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LEASE AGREEMENT
This Lease Agreement (hereinafter referred to as "the Agreement") is made between the City
of Cor-pus C~ apolitical Sl!~iv1SIO~.pf the State of Texas, (hereinafter referred to as "the
City --) and L~: ..:......c~ ~.. ...,iL. -' ~____, a police officer employed
~ the City of Corpus Christi_ (hereinafter ref'erred to as "Lessor"), and
WHEREAS, the use of motorcycles by Corpus Chnsti Police Officers to perform official law
enforcement duties such as traffic enforcement and traffic control serves a governmental purpose;
WHEREAS, the use ofmotorcvcles by Corpus Chnsti Police Officers to provide funeral
escorts and other approved off-dut) assignments also serves a governmental purpose;
WHEREAS, SectIOn 142.006 (b) of the Texas Local Government Code requires that the City
provIde for insuring each police officer in Its employ against liability to third persons arising out of
the operation, maintenance. or use of a motorcycle owned or leased by the municipality;
WHEREAS, Section 142.006 (d) of the Texas Local Government Code provides that the
Cit) m3) elect to be self-insured or to reimburse the actual cost of extended automobile liability
insurance endorsements obtained by a police officer on an individually owned automobile liability
insurance policy:
WHEREAS, the Texas legislature m Article 715 c of Vernon's Texas Civil Statutes
detenmned that it is imperative that local governments have the authority to provide coverage
against any msurable risk at the lowest possible costs:
WHEREAS, msurance companies are no longer providing liability insurance for motorcycles
when they are used for law enforcement purposes:
WHEREAS, the costs of obtairung liability insurance through the assigned risk pool are
prohibitive:
NOW, THEREFORE, in consideration of the mutual covenants contained herein, the City
and Lessor agree as follows:
ARTICLE 1. LEASE OF MOTORCYCLES
Lessor agrees to lease to CIty, and Cit) agrees to lease from Lessor, the motorcycle specified
in Schedule A attached hereto. When used in this Agreement, the term "motorcycle" shall mean a
motorcycle leased hereunder. When used in this Agreement, the term "approved off-duty
assignments" shall mean those off-duty assignments which (i) serve a governmental purpose of the
City and (ii) have been approved bv the Corpus Christi Police Chief or his designee.
An' additions to or deletions from Schedule A. when agreed to ~. both parties, or any agreed
2006-305
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variation in models or types of motorcycle. shall be ev;denced by a supplement to this agreement.
This agreement and its supplements thereto shall constitute the master lease agreement.
ARTICLE 2. OWNERSIDPOF MOTORCYCLES
This IS an agreement of lease only and III ay not be construed as a contract for the sale of a
motorcycle. City acknowledges that Lessor is the owner of the motorcycle leased hereunder.
Lessor shaD provide the City with evidence of ownership
ARTICLE 3. LEASE PAYMENTS
If the Lessor is assigned full time duties as a Corpus Christi Police Motorcycle Officer, the
City agrees to pay Lessor per mileage traveled in the performance of official duties, not to exceed
twelve hundred (1200) miles a month, the st:andard mileage reimbursement rate adopted by the
City in City PoliC)' F --I ,0 The Citv shall make such payment monthly to Lessor.
If the Lessor is not assigned full time du t:ies as a Corpus Christi Police Motorcycle Officer, but
has been authorized by the Corpus Christi Chief of Police or his designee to perform approved off
duty motorcycle assignments, the City agrees to make lease payments of$1.00 (one dollar) to
Lessor which shall be payable each tlllle the lease is renewed,
ART] CLE 4. TERM
The term of thIS Agreement shall be for a term of one year, commencing on the date the
agreement is executed by the City Manager or his designee. Unless terminated as herein
provided. the Agreement shall be automatic ally renewed for one year periods,
ARTICLE 5. OPERA nON OF MOTORCYCLES
I I f the Lessor is assigned permanent: Iy as a full time motorcycle officer for the Corpus
Christ I Po lice Department, then the parties agree that Lessor shaD operate the motorcycle in the
perform ance of official duties The parties agree that Lessor may operate the motorcycle in the
performance of approved off-duty police assignments,
2 Lessor shall not permit the motorcycle to be used in violation of any federal, state or
muniCipal statutes. laws, ordinances. rules 0 r regulations,
:3 Lessor shall notif) the City lUlIllediat:ely of any and all accidents involving the motorcycle.
Such notIce shall be by telephone and in writing and shall include full details of the accident and
the names and addresses of all parties and 'vv'itnesses
4 rhe City may mspect the motorcycle, upon the City's premises or elsewhere at any and all
reasonable tImes, and the Lessor shall cooperate fully to facilitate such inspections.
~ Lessor shall not allow any other person to use the motorcycle in the performance of
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official police duties or in the perfonnance of approved off-duty assignments. In other words, the
parties agree that the only person who will use the motorcycle in the performance of police duties
or III the performance of approved off-duty assignments is the Lessor.
-\RTICLE 6. SUBSTITUTION OF MOTORCYCLES
Lessor shall have the nght to substitute for any motorcycle under lease a motorcycle of
comparable type and condition. subJect to approval by Corpus Christi Chief of Police or his
designee
ARTICLE i. STATE, COUNTY AND OTY REGISTRATION AND LICENSES
Lessor shall accomplish the titOOg. registration and licensing in the State of Texas of
motorcycle in Lessor's name, Lessor shall accomplish and pay for any inspections of the
motorcycle required during the term ofthis Agreement by any governmental authority,
ARTI CLE 8. TAXES
Lessor shall pay and bear all federal state and local sales, use, excise, personal property and
other taxes and all governmental assessments, fees and charges imposed on or in connection with
the motorcycle. or on the lease. use. ownership or possession thereof pursuant to this Agreement.
ARTICLE 9. REP Am AND MAINTENANCE
Lessor shall keep and maintain the motorcycle in good operating condition and working
order It shall be the duty of the Lessor to make all necessary repairs and replacements to the
motorcycle, mcluding but not be OOlited to tires, oil, lubricants and antifreeze required for the
proper operation and/or protection of the motorcycle. The City agrees to provide for electrical
repan's 1(\ the motorcycle lfthe Lessor is permanently assigned to the Motorcycle Division.
.-, Lessor agrees to provide all gasoline necessary to operate said motorcycle and to maintain
all oils and lubricants at the proper level Lessor further agrees to keep said motorcycle properly
store-d and v.ashed.
, rhe City agrees to proVide for the repair of a motorcycle which is damaged while being
operated by Lessor in the performance of official police duties or during approved off-duty
assignments If the Corpus Christi Chief of Police or his designee determines that the motorcycle
is so damaged that it carmot economically be placed in good working order, then the City shall, as
soon as practicable after such event, pay Lessor the value of said motorcycle as listed in the then
current Issue of the NA.D.A Motorcycle/ Snowmobile / ATV / Personal Watercraft Appraisal
Guide
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ARTICLE 10. RISK OF LOSS
Lessor retains nsk ofloss of the motorcycle, including loss caused by theft ofthe motorcycle.
ARTICLE 11. INSURANCE
When the motorcycle is operated by Lessor in the performance of offICial police duties or in
the performance of approved off-duty assignnIents, the self-insurance fund of the City shall
provide coverage for property and casualty losses, general liability, auto liability, worker's
compensation and other miscellaneous risks to the extent not covered by contractual insurance or
other indemnification.
ARTICLE 12. INDEMNIFICATION
When the motorcycle IS operated by Lessor in the performance of OffICial police duties or in
the performance of approved off-duty assigIllllents, the City shall indemnify Lessor as provided in
Section 39-16 of the Corpus Christi Cnde of"' Ordinances.
ARTICLE 13. TERMINATION
1 I f the motorcycle IS stolen, the Agreement shall terminate. Notwithstanding the previous
proVision, the Lessor reserves the option to offer a replacement or substitute motorcycle which
motorcycle shall be subject to the terms of this Agreement and approval by the Corpus Christi
Chief of Police or his designee
2 I f the Corpus Christi Chief of Po lice or his designee determines that the motorcycle is so
destroyed or damaged that it cannot economically be placed in good working order, this
Agreement shall terminate. Notwithstanding the previous provision, the Lessor reserves the
option to offer a replacement or substitute motorcycle which motorcycle shall be subject to the
terms of this Agreement and apprmal by the Corpus Christi Chief of Police or his designee.
I f the Lessor ceases to be employed as a police officer by the City of Corpus Christ~ the
agreement shall terminate immediately
4 I f the Lessor is no longer authonzed to operate the motorcycle in the performance of
official police duties or in the performance of approved off-duty assignments, the agreement shall
term mate immediate~
"
rhe agreement may terminate upon the mutual agreement of the parties.
h A default by Lessor 'WIth respect to any of the responsibilities outlined in this agreement
shall tcnninate the agreement
Notwithstanding anything to the contrary herein, this agreement terminates automatically
and without notice on (at an attempted assignment by Lessor of this agreement, or (b) an
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assignment bv Lessor for the benefit of creditors.
8 Either party may terminate this Agreement by providing the other party with thirty (30)
days advance ""Titten notice of termmation
ARTICLE 14. GENERAL PROVISIONS
I This mstrument has been executed in duplicate original copies and constitutes the entire
agreement bemeen the parties hereto This agreement shall not be effective until authorized by
the City Council and executed by the City Manager This agreement cannot be amended or
altered 10 any manner unless such amendment be signed by the City Manager (or his designee) and
by Lessor. No forbearance to exefCIse any right or privilege under this Agreement or waiver of
any breach of any of its terms shall be construed as a waiver of any such tenos, rights or
pnvileges, but the same shall continue and remain in full force and effect the same as if no such
forbearance or waiver had occurred
2 Neither thiS Agreement nor any mterest herein may be assigned by either party. Nothing
contamed in thIS instrument shall be deemed to prevent the Lessor from pledging his interest in
Said motorcycle to secure fmancing for the purpose of said motorcycle
=' Any notice gi\en hv one party to the other under this Agreement shall be given in writing
at the address of the otheJ party as set out below or at such other address as may have been
furnished in writing for such purpose
For the City Corpus Chnsti Police Department
Attn Acting Police Chief Ken Bung
321 John Sartain St.
Corpus ChristL Texas 7840 I
For Lessor:
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4 Lessor shall not~ the City munediately in wTiting of any charges or liens of any kind
whatsoever imposed upon the motorcycle.
'i This agreement shall be interpreted under and governed by the laws of Texas. If any
provisions hereof or the application of any provisions to any person or circumstances is held
invalid or unenforceable, the remainder hereof and the application of such provision to other
persons or circumstances shall remain valid and enforceable
6 Any payments to be made by the City in accordance with the terms of this agreement shall
be made from current re, enues available to the City and any future payments shall be subject to
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appropriations. The parties recognize that the continuation of any contract after the close of any
fiscal year of the City of Corpus Chnst~ which fiscal year ends on July 31 of each year, shall be
subject to budget approval providing for or covering such contract item as an expenditure in said
budget. The City does not represent that said budget item will actually be adopted, said
detennination being within the sole discretio n of the Corpus Christi City Council at the time of the
adoption of a City budget.
Agreed to by
OF CORPUS CHRISTI
LESSOR
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oe. City Manager
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Name:
Date:
By:
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Date:
Date:
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<:hief of Police
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Attest ~
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By:
Armando Chapa, City S etary
Approved as to legal form this_~_ day of ' '/.
, .
By: .~~___._
Lisa Aguilar
Assistant City Attorney
for City Attorney
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SCHEDULE A
Attached to and made part of the Lease Agreement
~tween the City ofCorpu~Christi and
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Descnptlon of Motorcycle
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