Amendment #22 to H3920

Essex Aggie Tech Lease

Representatives Jones of North Reading, Hill of Ipswich, Speliotis of Danvers and Cole of Peabody moves to amend the bill by inserting at the end thereof the following new section:-

“SECTION XX. (a) The terms used in this section shall have the following meanings unless the context clearly requires otherwise:

“Commissioner”, the commissioner of the division of capital asset management and maintenance.

“District”, the Essex North Shore Agricultural and Technical School District established pursuant to chapter 463 of the Acts of 2004 as amended by chapter 9 of the acts of 2006 and by chapter 130 of the acts of 2010.

“Division”, the division of capital asset management and maintenance.

“School”, the Essex North Shore Agricultural and Technical School established pursuant to chapter 463 of the acts of 2004 as so amended.

(b) Notwithstanding section 32 to 37, inclusive, of chapter 7C of the General Laws, chapter 463 of the acts of 2004 as amended by chapter 9 of the acts of 2006 and by chapter 130 of the acts of 2010 or any other general or special law to the contrary, the commissioner may, in consultation with the district, lease or enter into other agreements for a term, including any extensions, not to exceed 25 years for certain lands and any buildings and other appurtenances thereon located at the school in the town of Middleton to Essex Sports Center, LLC.  The location and boundaries of the parcel or parcels to be leased shall be determined by the commissioner based upon a survey.

(c) The lessee shall use the property solely for the purpose of constructing and operating athletic and recreational facilities for use by the school or any other authorized parties.  The lease or other agreement pertaining to the lease of the property shall include a provision restricting the use of the property to such purposes and providing for termination of the lease if the property ceases to be used for such a purpose.

(d) The lease or other agreement authorized by this act shall be on terms and conditions acceptable to the commissioner and the district after consultation with the district; provided, however, that such lease or other agreement shall provide, without limitation that: (a) the lessee shall manage, operate, improve, repair, and maintain the land, buildings, and appurtenances associated therewith during the term of the lease which is subject to the approval of the commissioner and the district.  The upkeep shall be reviewed on an annual basis by the commissioner, the lessee and the district; the lessee shall be responsible for the repairs and maintenance as recommended by the commissioner or the district; (b) the lessee shall carry comprehensive general liability insurance in an amount acceptable to the commissioner and the district naming the commonwealth and the district as the co-insured, protecting the commonwealth and the district against all claims for personal injury or property damage arising from the land, buildings, and appurtenances associated therewith during the term of the lease; (c) the lessee shall pay rent in an amount equal to or greater than the full and fair market value of its leasehold interest under this act as determined by independent appraisal prepared in accordance with the usual and customary professional appraisal practices by a certified appraiser commissioned by the commissioner; (d) the lessee shall be responsible for the capital improvements to the premises; and (e) the lessee shall not design or construct any facilities on the parcel without the written approval of the division, in consultation with the district.

(e) The lessee shall be responsible for and shall maintain an escrow fund for all costs and expenses including, but not limited to, costs associated with any engineering, surveys, appraisals, and lease preparation as such costs may be determined by the commissioner.  The lessee shall also maintain a bond in a minimum amount that shall cover the cost of any amount due to any lender, public or private, in the case of default, foreclosure, or bankruptcy by the lessee.

(f) The District may establish a receipts reserved for appropriation account for any revenue generated from the lease of property to the lessee. This account shall be used for the general appropriations of the District.

(g) No general or special law, rule, or regulation relating to the advertising, bidding, or award of contracts to the procurement of services, including, but not limited to chapter 30B of the General Laws, or to the construction and design improvements shall apply to the district or the lessee under this act.

(h) This act shall take effect upon its passage.”.

Additional co-sponsor(s) added to Amendment #22 to H3920

Essex Aggie Tech Lease