located at 1950 Mile Hill Drive, Port Orchard,
Washington 98221, legally described as: beginning in the north quarter corner of Section 36,
Township 24 North Range 1 East, Willamette Meridian, thence South 0* 12'40" west 87.22 feet to
the true point of beginning; thence South 0*11'54"West 601.71 feet more or less to the north line of
Lincoln Avenue; thence North 88*52'55" West 647.65feet more or less to the point of beginning,
containing 8.825 acres more or less; subject to all easements and dedications of record.
Such real property is located within the real property shown in Attachment A, which is incorporated
herein by this reference.
The Premises are further restricted to areas described in the section 3, Use, including any exhibit
thereto.
USE
3. The Lessee shall have use of the 2000 square foot storage building commonly known as the
"Butler Building" located directly behind the Port Orchard Armory for exclusive storage of Police
Department equipment. Due to security requirements, there will be a 25-foot buffer zone around
said building. No other use will be allowed without written authorization from the Lessor. Such
authorization will not be unduly delayed.
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4. TO HAVE AND TO HOLD the Premises with their appurtenances for the term beginning
April 1, 2022 and ending March 31, 2025. This will be a three (3) year lease. The first day of the
term is the Commencement Date used for reference to this Lease.
CONDITION OF PROPERTY
5. Taking possession of the Property by Lessee constitutes acknowledgment by Lessee that
Lessee has had the opportunity to inspect the Property and all of its appurtenances thereto, and
agrees that the Property and appurtenances are in good and tenantable condition, in good order and
repair, and in safe condition for the conduct of any activities or enterprises to be conducted on the
Property pursuant to this Lease. Lessee acknowledges that Lessor has made no representations as to
the condition of the Property unless such are expressly set forth in this Lease.
RENT
6A. The Lessee shall pay rent to the Lessor for the Premises at the following rate and the rent will
be adjusted on an annual basis effective as of the annual anniversary date using the CPI for
Washington State.
April 1, 2022 thru March 31, 2023
$939.00 Monthly
April 1, 2023 thru March 31, 2024
$967.17 Monthly
April 1, 2024 thru March 31, 2025
$996.19 Monthly
6B. Payment shall be made payable to the Washington State Treasurer annually by 1 Oth day
following the Commencement Date and each anniversary thereafter of the Commencement Date]
Rent shall be sent to ---
State of Washington, Military Department
Camp Murray, Building 1
Attention: State Finance Department
Tacoma, Washington 98430
If applicable, Lessee shall remit to Lessor leasehold excise tax, pursuant to RCW 82.29A, which
currently is 12.84% of the rental payment. Leasehold excise tax shall be adjusted if there occurs an
adjustment in the rental rate or leasehold excise tax rate. Said tax shall be paid the same time as
payment of rent is due.
LATE CHARGE
7. If any payment of rent, or any other sum due to the Lessor, is not received by Lessor by the
due date, a late charge of one percent (1%) of the rent due and unpaid plus a $25.00 administration
fee shall be added to the amount due and the total sum shall become immediately due and payable
to Lessor. Each additional rental period that the amount due goes unpaid shall be' subject to a late
charge of one percent (1%) of the rent due plus an administration fee of $25.00. Also, there shall be
a charge of $25.00 for any check returned uncollectible.
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MAINTENANCE AND REPAIR
8A. The Lessee shall be liable for and charged for any damage it, or its agents, employees,
invitees, and guests cause to the Premises during the term of the Lease. Ordinary wear and tear is
not considered damage. The Lessee is responsible for keeping the Premises in as clean or cleaner
condition than existed prior to any use. If debris is left on the Premises, Lessee may be charged for
cleaning fees. Lessor will invoice the Lessee for the reasonable costs of any repairs of damages
for which it is liable and/or cleaning fees, and the Lessee shall pay said invoice within thirty (30)
days of receipt.
813. The Lessor shall maintain the Premises in good repair and condition during the term of this
Lease; provided Lessee shall be charged for any repair of damages for which it is liable under 8A.
Upon receiving written notice from Lessee of a condition of the property requiring repair, Lessor
shall inspect the area and determine if repair is in fact needed, and if needed, Lessor will endeavor
to initiate and complete cure or repair such condition within a reasonable time, subject to available
funding and priorities as determined in the Lessor's discretion. The Lessor reserves the right at
reasonable times to inspect the Premises.
ASSIGNMENT/SUBLEASE
9. The Lessee shall not assign this Lease nor sublet the Premises and shall not permit the use of
Premises by anyone other than the Lessee, its agents, employees, invitees, and guests or for any use
other the use provided in section 3, Use, without the prior written consent of the Lessor, which
consent can be withheld for any reason in the Lessor's lawful discretion.
FIXTURES
10. During the term of this Lease, the Lessee is not permitted to attach fixtures or erect signs
without the prior written approval of the Lessor. Unless otherwise agreed in a written amendment,
all fixtures shall be installed and removed upon Lease termination at the Lessee's sole cost and
expense. The Lessee shall be liable for the reasonable costs of any such removal including the
costs of repair or restoring the Premises from such removal.
RENEWAL
11. If Lessee desires to seek renewal of the Lease, it shall provide written notice to Lessor of its
intention to seek renewal at least sixty (60) days prior to the expiration date of the Lease by
registered or certified mail. The Lessor in its sole discretion will determine whether it desires to
enter such a renewal with the Lessee and shall endeavor to notify the Lessee of its willingness to
negotiate renewal within thirty days of its receipt of the notice. If Lessor is willing to negotiate a
renewal, and if negotiations between the parties have not resulted in a new Lease agreement before
the expiration of this Lease, no renewal shall occur, unless the Lessor extends this deadline in
writing.
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TERMINATION, SUSPENSION, AMENDMENT
12A. This Lease may be terminated by the Lessee on or after the 1 st month of its term, and any
month thereafter, provided that written notice of such cancellation and termination shall have been
given at least ninety (90) days prior to the effective date thereof, in which event rent shall be
prorated to the date of termination.
12B. Lessor may indefinitely suspend or terminate this Lease, in its unfettered discretion.
Provided, if the Lessor in its discretion determines that an emergency condition exists, the Lessor
may suspend or terminate the Lease immediately upon notice to the Lessee or notice posted on the
Premises. Upon suspension or termination, the Lessee shall immediately vacate the Premises or
by such date as may be provided in the notice. Lessee shall in no way obstruct or interfere with the
Lessor's use of the Premises.
12C. This Lease may be amended only by a written mutual agreement of the parties, signed by
both parties by a person with authority to sign. Such amendment shall not take effect until made in
writing and signed by authorized representatives of the parties.
CONDITION AT END OF LEASE TERM
13A. Upon cancellation or termination of this Lease, Lessee agrees to vacate the Premises
immediately or by such date as Lessor otherwise provides in writing, and remove at its expense all
property it owns, unless otherwise agreed in writing with the Lessor. The Lessee shall pay the costs
of any such cleaning plus Lessor's administrative expenses to conduct the cleaning with thirty days
of receiving an invoice.
13B. Lessee shall be responsible for all reasonable costs, expenses, and attorneys' fees associated
with termination of the Lease, including, but not limited to, those costs, expenses, and attorneys'
fees that the Lessor incurs for repair of damage for which Lessee is liable, cleaning for which
Lessee is liable, removal of property of the Lessee and any related repair or restoration of the
Premises. The costs of cleaning include Lessor's administrative expenses to conduct the cleaning.
13C. In the event Lessee does not remove trade fixtures, personal property and equipment within
thirty (30) days following lease expiration or termination, Lessor may at its election (i) require
Lessee to remove such property at Lessee's sole expense, and Lessee shall be liable for any damage
to the property caused by such removal and the costs of restoration to a condition at least as good as
the property was prior to the placement of such property on the Premises, (ii) treat said items as
abandoned, retaining said properties as part of the Premises; or (iii) have the items removed and
stored at Lessee's expense. Lessee shall reimburse Lessor for any damage caused to the Property by
the removal and restoration, whether removal or restoration is by Lessee or Lessor within 30 days
receipt of notification by Lessor.
HOLDING OVER
14. If Lessee remains in possession of the Premises after the expiration or tennination of the
Lease term, or any extension thereof, the Lessor in its sole discretion may deem such holdover to be
a month -to -month tenancy by providing written notice thereof to the Lessee. In such case, Lessee
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shall pay 150% of monthly rent provided for in this Lease or such other rent as the parties mutually
agree to in writing and all provisions of this Lease shall apply to the month -to -month tenancy,
except those pertaining to term and option to renew. Lessor may terminate the month -month
tenancy upon thirty (30) days advance written notice.
DISASTER
15. In the event the Leased Premises are destroyed or damaged by fire, earthquake or other
casualty, or are otherwise affected by a disaster or occurrence, so as to render the Premises totally
unfit for occupancy, the Lessor or the Lessee may terminate this Lease. In the event of such
termination,. Lessee shall be reimbursed for any unearned rent that has been paid, minus any charges
that have not been paid.
NO GUARANTEES
16. Lessor makes no guarantees, express or implied, representations, promises or statements
unless endorsed herein in writing. This Lease shall not be valid and binding upon the State of
Washington unless it has been approved by The Adjutant General of the Military Department or his
or her designee and approved as to form by the Office of the Attorney General.
DISPUTE RESOLUTION
17. In the event that a dispute arises between the parties, and it cannot be resolved through
discussion and direct negotiation, either party may require that the matter be mediated, which
mediation shall occur within sixty (60) days of the request, if feasible. If mediation fails to produce
an agreement or the parties agreed to forgo mediation, the dispute shall be submitted to arbitration
under RCW 7.04A. All costs of arbitration shall be equally shared, and each party shall bear its
own attorney's fees, if any.
HOLD HARMLESS
18. To the fullest extent permitted by law, the Lessee, its successors or assigns expressly agrees
to and shall indemnify, defend and hold harmless the Lessor and its agencies, officials, agents, and
employees, from and against all claims, actions, costs, damages, or expenses of any nature arising
out of or in connection with any acts or activities of Lessee, its employees, agents, guest, or invitees
authorized by this Lease. Lessee's obligation to defend includes payment of any costs or attorneys'
fees. Lessee's obligation shall not include such claims that may be caused by the sole negligence of
the Lessor and its agents and employees. If the claims or damages are caused by or result from the
concurrent negligence of (a) the Lessor, its agents or employees and (b) the Lessee, its agents,
employees, invitees, or guests, this indemnity provision shall be valid and enforceable only to the
extent of the negligence of the Lessee, its agents, employees, invitees, or guests. The Lessee
expressly agrees to waive his/her immunity under Title 51 RCW to the extent required to indemnify,
defend, and hold harmless the Lessor and its agents or employees.
INSURANCE
19A. Lessee shall, at all times during the term of this Lease and at its sole cost and expense, buy
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and maintain insurance of the types and amounts listed below, and provide proof of insurance prior
to the beginning of the Lease period. In the absence of such insurance, this Lease shall be deemed
void. Further, Lessee shall promptly notify Lessor of any changes, modifications, or amendments to
such policies. Failure to buy and maintain the required insurance may result in the termination of
the Lease at the Lessor's discretion.
19B. If applicable, all insurance and surety bonds should be issued by companies admitted to do
business within the State of Washington and have a rating of A-, Class VII or better in the most
recently published edition of Best's Reports. Any exception shall be reviewed and approved by the
Department's Risk Manager, or the Risk Manager for the State of Washington, before the Lease is
accepted.
19C. Lessee shall maintain general liability (CGL) insurance, and, if necessary, commercial
umbrella insurance with a limit of not less than $1,000,000 per each occurrence. If such CGL
insurance contains aggregate limits, the General Aggregate limit shall be at least twice the "each
occurrence" limits. CGL insurance shall have products -completed operations aggregate limit of at
least two times the "each occurrence" limits.
19D. CGL insurance shall.be written on ISO occurrence form CG 00 01 (or a substitute form
providing equivalent coverage). All insurance shall cover liability arising out of Premises,
operations, independent contracts, products -completed operations, personal injury and advertising
injury, and liability assumed under an insured contract (including the tort liability of another
assumed in a business contract) and contain separation on insured (cross liability) condition. All
policies required under this paragraph shall include and maintain the following provisions and the
Lessor shall be provided written notice before cancellation or non -renewal of any insurance referred
to therein, in accord with the following specifications:
• Lessee shall give the State 45 days' advance notice of cancellation or non -renewal. If
cancellation is due to non-payment of premium, the Lessor shall be given ten (10) days
advance notice of cancellation.
• The Covered Member listed on the attached Evidence of Coverage Document is a member
of the Association of Washington Cities Risk Management Services Agency (AWC RMSA),
which is a group of cities, towns and other districts that have come together under an
interlocal agreement, as permitted under RCW 48.62 to group self -insure.
• The Insurance certificate must include Washington Military Department listed as additional
insured, Military Lease Number, Readiness Center Location and endorsements.
• All insurance provided in compliance with this Lease shall be primary as to any other
insurance or self-insurance programs afforded to or maintained by Lessor.
• By requiring insurance herein, Lessor does not represent that coverage and limits will be
adequate to protect Lessee; and such coverage and limits shall not limit Lessee's liability
under the indemnities and reimbursements granted to Lessor in this Lease.
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HAZARDOUS SUBSTANCES
20. Lessee shall not keep on or about the Premises, for use, disposal, treatment, generation,
storage or sale any substances which are hazardous, toxic, harmful or dangerous, and/or which are
subject to regulation as hazardous or toxic, dangerous, or as a pollutant by any federal, state, or
local law, regulation, statute, or ordinance (collectively referred to herein as "hazardous
substances"). Lessee shall be fully liable to the Lessor, and shall, to the extent permitted by law,
indemnify, defend and save harmless the Lessor and its officials and employees, with respect to any
and all damages, costs, fees (including attorneys' fees and costs), civil and criminal penalties, or
clean-up costs assessed against or imposed as a result of Lessee's use, disposal, generation, storage,
or sale of hazardous substances or that of Lessee's employees, agents, or invitees.
NON-DISCRIMINATION
21, The Lessee shall not discriminate against any person or persons or exclude them from
participation in the Lessees operations, programs or activities conducted on the Leased Premises,
because of race, creed, color, national origin, sexual orientation (including gender identity and
gender expressions), sex, honorably discharged veteran or military status, status as a mother
breastfeeding her child, the presence of any sensory, mental, or physical disability, or the use of a
trained dog guide or service animal by a person with a disability, or national origin. The Lessee will
comply with the Americans with the Disabilities Act of 1990 (42 U.S.A., 12101-12213) and the
Washington State Law against discrimination, chapter 49.60 RCW, as well as the regulations
adopted thereunder, and attendant Americans with Disabilities Act Accessibility Guideline
(ADAAG) published by the Architectural and Transportation Barriers Compliance Board.
PREMISES
22. Lessor and Lessee have conducted a walk-through inspection of the Premises. Lessee
accepts the Premises in their present condition and accepts all risk of injury to persons or damage to
property resulting from, or arising out of, the condition of the Premises. This acceptance includes
knowledge that the Premises may not meet the requirements set forth in the Americans with
Disabilities Act (ADA). Lessee agrees to hold Lessor harmless from any liability or claims due to
the Lessee's failure to comply with comply with ADA, if the Lessee has a duty to comply the ADA
or an ADA requirement arises from the Lessee's use of the Premises.
ADDITIONAL LEASE PROVISIONS
23A. Alcoholic beverages and the sale and consumption of alcoholic beverages are prohibited in
or on property owned by the Lessor. No smoking shall be allowed on the Premises.
23B. All signs installed on the exterior of the Premises and/or doors and windows of the Premises
shall be subject to the prior written approval of the Lessor, which approval can be withheld for any
reason in total and unrestricted discretion of the Lessor.
23C. Lessee agrees that areas not specifically authorized for their use under the terms of this
Lease are not authorized for the use or entry of Lessee, its employees, agents, guests, and invitees,
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and that entry into such unauthorized areas may be grounds for termination of this Lease.
231). Lessee agrees not to use this property for commercial and political activities. Lessor's
buildings may not be used for political purposes, nor will they be rented to a political organization
or an affiliate thereof except the local government agencies for use as a polling place. Buildings
will not be rented to profit -malting organizations unless the profits are generated for some public or
beneficial use. Profit -malting organizations or civic groups may use Lessor's buildings when the
primary purpose of the event is a fundraiser in the public interest. The facility will not be used for
activities detrimental to the interest of the US Government, the State of Washington, the National
Guard or its members.
23E. Lessee acknowledges the Lessee shall be solely responsible for the personal security and
protection of its employees, agents, customers, invitees, children, parents participating in Lessee's
activities, and spectators or visitors associated with Lessee's activities, including but not limited to
personal injury, and property damage, including damage to personal property. Lessee shall be
responsible for instituting adequate security measures to accomplish such security and protection.
Lessee's obligations encompass the Leased area. Any security devices to be installed at the Premises
require the prior written consent of Lessor and shall be in conformance with Lessor's criteria, if any.
Lessee agrees to save Lessor, its agents and employees harmless from any and all liability due to
any personal injury, or property damage or loss in any way related to Lessee's security measures.
23F. Lessee will be allowed to install, at their sole cost, an enhanced security system to ensure
protection of the equipment stored on site. Lessee also agrees at the termination of the lease; Lessee
will restore the facility to its original state.
CONDEMNATION CLAUSE
24. If all the Premises or such portions of the Premises, as may be required for the reasonable
use of the Premises, are taken by eminent domain, this Lease shall automatically terminate as of the
date Lessee is required to vacate the Premises and all rentals shall be paid to that date. In case of a
taping of a part of the Premises, or a portion not required for the reasonable use of the premises,
then the Lease shall continue in full force and effect and the rental shall be equitably reduced based
on the proportion by which the floor area of the Premises is reduced, such rent reduction to be
effective as of the date possession of such portion is delivered to the condemning authority. Lessor
reserves all rights to damages and awards in connection therewith, except Lessee shall have the
right to claim any relocation benefits.
NOTICES
25. Wherever in this Lease written notices are to be given or made, they will be sent by certified
mail to the address listed below unless a different address shall be designated in writing and
delivered to the other party.
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LESSOR: State of Washington, Military
J'amila Saidi, Real Property Office
Camp Murray, Building 36
Tacoma, WA 98430,5013
iamila saidi(rDmi1 wa aov
253-512-9265 Office
LESSEE: City of Port Orchard
ATTN, Chief Brown
546 Bay Street, Port Orchard, WA, 98366
Mbrown�cit�ofportorchard us
360-876-1700 Office
206-284-8510 Fax
CAPTIONS
The captions and paragraph headings hereof are inserted for convenience purposes only and shall
not be deemed to limit or expand the meaning of any paragraph.
GOVERNING LAW/VENUE,
This Lease is to be governed by and construed in accordance with the laws of the State of
Washington. Venue of any action between parties relating to this Lease wilt be exclusively in
Thurston County, Washington;
IN WITNESS WHEREOF, the parties hereto have hereunto subscribed their names.
CITY OF PORT ORCHARD STATE OF WASNINOTON ILZTARY EP TMENT
By: Gi--•ems E�,,
(signature) (signature)
Print Name: Rob Putaansuu Print Name: Eret bau hert r neral
Title: Mayor
Date: April 27, 2022
Title: The Adjutant General
Date. 23 June 2022
BOtLERPLATF PROVED AS TO FORM '
By:
(signs re)
Print Name: L
Title: Judize Advocate General
City of Port Orchard Page 9 of 11 f,2.009
Tate:
BOILERPLATE APPROVED AS TO FORM
David B. Merchant (signature on file DATE)
Assistant Attorney General
State of
�-; ) ss.
County of )
On this day of �- 20R�before
me personally appeared `.7 ) j '' ('�. �j to me
known to be the 01 n, .t 7 F of the
corporation that executed the within and foregoing instrument and acknowledged the said
instrument to be the free and voluntary act and deed of said corporation, for the uses and purposes
therein mentioned, and on oath stated that was authorized to execute said instrument and
that the seal affixed thereto is the corporate seal of said corporation.
In Witness Wlierenf l4-I{i l j+ ej�ii�tq et my hand nd affxed my official seal the day and year first
above written,on' O ',
No y�Uwif ,aton, Jrn -neA—bl�aind
NCIT,Cy)y L i Residing at mp(p_ cLvn -�y
fv A081 My commission expires 5. as
State of LJas.h rnc�trl )
) ss.
County of 1 •Pit C •e )
On this 2 a CP day of e. , 2017, before
me personally appeared Bret D. Daugherty to me known to be the Adjutant General of the
Washington State Military Department that executed the within and foregoing instrument and
acknowledged the said instrument to be the free and voluntary act and deed of said agency, for the
uses and purposes therein mentioned, and on oath stated that he was authorized to execute said
instrument.
In Witness Whereof I have hereunto set my hand and affixed my official seal the day and year first
above written.
' CATHERINE M S NE N
NOTARY PUBLIC #5945
STATE OF WASHINGTON
COMMISSION EXPIRES
JUNE 8, 2025
Notary Public in and for the State of Washington,
Residing at
My commission expires
Zo 2 S
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Attachment A
11
METAL STORAGE BUILDING
PORT ORCHARD READINESS CENTER
PORT ORCHARD, WASHINGTON
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