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HomeMy WebLinkAboutOrdinance 2051 N.C.S. 06/16/1997ORDINANCE NO. Introduced by Vice Mayor Hamilton 2051 N.C.S. Seconded by David Keller AN ORDINANCE AUTHORIZING A LEASE OF REAL PROPERTY LOCATED AT THE D STREET BRIDGE OVER THE PETALUMA RIVER IN THE CITY OF PETALUMA SONOMA COUNTY, STATE OF CALIFORNIA AND DECLARING ITS URGENCY TO TAKE EFFECT IMMEDIATELY BE IT ORDAINED BY THE COUNCIL OF THE CITY OF PETALUMA AS FOLLOWS: Section 1. The real property located at the D Street Bridge over the Petaluma River in the City of Petaluma, County of Sonoma, State of California is hereby authorized to be leased under the terms and conditions set forth in the Lease by and between the City of Petaluma and the State of California/State Lands Commission, which Lease is attached hereto as Exhibit `A" and incorporated herein by reference and the City Manager is hereby authorized to sign said Lease. Section 2. If any section, subsection, sentence, clause or phrase or word of this ordinance is for any reason held to be unconstitutional by a court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance. The City Council of the City of Petaluma hereby declares that it would have passed and adopted this ordinance and each and all provisions thereof irrespective of the fact that any one or more of said provisions be declared unconstitutional. Section 3_. The City Clerk is hereby directed to post this ordinance for the period and in the manner required by the City Charter. Ord. 2051 NCS Page 1 of 2 INTRODUCED and ordered posted this 2nd day of June, 1997. ADOPTED this 16th day of June, 1997, by the following vote: AYES: Read, Keller, Stompe, Torliatt, Maguire, Vice Mayor Hamilton, Mayor Hilligoss NOES: None ABSENT: None ABSTAIN: None ATTEST: LZ City Clerk sb/statelnd/agenda/hd 1 APPROVED AS TO FORM: City Attorney Ord. 2051 NCS Page 2 RECORDED AT' REQUEST OF AND WHEN RECORDED MAIL TO: STATE OF CALIFORNIA State Lands Commission Attn: Title Unit 100 Howe Avenue, Suite 100-South Sacramento, CA 95825-8202 STATE OF CALIFORNIA OFFICIAL BUSINESS Document entitled to free recordation pursuant to Government Code Section 27383 A. P. N. SPACE ABOVE THIS LINE FOR RECORDER'S USE County Sonoma W 25339 LEASE PRC NO. This Lease consists of this summary and the following attached and incorporated parts: Section I Basic Provisions Section 2 Special. Provisions Amending or Supplementing Section I or 4 Section 3 Description of Lease Premises Section 4 General Provisions SECTION 1 BASIC PROVISIONS THE STATE OF CALIFORNIA, hereinafter referred to as Lessor acting by and through the STATE LANDS COMMISSION (100 Howe Avenue, Suite 100-South, Sacramento, California 95825-8202), pursuant to Division 6 of the Public Resources Code and Title 2, Division 3 of the California Code of Regulations, and for consideration specified in this Lease, does hereby lease, demise and let to: City of Petaluma hereinafter referred to as Lessee: WHOSE MAILING ADDRESS IS: 1 I English Street Petaluma, CA 94952 those certain lands described in Section 3 subject to the reservations, terms, covenants and conditions of this Lease. LEASE TYPE: General Lease - Public Agency Use LAND TYPE: Tide and submerged lands LOCATION: Petaluma. River, City of Petaluma, Sonoma County LAND USE OR PURPOSE: Existing D Street bascule bridge TERM: Twenty-five (25) years; beginning June 1, 19977 ending May 31, 2022, unless sooner terminated as provided under this Lease. CONSIDERATION: Public use and benefit; with the State. reserving the right at any, time to set a monetary rental if the.Commission finds such action to be in the State's best -interest. Subject to modification by Lessor as specified in Paragraph 2(b) of Section 4 General Provisions. AUTHORIZED IMPROVEMENTS: 'bascule bridge X EXISTING: _ TO BE CONSTRUCTED; CONSTRUCTION MUST BEGIN BY: N/A AND BE COMPLETED BY:' N/A LIABILITY INSURANCE: N/A SURETY BOND OR OTHER SECURITY: N/A SECTION 2 SPECIAL PROVISIONS BEFORE THE EXECUTION OF THIS 'LEASE, ITS 'PROVISIONS ARE AMENDED, REVISED OR SUPPLEMENTED AS FOLLOWS: ogma F o � i �gi �19 bG ; i - -- --- -- i- i F 4 LD F�,L " y � �. lit NU 7 Fr IIII` !l;I� a�iIII i 4FZ 13 F n'lb m J lll'11J \� r� 5 J 1 Ill I'll 4 T ' - m I d'-dtTT -6t i 6-ft—T '-dt m � MY 0P PYtALLP" CITY 0 F � C `T A L M [ , � 084MAL PLANifN0.,1 .... ■ r . • r / J- i,. "D" STREET BASCULE BROG£. C This exhibit.is.solely for purposes of generally defining the lease premises, and Section 3 -is not intended tobe, nor shall it be construed as, a waiver or limitation of any 25339 State interest in the subject or other property., SECTION 4 GENERAL PROVISIONS 1. GENERAL within .sixty (00) days. :after completing them. Lessee's These provisions are applicable to all leases, permits, rights- discontinuance of such use for a period of ninety (90) days of -way, easements, or licenses or other interests in real shall be conclusively presumed to be an abandonment.. property conveyed by the State Lands Commission. 2. CONSIDERATION (a) Categories (1) Rental Lessee shall pay the annual rental as stated in this Lease to Lessor without deduction, delay or offset, on or before the beginning date of this Lease and on or before each anniversary of its beginning date during each year of the Lease term. (2) Non -Monetary Consideration If the consideration to Lessor for this Lease is the public use, benefit, health -or safety, Lessor shall have the right to review such consideration at any time and set a monetary rental if the State Lands- Commission, at its sole discretion, determines that such action is in the best interest of the State. (b) Modification Lessor may modify the method, amount or rate of consideration effective on each fifth anniversary of the beginningdate of,this. Lease. Should Lessor fail to exercise such right effective on any fifth anniversary it may do so effective on any one (l) 'of the next four (4) anniversaries following such fifth anniversary, without prejudice to its right to effect such modification on the next oranysucceeding fifth anniversary. No such modification shall become effective unless Lessee is given at least thirty (30) days'notice prior to the effective date. (c) Penalty and Interest Any installments of rental accruing_ under this Lease not paid when due shall be subject to a' penalty and shall bear interest as specified in Public Resources. Code Section 6224 and the Lessors then. °existing administrative regulations governing penalty and interest,. BOUNDARIES` This Lease is not intended to,establish the State's boundaries and is made withour,prejudice to either party regarding any boundary claims which may be asserted presently or in the future. LAND USE (a) General Lessee shall.use the Lease Premises only for the purpose 'or purposes stated in.this Lease and only for the operation and maintenance of the improvements expressly authorized in this Lease- Lessee shall .commence use of the Lease Premises within ninety (90) daysi of,ihe beginning date of this Lease or within ninety (90) days .of the date set for construction to commence as set forth in this Lease, whichever is later. Lessee shall notify Lessor within ten (10) days after commencing the construction of authorized improvements and (b) Continuous Use Lessee's use of the Lease Premises shall be continuous from commencement of the Lease until its expiration. (c) Repairs and Maintenance Lessee shall, at its own expense, keep and maintain the Lease Premises and all improvements in.good order and repair and in safe condition. Lessor shall have no obligation for such repair and maintenance. (d) Additions, Alterations and Removal (1) Additions - No improvements other than those expressly authorized in this Lease shall be constructed by the Lessee on the Lease Premises without the prior written consent of Lessor. (2) Alteration or Removal - Except as provided under this Lease, no alteration or removal of improvements on or natural features of the Lease Premises shall be undertaken without the prior written consent of Lessor. (e) Conservation Lessee shall practice conservation of water, energy, and other -natural resources.and shall prevent pollution and harm to the environment. Lessee shall not violate any law or regulation whose Ipurpose is to conserve resources or to protectthe environment. Violation of this section shall constitute grounds for -termination of the Lease. Lessor, by its executive officer, shall notify Lessee, when in his or her opinion, Lessee has violated the provisions of this section and Lessee shall respond and discontinue the conduct or remedy the condition within 30 days. (f) Tozics Lessee shall not manufacture or generate hazardous wastes on the Lease Premises unless specifically authorized under other terms of this Lease. Lessee shall be fully responsible for any hazardous wastes, substances or materials as .defined under'federal, state or local law, regulation, or ordinance that are manufactured, generated, used, placed, disposed; stored or transported on the Lease Premises during the Lease term_ and shall comply with and be bound by all applicable provisions of such federal, state or local law, regulation or ordinance dealing with such wastes, substances or materials. Lessee shall notify Lessor and the appropriate governmental emergency response agency(ies) immediately in the event of any release or threatened release of any such wastes, substances or materials. (g) Enjoyment Subject to the provisions of paragraph 5 (a) (2) below, nothing in this 'Lease shall preclude Lessee from excluding persons from ithe Lease Premises when their presence or, activity constitutes a material interference with Lessee's use Page 2 and enjoyment of the Lease Premises as provided under this Lease. (h) Discrimination Lessee in its use of the Lease Premises shall not discriminate against. any person or class of persons on the basis of race, color; Breed; religion, national origin, sex, age, or handicap. (i) Residential Use No portion of the -Lease .Premises shall be used as a location for a residence or for the purpose of ;mooring a structure which is used as a residence. For purposes of -this Lease, a :residence or floating residence includes but is, not 'limitedto :boats,. barges, 'houseboats; trailers; cabins of combinations of such facilities or other such structures which provide overnight accommodations to the Lessee°or others. 5. RESERVATIONS, ENCUMBRANCES AND RIGHTS - OF -WAY (a) Reservations (1) Lessor expressly reserves all natural resources in or on the Lease -Premises, including but not limited to 'timber and, minerals as defined under Public Resources' Code Sections 6401 and 6407, as well as the ':right to grant leases in and over the Lease Premises for die, extraction of such natural resources; however; such .leasing shall. be neither inconsistent" nor 'incompatible with the rights or privileges of Lessee under this Lease. (2) Lessor expressly reserves aright to go on the Lease Premises and all .improvements for any purpose associated with this,Lease or for; carrying out any function required bylaw; or the rules; regula'tions;'or management policies; of the State Lands Commission. Lessor shall have a right of reasonable access` to the Lease Premises across Lessee :owned or occupied lands adjacent to the Lease Premises for anypurpose associated with this Lease. (3) Lessor expressly reserves to the public an easement for convenient Access Across the'Lease.Premises to other Stateeowned lands located. near or, adjacent to, the. Lease Premises and'. a 'righf-of :reasonable passage across and. along, any .right-of-way granted by this Lease; however, such easement or right -of= way shall be neither inconsistent nor incompatible with the rights or privileges of Lessee under, this Lease: (4) Lessor expressly reserves the right to lease, convey, or encumber the 'Lease Premises; in whole or in part, during the -Lease term for -any purpose not inconsistent or incompatible with the rights or privileges. of Lessee under this Lease;• (b) Encumbrances This Lease may be subject to pre-existing contracts, leases, licenses", easements, encumbrances and claims and is made without warranty by Lessor of title, condition or fitness of the land for die stated or intended purpose. 6. RULES, REGULATIONS AND TAXES (a) Lessee shall comply with and, be bound by all presently existing or subsequently enacted.rules,regulations, statutes or ordinances of the State 'Lands' Commission or any other governmental agency or .entity having lawful authority and jurisdiction. (b) Lessee°understands and agrees that.a necessary condition for the`granting and.continued existence of this Lease is that Lessee obtain and maintain all permits' or' other entitlements. (c) Lessee accepts responsibility for and agrees io pay any and all possessory 'imerest taxes, assessments, user fees. or service charges imposed onor associated, with the leasehold interest, improvements or ,the Lease Premises, .and such. payment shall not reduce rental duel Lessor under this. Lease and Lessor shall have no liability" for `such payment. INDEMNITY (a) Lessor shall not be liable ,and Lessee `shall indemnify;. hold harmless and, at the option of Lessor,' defend Lessor, its officers; agents; and employee's against and for any and all liability; claims; damages ,or mjuriesofany 'kind and 'from -any cause; arising out of or +connected in, any' way with -the issuance, enjoymenvor breach of this;: Lease or Lessee's use of ;the ;Lease Premises except: for any such, liability, claims„ damage or injury,solefy caused by the -negligence of`Lessor, its officers, agents and employees. (b) Lessee shall notify _ Lessor immediately in case of any accident, injury or casualty on the Lease Premises. 18. INSURANCE (a)' Lessee shall obtain and maintain "in full force and effect during the .term of`this .Lease comprehensive general liability insurance "and property damage insurance; with such coverage' and limits as may be reasonably 'requested by Lessor from event time to time; but in no for less than the sum_(s)-specified, insuring Lessee and Les-sor against any and all claims or liability arising "out of the ,ownership, .use, occupancy,. condition or maintenance ..of the Lease Premises and all improvements. (b) The insurance policy' or policies shall name the State of California, its",officers, employees and volunteers as insureds as to th"e Lease Premises and shall identify, the Lease by its assigned number. tesseei shall provide. Lessor with a certificate of such insurance, and. shall keep such. certificate - current. The, policy, (or °endorsement) musv.provide that the insurer will not cancel the 'insured's'coverage "without thirty (30) 'days prior written ,notice to Lessor. Lessor will not be responsible for any premiums or. oilier -assessments on the Form 51.15 ,(Rev. 4/96) Page 3 policy. The coverage provided by the insured (Lessee) shall be primary and non-contributing. (c) The insurance coverage specified in this. Lease shall be 'in effect'at all times during the Lease term and subsequently until all of the Lease Premises have been 'either accepted as improved, by Lessor, or restored' by Lessee as provided elsewherein this- Lease. 9. SURETY BOND (a) Lessee shall provide a surety bond or' other security device acceptable to Lessor, for the specified. amount, and naming the State of California as the assured, to guarantee to Lessor the faithful observance, and performance by Lessee of all of the terms, covenants and conditions of this Lease. (b) Lessor may require an increasein the amount of the surety bond or other security device to cover any additionally authorized improvements, alterations or purposes and any modification of consideration. (c) The surety bond or other security device shall be maintained in full force and effect at all times during the Lease term and subsequently until all of the Lease Premises have been either accepted as improved, by Lessor, or restored by Lessee as provided elsewhere in this Lease. 10. ASSIGNMENT, ENCUMBRANCING OR SUBLETTING (a) Lessee shall not either,voluntarily or by operation of law, assign, transfer; mortgage, pledge, hypothecate or encumber this Lease and shall not sublet the Lease Premises, in whole or in part, or allow any person other than the Lessee's employees, agents, servants and invitees to occupy or use all or any portion of the Lease Premises without the prior written consent of Lessor, which consent shall not be unreasonably witlitteld. (b) The following, shalI be deemed to be an assignment or transfer within the meaning of this Lease: (1) If Lessee is a corporation, any dissolution, merger, consolidation or other reorganization of Lessee or sale or other transfer of a percentagei of,capital stock of Lessee which results in a change of,controlling,persons, or the sale or other transfer of substantially all the assets of Lessee; (2) If Lessee is a partnership, a transfer of any interest of a general partner, a withdrawal' of any general partner from the partnership, or the dissolution of the partnership. (c) If this Lease is for sovereign lands', it shall be appurtenant to adjoining littoral or riparian land and Lessee shall not transfer or assign its ownership. interest or, use rights in such adjoining lands separately from the, leasehold rights granted herein without the prior, written consent of Lessor. (d) If Lessee desires to assign, sublet, encumber or otherwise transfer all or any portion of the Lease Premises, Lessee shall do all of the following: (1') Give prior written notice to Lessor; (2) Provide the name. and complete business organization and operational structure of the, proposed assignee, sublessee, secured third party or other transferee; and the nature of the use of and interest in the Lease Premises proposed by the assignee, sublessee, secured third parry or other transferee. If the proposed assignee, sublessee or,secured third party is a general or limited partnership, or a joint venture, provide a copy of the partnership agreement or joint venture agreement, as applicable; (3) Provide the terms and conditions of the proposed assignment, sublease, or encumbrancing or other transfer; (4) Provide audited financial statements for the two most recently completed fiscal years of the proposed assignee, sublessee, secured parry or other transferee; and provide pro forma financial statements showing the projected income, expense and financial condition resulting from use of the Lease Premises; and (5) Provide,such additional or supplemental information as; Lessor may 'reasonably request concerning the proposed assignee, sublessee, secured parry or other transferee. Lessor will evaluate proposed assignees, sublessees, secured third parties and other transferees and grant approval or disapproval according to standards of commercial reasonableness considering the following factors within the context of the proposed use: the proposed party's financial strength and reliability, their business experience and expertise, their personal and business reputation, their managerial and operational skills, their proposed use and projected rental, as well as other relevant factors. (e) Lessor shall have a reasonable period of time from the receipt of all;documents and other information required under this provision, to grant. or deny its approval' of the proposed pay. (f) Lessee's mortgage or hypothecation of this Lease, if approved by Lessor, shall be subject to terms and conditions .found in a separately drafted standard form (Agreement and Consent to Encumbrancing of Lease) available from Lessor upon request. (g) Upon the express written assumption of all obligations and duties under this Lease by an assignee approved by Lessor, the Lessee may be released from all liability under this Lease arising after :the effective date of assignment and not associated with Lessee's use, possession or occupation of Form 51.15 (Rev. 4/96) Page 4 or activities on the Lease Premises; except as to any hazardous wastes, :substances or materials as defined under federal state or local Taw., regulation or ordinance manufactured, generated, used, placed, disposed, stored or transported on the `Lease Premises. h) ,If the Lessee; files ,a petition or an order for relief is entered' against Lessee, under 'Chapters 7,9,11 or 13' of the Bankrupicy Code (11 USC'.Sect. 1,01, et seq) then,the trustee or debtor -in -possession must. elect to assume or reject this Lease within sixty (60) .days after filing of the petition or appointment of, the trustee, or the Lease shall be,deemed to, have beewrejected, and. Lessor shall be entitled to immediate. possessionof the Lease Premises. No assumption or assignment of this Lease_ shall be effective unless it is ;in' writing_. and unless the trustee or debtor -in -possession has cured all defaults under ' this Lease (monetary and non-, monetary) oY has provided Lessor with adequate assurances (1) that within ten (10) days from the+date of such assumption or assignment, all ..monetary defaults under this Lease. will be; cured; and (2) thanwithin thirty (30) days .from the'date of such assumption, alFrion-monetary defaults under this Lease will be cured; ,and (3).'that all provisions of this. Lease will be satisfactorily performed .in, the future. l'l. DEFAULT AND REMED_ IES (a) Default The occurrence of "any ,one or more of the: following events shall .immediately :and without, ,further notice constitute'a default or breach of the Lease by Lessee: (1) Lessees'failure to make any payment of rental, royalty', or other consideration as required under this Lease; (2) Lessee's failure to obtain or maintain liability, insurance or'a,surety bond'or other security device as required under this Lease; (3) Lessee-s Vacation or abandonment of the ,Lease Premises (including the covenant.for continuous use as provided for in paragraph 4) during `tie ,Lease term; (4) Lessee .s failure to ohtain,and maintain,all necessary governmental permits or -other entitlements; (5) - Lessee's failure to comply with all. 'applicable provisions of federal, state or .local law, regulation = or ordinance dealing with hazardous, waste;. substances or materials as defined under such law; (6) Lessee's' failure to commence to construct -and to complete, construction of the improvements authorized by this Lease within the time limits specified in this Lease; and/or (7) ;Lessee's failure to comply with applicable' ;provisions' of federal, state or :local laws or ordinances, relating to issues of Health and Safety, or whose purpose is to conserve resources or to protect the environment. '(b) Lessee's failure to observe or perform. any other term, covenanr� or condition of. this Lease to be observed or performed by :the -Lessee when„ such failure shall continue for a period of thirty (30) days after Lessor's giving written notice; however, if the nature of Lessee's default or breach under this paragraph is. such: that- more,,than thirty (30), days are reasonably required •for -its cure, then. Lesseel shall not be deemed to be in default or -breach ,if Lessee' commences such cure within such,thirty (30) 'day`period. and diligenfly proceeds with such cure to completion. (c) Remedies In the event of a defaulr:or breach by ;Lessee and Lessee's failure to cure such default;of breach, Lessor, may at any time and with or without notice do any one or more, of the following: (1) Re-enter the Lease 'Premises, .remove all persons and property, and repossess and enjoy such premises; (2)' Terminate this Lease: and Lessee's right of possession of the Lease Premises'. Such, termination shall be. effective iupon' Lessor's .giving written notice and upon receipt of such notice Lessee shall immediately :surrender possession of the Lease Premises to Lessor;, (3) Maintain this Lease in full force and effect and recover any rental, royalty:, or other consideration, as it becomes due without terminating Lessee's right of possession regardless of whether;Lessee.,shall have abandoned the Lease Premises;:and/or (4) Exercise :any other :right or remedy which Lessor may have -at law or equity-. 12. RESTORATION OF LEASE'. PREMISES' (a) Upon expiration or sooner termination of this Lease, P Y Lessor. upon written notice may take title to any or all improvements,. including fills, ortessor:may;require Lessee to remove all or any such 'improvements at its sole; expense and risk; or Lessor may;itself'remove or.have.removed all or any' portion of such improvements at Lessee's sole expense. Lessee;shall deliver' to Lessor such documentation as.may'be, necessary to convey title to such improvements to -Lessor, free and clear of any liens, mortgages, loans or any other encumbrances (b) In removing any such'improvements:Lessee shall restore the Lease Premises as nearly as possible to the conditions existing prior to their installation or construction. (c) All plans for .and subsequent removal and restoration Form 51.15 (Rev. 4/96)' Page 5 shall be to the satisfaction of -Lessor and shall be completed within ninety (90) days. after the expiration or sooner termination of this Lease or after compliance with paragraph 12(d), whichever is the lesser. (d) In removing any or all the improvements Lessee shall be required to obtain any permits or other governmental approvals as may then be required by lawful. authority. (e) Lessor may at any time during the Lease term require Lessee to conduct at its own expense and by a contractor approved by Lessor an independent environmental site assessment. or inspection for the presence or suspected presence: of hazardous wastes, substances or materials as defined under federal, state or local law, .regulation or ordinance manufactured, generated, used, placed, disposed, stored or transported on the Lease Premises during the term of' the Lease. Lessee shall provide the results of the assessment or inspection to Lessor and the appropriate governmental response agency(ies) and shall further be responsible for removing or taking other appropriate remedial action regarding such wastes, substances or :materials in accordance with applicable federal, state or local law regulation or ordinance. 13. QUITCLAIM Lessee shall, within ninety (90) days of the expiration or sooner termination of this Lease, execute :and deliver to Lessor in a form provided by Lessor a good and sufficient release of all rights under this Lease. Should Lessee fail or refuse to deliver such: a release, a written notice by Lessor reciting such failure or refusal shall; from the date of its recordation, be conclusive evidence against Lessee of the termination of this Lease and all other claimants. 14. HOLDING -OVER Any holding -over by Lessee after the expiration of the Lease term, with or without theexpress or implied consent of Lessor, shall constitute a tenancy from month to month and not an extension.of°the Lease term and shall be on the terms, covenants, and conditions of this Lease, except that the annual rental then in effect shall be increased by"twenty-five percent (25 %). 15. ADDITIONAL PROVISIONS (a) Waiver (1) No term, covenant, or condition.of this Lease and no default or breach of any such; term, covenant or condition shall be.:deemedto,have been waived, by Lessor's acceptance of a 'late or nonconforming performance or.otherwise, unless such a waiver is expressly acknowledged by Lessor in writing. (2) Any such waiver shail:not_be deemed.to be a waiver of any other term, covenant or condition of any other default or breach of any term, covenant or condition of this Lease. (b) Time Time is of the essence of this Lease and each and all of its terms, covenants or conditions in which performance is a factor. (c) Notice All notices required to be given under this Lease shall be given. in writing, sent by U.S.1vlail with postage prepaid, to Lessor'at'the offices of the State Lands Commission and the Lessee at the address specified in this Lease. Lessee shall give Lessor notice of any change in its name or address. (d) Consent Where Lessor'S consent is required under this Lease its consent'for one transaction or -event shall not be deemed to be a consent to any subsequent occurrence of the same or any other transaction or event. (e) Changes This Lease .may be terminated and its term, covenants and conditions amended, revised or supplemented only by mutual written agreement of the parties. (f) Successors The terms, covenants and conditions of this Lease shall extend to and be binding upon and inure.,to the benefit of the heirs, successors, and assigns of the respective parties. (g) Joint and Several Obligation If more than one Lessee is a party to this Lease, the obligations of the Lessees shall be joint and several. (h) Captions The. captions of this Lease are not controlling and shall have no effect upon its construction or interpretation. (i) Severability If any term, covenant or condition of this Lease is determined by a court of competent jurisdiction to be invalid, it shall be considered deleted and shall not invalidate any of the remaining terms, covenants and conditions. Form 51.15 (Rev. 4196) STATE OF CALIFORNIA - STATE LANDS COMMISSION LEASE 'P.R:C: NO. This Lease shall become' effective only when approved by and executed on behalf, of the: State Lands Commission of.the State of California. and a duly executed copy has been delivered to Lessee. :The submission ofthis: Lease by Lessor, its agerit•:or representative :for examination by Lessee does not constitute an.option or offer to lease °the, Lease Premises upon the terms and conditions contained herein, or 'a reservation of the Lease Premises in favor of'Lessee'. Lessee's submission of an executed copy of this Lease to Lessor .shall constitute an offer to Lessor to lease the Lease Premises :on the term& and conditions set forth herein. IN WITNESS' WHEREOF„ the parties hereto have executed this Lease as of the date hereafter affixed. ACKNOWLEDGEMENT STATE OF CALWORNIA STATE LANDS COMMISSION' $y: Titles Data This Lease: was authorized by the California State Lands Commission on (Month .Day Year) Form 51'.15 (Rev. 4/96)