HomeMy WebLinkAbout1999-246
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RESOLUTION NO. 99-246
APPROVING LEASE AGREEMENT
BETWEEN THE CITY OF STILLWATER
AND THE MINNESOTA TRANSPORTATION MUSEUM
NOW THEREFORE, BE IT RESOLVED by the City Council of Stillwater, Minnesota, that
the agreement between the Minnesota Transportation Museum, Inc., and the City of Stillwater
for the lease, maintenance and operation of the former Northern Pacific steam locomotive and
tender No. 328 is hereby approved.
Adopted by Council this 7th day of September, 1999.
Attest:
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Exh~bit A to Resolution No. 99-246
LEASE AGREEMENT
The Minnesota Transportation Museum, Inc. ("MTM"), a Minnesota non-profit
corporation, proposes to lease, maintain and operate the former Northern Pacific steam
locomotive and tender No. 328 ("Locomotive") now presently leased by MTM and owned by
the City of Stillwater (the "City").
MTM desires to operate and display the Locomotive for historic, educational and other
purposes in accordance with the provisions of its Articles of Incorporation. The City desires to
have the Locomotive maintained, operated and. occasionally available for use and display in the
City.
NOW THEREFORE IN CONSIDERATION of the rents and covenants herein described,
the City agrees to amend the existing lease of the Locomotive to MTM, and MTM agrees to take
the Locomotive for a period of thirty-two (32) years from and after the approval day of this lease
until the same calendar day of the year 2031, subject to the following provisions:
1. MTM will maintain the Locomotive subject to requirements of applicable federal
laws and regulations. Such maintenance will be with MTM' s own funds.
? Except as herein provided, the Locomotive will be available to MTM to operate
on its own or other railroad properties, in accordance with applicable federal regulations. MTM
will assume all liabilities connected with MTM operation and agrees to hold harmless the City
from any and all claims for damages to persons or property resulting from the use of the
Locomotive by MTM. In conjunction therewith, MTM agrees to provide a policy of insurance
naming the City as an additional insured with minimum public liability insurance coverage of
$1,000,000 combined single limits for damage to property or persons. All revenues derived from
operations of the Locomotive by MTM must be used in conformance with the stated purposes in
its Articles of Incorporation.
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A) MTM will make the Locomotive available for operation in the City for
one weekend per year. That weekend will be the weekend immediately following the
Andersen Window Company Picnic.
B) If MTM does not participate in the Andersen Window Company Picnic
with the Locomotive, the weekend designated as Lumber Jack Days in the City will be
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Wisconsin, including the receipt of revenues and the outlay of operating expenses and would
include an operating schedule of at least six (6) weekends per year dependent upon the
Locomotive's operating condition. This plan would only be developed upon- the passage, within
the prior year, of a Council resolution requesting such action.
9, If any dispute arises between the parties with regard to any prOVISIon of this
Lease, the parties agree to submit the controversy to the American Arbitration Association for
appointment of a single arbitrator who will have authority to issue an award regarding the
controversy.
TillS LEASE made this _ day of
, 1999.
CITY OF STILLWATER
and
Modi Weldon, Its City Clerk
MINNESOTA TRANSPORTATION
MUSEUM, INe.
By
Its
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