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210510 Regular Council Meeting AgendaThe Corporation of the Town of Tillsonburg Council Meeting AGENDA Monday, May 10, 2021 4:30 PM Electronic Meeting 1.Call to Order 2.Closed Session (4:30 p.m.) Proposed Resolution #1 Moved By: ________________ Seconded By: ________________ THAT Council move into Closed Session to consider personal matters about identifiable individuals, including Town employees and a proposed or pending acquisition or disposition of land by the municipality or local board. 2.1.Adoption of Agenda 2.2.Disclosures of Pecuniary Interest and the General Nature Thereof 2.3.Adoption of Closed Session Council Minutes 2.4.Reports 2.4.1.239 (2) (b) personal matters about identifiable individuals, including municipal or local board employees; 2.4.2.239 (2) (c) a proposed or pending acquisition or disposition of land by the municipality or local board; 2.5.Back to Open Session 3.Adoption of Agenda (6:00 p.m.) Proposed Resolution #2 Moved By: ________________ Seconded By: ________________ THAT the Agenda as prepared for the Council meeting of May 10, 2021, be approved. 4.Moment of Silence 5.Disclosures of Pecuniary Interest and the General Nature Thereof 6.Adoption of Council Minutes of Previous Meeting Proposed Resolution #3 Moved By: ________________ Seconded By: ________________ THAT the minutes of the Council meeting held on April 26, 2021 and the minutes of the Special Council meeting held on May 3, 2021, be approved. 7.Presentations 8.Public Meetings 9.Planning Reports 10.Delegations 11.Deputation(s) on Committee Reports 12.COVID-19 13.Information Items 13.1.Statistics Canada Re: 2021 Census 13.2.City of Burnaby Re: Day of Action against Asian racism Proposed Resolution #4 Moved By: ________________ Seconded By: ________________ THAT Council receive the correspondence from Statistics Canada dated April 22, 2021 and the correspondence from the City of Burnaby dated April 26, 2021, as information. 14.Staff Reports 14.1.Chief Administrative Officer Page 2 of 256 14.1.1.CAO 21-05 Tillsonburg Police Services Board Composition Proposed Resolution #5 Moved By: ________________ Seconded By: ________________ THAT the Council of the Town of Tillsonburg receives staff report CAO 21- 05 Tillsonburg Police Services Board Composition as information; AND FURTHER THAT Council directs the selection of option number _______ including a composition of [#] members. 14.2.Corporate Services 14.3.Economic Development 14.3.1.EDM 21-16 Surplus Land Declaration - Alleyway between Charles St and Nelson St Proposed Resolution #6 Moved By: ________________ Seconded By: ________________ THAT Council receives report EDM 21-16 Offers to Purchase – Alleyway between Charles Street and Nelson Street; AND THAT a By-Law be brought forward to authorize the Mayor and Clerk to enter into an agreement of purchase and sale with Peter Leliveld and Ruth Leliveld for the property described as the North part of the Alleyway between Charles Street and Nelson Street, and to be described by a new reference plan; AND THAT a By-Law be brought forward to authorize the Mayor and Clerk to enter into an agreement of purchase and sale with Ray Jones, Teresa Jones, Tejaun Jones and Jeffrey Jaques for the property described as the South part of the Alleway between Charles Street and Nelson Street, and to be described by a new reference plan. 14.4.Finance 14.4.1.FIN 21-12 Council Remuneration and Expenses Proposed Resolution #7 Moved By: ________________ Seconded By: ________________ THAT Council receives report FIN 21-12 2020 Council Remuneration and Expenses as information. Page 3 of 256 14.5.Fire and Emergency Services 14.6.Operations and Development 14.6.1.OPD 21-19 Airport Hangar Land Lease Hangar G9 Proposed Resolution #8 Moved By: ________________ Seconded By: ________________ THAT Council receives report OPD 21-19 Airport Hangar Land Lease Hangar G9 as information; AND THAT a By-Law be brought forward to authorize a Land Lease Agreement with Euclid Benoit for the West half of Hangar G9; AND THAT a By-Law be brought forward to authorize a Land Lease Agreement with 1467246 Ontario Inc. for the East half of Hangar G9. 14.6.2.OPD 21-20 Hangar Land Lease Agreement Taxiway G1 Lot 4 Proposed Resolution #9 Moved By: ________________ Seconded By: ________________ THAT Council receives report OPD 21-20 Hangar Land Lease Agreement Taxiway G1 – Lot #4 as information; AND THAT a By-Law to authorize a Land Lease Agreement for Taxiway G1 Lot 4 with Ewart McLaughlin, and to repeal By-Law 2020-044, be brought forward for consideration. 14.7.Recreation, Culture and Parks 14.7.1.RCP 21-12 Cemetery By-Law Final Draft Update Proposed Resolution #10 Moved By: ________________ Seconded By: ________________ THAT report RCP 21-12 Cemetery By-Law Final Draft Update, be received as information; AND THAT Council agrees with the recommendations provided by the Parks, Beautification and Cemeteries Advisory Committee; AND THAT the attached By-Law to govern the operations of the Tillsonburg Cemetery, and to repeal By-Law 3640, be brought forward for approval at the May 25, 2021 Council meeting. Page 4 of 256 15.New Business 16.Consideration of Committee Minutes 16.1.Committee Minutes Proposed Resolution #11 Moved By: ________________ Seconded By: ________________ THAT Council receives the Accessibility Advisory Committee minutes dated April 6, 2021 and the Physician Recruitment and Retention Advisory Committees minutes dated April 29, 2021 and the Town Hall Steering Committee minutes dated April 14, 2021, as information. 17.Motions/Notice of Motions Proposed Resolution # Moved By: Councillor Gilvesy Seconded By: ________________ THAT Council endorse and request that Staff implement a property tax deferral for anyone who cannot make payments in May due to financial restraints recognizing that lockdowns, layoffs and shuttered businesses are creating undue hardships; AND THAT the deferral program be similar in nature to the one that was implemented in 2020; AND THAT the deferral be interest free and that payments are deferred to August, 2021 at which time pending the status of lockdowns may be revisited for an extension; AND THAT the Town of Tillsonburg Council recognize that only the Town’s portion of taxes can be deferred by said Council and hereby request that this resolution be forwarded to the County of Oxford for consideration of deferring County property tax due in May to support those that may not be in the financial position to meet the current deadlines. Proposed Resolution # Moved By: Councillor Gilvesy Seconded By: ________________ THAT the Town of Tillsonburg respectfully requests that all citizens and the business community adhere to health guidelines and covid-19 safety measures as set out by the Province of Ontario and Southwestern Public Health; AND THAT the Town of Tillsonburg recognizes the undue hardships that have been placed upon our citizens and business community with many members of the community struggling both financially and emotionally due to lockdowns, stay home orders and layoffs; AND THAT the Town of Tillsonburg respectfully requests that the Province of Ontario Page 5 of 256 continues and enhances the financial supports available to small businesses and industries as well as provide clarification on the appeal process to those denied to help confront the economic repercussions caused by the current stay at home measures and shuttered businesses; FURTHERMORE the Town of Tillsonburg acknowledges that it has been identified through scientific studies, communication from medical experts, the science table, and the Premier, that outdoor activities that allow for social distancing and ability to follow safety protocols have been identified to have low risk of exposure to the COVID-19 virus. Medical experts maintain that the physical and mental health benefits of these activities outweigh the risks associated with keeping outdoor activities closed; AND THAT the Town of Tillsonburg respectfully asks that the Province of Ontario and Premier Ford reconsider the opening of outdoor recreational facilities; AND THAT this resolution be forwarded to Premier Ford, Minister of Health Hon. Christine Elliot, Minister of Heritage, Sport, Culture and Tourism Hon. Lisa MacLeod, Minister of Finance Hon. Peter Bethlenfalvy, and Minister of Agriculture Hon. Ernie Hardeman and Association of Municipalities Ontario. 18.Resolutions/Resolutions Resulting from Closed Session 19.By-Laws 19.1.A By-Law to authorize the use of internet and telephone voting for the 2022 Municipal Election 19.2.A By-Law to authorize an agreement of purchase and sale with Peter Leliveld and Ruth Leliveld 19.3.A By-Law to authorize an agreement of purchase and sale with Ray Jones, Teresa Jones, Tejaun Jones and Jeffrey Jaques 19.4.A By-Law to authorize a Land Lease Agreement with Euclid Benoit 19.5.A By-Law to authorize a Land Lease Agreement with 1467246 Ontario Inc. 19.6.A By-Law to authorize a Land Lease Agreement with Ewart McLaughlin and to repeal By-Law 2020-044 Proposed Resolution #12 Moved By: ________________ Seconded By: ________________ THAT A By-Law to authorize the use of internet and telephone voting for the 2022 Municipal Election; and Page 6 of 256 A By-Law to authorize an agreement of purchase and sale with Peter Leliveld and Ruth Leliveld; and A By-Law to authorize an agreement of purchase and sale with Ray Jones, Teresa Jones, Tejaun Jones and Jeffrey Jaques; and A By-Law to authorize a Land Lease Agreement with Euclid Benoit; and A By-Law to authorize a Land Lease Agreement with 1467246 Ontario Inc.; and A By-Law to authorize a Land Lease Agreement with Ewart McLaughlin and to repeal By-Law 2020-044, be read for a first, second, third and final reading and that the Mayor and the Clerk be and are hereby authorized to sign the same, and place the corporate seal thereunto. 20.Confirm Proceedings By-law Proposed Resolution #13 Moved By: ________________ Seconded By: ________________ THAT By-Law 2021-049, to Confirm the Proceedings of the Council meeting held on May 10, 2021, be read for a first, second, third and final reading and that the Mayor and the Clerk be and are hereby authorized to sign the same, and place the corporate seal thereunto. 21.Items of Public Interest 22.Adjournment Proposed Resolution #14 Moved By: ________________ Seconded By: ________________ THAT the Council meeting of May 10, 2021 be adjourned at ___ p.m. Page 7 of 256 1 The Corporation of the Town of Tillsonburg Council Meeting MINUTES Monday, April 26, 2021 6:00 PM Electronic Meeting ATTENDANCE: Mayor Molnar Deputy Mayor Beres Councillor Esseltine Councillor Gilvesy Councillor Luciani Councillor Parker Councillor Rosehart Staff: Kyle Pratt, Chief Administrative Officer Michelle Smibert, Director of Corporate Services/Clerk Sheena Pawliwec, Director of Finance/Treasurer Chris Baird, Director of Recreation, Culture and Parks Carlos Reyes, Director of Operations and Development Paul Groeneveld, Acting Fire Chief Cephas Panschow, Development Commissioner David Drobitch, Manager of Parks and Facilities Amelia Jaggard, Deputy Clerk _____________________________________________________________________ 1. Call to Order The meeting was called to order at 6:00 p.m. 2. Closed Session 3. Adoption of Agenda Page 8 of 256 2 Resolution # 2021-201 Moved By: Councillor Rosehart Seconded By: Councillor Gilvesy THAT the Agenda as prepared for the Council meeting of April 26, 2021, with the addition of agenda item 14.2.2 regarding the scheduling of a Special Council Meeting for Monday, May 3, be approved. Carried 4. Moment of Silence Council recognized and thanked the first responders and volunteers who assisted with a Tillsonburg apartment fire that displaced residents on April 18. 5. Disclosures of Pecuniary Interest and the General Nature Thereof No disclosures of pecuniary interest were declared. 6. Adoption of Council Minutes of Previous Meeting Resolution # 2021-202 Moved By: Councillor Esseltine Seconded By: Councillor Parker THAT the minutes of the Council meeting held on April 12, 2021, be approved. Carried 7. Presentations 8. Public Meetings 9. Planning Reports 10. Delegations 10.1 Youth Council Coalition of Canada (YCC) Kelsey Santarossa, YCC Founder and President, appeared before Council to provide an overview of the Youth Council Coalition of Canada (YCC) organization. Opportunity was provided for comments and questions from Council. The annual membership fee is $1,200 and the for the first year municipalities receive 30% off. Page 9 of 256 3 Ms. Santarossa shared a current program offered by the YCC and noted that youth is typically defined as 12 to 29 years old. Resolution # 2021-203 Moved By: Councillor Parker Seconded By: Councillor Gilvesy THAT the delegation from Kelsey Santarossa regarding the Youth Council Coalition of Canada be received as information. AND THAT the creation of a youth council be brought forward to the 2022 budget deliberations. Carried 11. Deputation(s) on Committee Reports 12. COVID-19 Councillor Gilvesy shared concerns for local businesses that are suffering from the lockdown and concern regarding the closure of outdoor activities. Councillor Rosehart shared concerns for local businesses. A new COVID-19 vaccine clinic will open on April 27 in the Lions Auditorium of the Tillsonburg Community Centre and will serve Southwest Public Health area residents who are 60 plus on weekdays from 9:00 a.m. to 7:00 p.m. by appointment only. To book an appointment go to www.covidvaccinelm.ca or call 226-289-3560 (Toll Free 1-888-333-2175). The Town is currently seeking volunteers to assist with the vaccine clinic. To volunteer visit tillsonburg.ca to complete a volunteer form or call the Town at 519- 688-3009 ext. 4041. The Town will contact individuals to confirm their involvement. The Mayor provided an update from Tillsonburg District Memorial Hospital leadership. Mayor Molnar provided a reminder that the lockdown restrictions are law and that the Town does not support violation of these laws and encourages broad-based community support to follow public health protocols in an effort to mitigate the lingering challenges of COVID-19. 13. Information Items Page 10 of 256 4 13.1 Tillsonburg Police Services Board Re: Ontario Provincial Police (OPP) detachment boards Staff noted that if Council is interested in submitting a Tillsonburg proposal staff should be asked to prepare a report regarding this. Resolution # 2021-204 Moved By: Deputy Mayor Beres Seconded By: Councillor Luciani THAT Council receive the correspondence from the Tillsonburg Police Services Board dated April 21, 2021, as information; AND THAT Staff provide a report regarding the Police Service Board amalgamation in May. Carried 14. Staff Reports 14.1 Chief Administrative Officer 14.2 Corporate Services 14.2.1 CS 21-18 Alternative Voting Methods for the 2022 Municipal Election Staff noted that the proposed voting methods are the same as used in 2018. With this method there is opportunity for advance polling and to provide voting kiosks for those without access to technology. Resolution # 2021-205 Moved By: Councillor Luciani Seconded By: Councillor Parker THAT Council endorse the internet/telephone voting method for the 2022 Municipal Election and that a by-law be introduced at future meeting to confirm internet/telephone voting and further that staff be directed to work with area municipalities to secure a contract/cost for the delivery of this type of election voting method. Carried 14.2.2 Special Council Meeting Monday, May 3 Page 11 of 256 5 Resolution # 2021-206 Moved By: Councillor Rosehart Seconded By: Councillor Gilvesy THAT May 3, 2021 at 12:30 p.m. be scheduled as a Special Council Meeting to deal with the Community Strategic Plan. Carried 14.3 Economic Development 14.3.1 EDM 21-15 RFT 2021-003 VanNorman Innovation Park Servicing Staff noted the expected completion date is September, 2021. Resolution # 2021-207 Moved By: Councillor Gilvesy Seconded By: Councillor Rosehart THAT Council receive report EDM 21-15 RFT 2021-003 Van Norman Innovation Park Servicing; AND THAT Council award RFP 2021-003 to Froese Excavating Ltd of Norfolk County, ON at a cost of $1,792,374 (not including net HST) - the lowest bid received satisfying all Tender requirements. Carried 14.4 Finance 14.5 Fire and Emergency Services 14.6 Operations and Development 14.6.1 OPD 21-17 Bidwell Ridout Intersection Improvements There was discussion regarding option 2. It was suggested that OPP incident reports for this intersection should be provided as information. Resolution # 2021-208 Moved By: Councillor Parker Seconded By: Councillor Gilvesy Page 12 of 256 6 THAT report OPD 21-17 Bidwell/ Ridout Intersection Improvements be received as information; AND THAT Council directs staff to implement option 2; AND THAT Council directs Staff to amend the Traffic By-Law as required based on the Option supported. Carried 14.6.2 OPD 21-18 J.A Smith Drain Improvement Resolution # 2021-209 Moved By: Councillor Esseltine Seconded By: Councillor Parker THAT Council receives report OPD 21-18 as information; AND THAT the Notice of Request for Drain Improvement submitted by ARMTEC, under Section 78 of the Drainage Act, R.S.O. 1990, request to improve existing drainage works, in relation to property located at Part of Lot 9 and Part 10 on Concession 4 NTR (Rokeby Road) be received and adopted; AND THAT Mr. Brandon Widner P.Eng of Spriet Associates, be appointed the Engineer to investigate and prepare the necessary drainage report. Carried 14.7 Recreation, Culture and Parks 14.7.1 RCP 21-11 Riverine Clubtail Dragonfly David Drobitch, Manager of Parks and Facilities, was present to answer questions. Staff can contact the Canadian Wildlife Service (CWS) and share this information through Town social media platforms. Staff noted that the CWS would contact the LPRCA. Resolution # 2021-210 Moved By: Councillor Rosehart Seconded By: Councillor Gilvesy Page 13 of 256 7 THAT report RCP 21-11 Riverine Clubtail Dragonfly, be received as information; AND THAT Staff monitor and update Council as appropriate. Carried 15. New Business 16. Consideration of Committee Minutes 16.1 Committee Minutes Staff noted that a report and the draft Cemetery By-Law will be brought forward at the next regular Council meeting on May 10, 2021. Resolution # 2021-211 Moved By: Deputy Mayor Beres Seconded By: Councillor Luciani THAT the Parks, Beautification and Cemeteries Committee minutes dated April 1, 2021 and the Culture, Heritage, Special Awards Committee minutes dated April 7, 2021 be received, the Airport Advisory Committee minutes dated March 18 and March 25, 2021, and the Economic Development Advisory Committee minutes dated April 13, 2021, as information. Carried 17. Motions/Notice of Motions There was discussion regarding the current service contract for animal licensing. The mover noted that the intent of the resolution is that a report would be brought forward by the end of 2021. Resolution # 2021-212 Moved By: Councillor Parker Seconded By: Councillor Gilvesy THAT Staff be directed to bring a report to Council regarding the status of options and cancellation of the cat and dog tag program. Carried Page 14 of 256 8 18. Resolutions/Resolutions Resulting from Closed Session 19. By-Laws 19.1 By-Law 2021-047, to amend Zoning By-Law Number 3295, as amended (ZN 7-21-02) Resolution # 2021-213 Moved By: Councillor Gilvesy Seconded By: Councillor Parker THAT By-Law 2021-047 to amend Zoning By-Law Number 3295, as amended (ZN 7-21-02), be read for a first, second, third and final reading and that the Mayor and the Clerk be and are hereby authorized to sign the same, and place the corporate seal thereunto. Carried 20. Confirm Proceedings By-law Resolution # 2021-214 Moved By: Councillor Luciani Seconded By: Deputy Mayor Beres THAT By-Law 2021-046, to Confirm the Proceedings of the Council meeting held on April 26, 2021, be read for a first, second, third and final reading and that the Mayor and the Clerk be and are hereby authorized to sign the same, and place the corporate seal thereunto. Carried 21. Items of Public Interest The Town is currently seeking volunteers to assist with the COVID vaccine clinic that opens on April 27 in the Lions Auditorium of the Tillsonburg Community Centre. To volunteer visit tillsonburg.ca to complete a volunteer form or call the Town at 519-688-3009 ext. 4041. The Town will contact individuals to confirm their involvement. Mayor Molnar thanked Courtland Landscape and Grounds for donating 20 new native trees in celebration of the business's 20th anniversary. The trees were planted in Memorial Park on Earth Day 2021. Upcoming Council meetings include: Page 15 of 256 9 • Monday, May 3, 2021 at 12:30 p.m. for the purpose of dealing with the community strategic plan. • Monday, May 10, 2021 at 6:00 p.m. regular meeting. 22. Adjournment Resolution # 2021-215 Moved By: Councillor Rosehart Seconded By: Councillor Gilvesy THAT the Council meeting of April 26, 2021 be adjourned at 7:39 p.m. Carried Page 16 of 256 1 The Corporation of the Town of Tillsonburg Special Council Meeting MINUTES Monday, May 3, 2021 12:30 PM Electronic Meeting ATTENDANCE: Mayor Molnar Deputy Mayor Beres Councillor Esseltine Councillor Gilvesy Councillor Luciani Councillor Parker Councillor Rosehart Staff: Kyle Pratt, Chief Administrative Officer Michelle Smibert, Director of Corporate Services/Clerk Sheena Pawliwec, Director of Finance/Treasurer Chris Baird, Director of Recreation, Culture and Parks Carlos Reyes, Director of Operations and Development Cephas Panschow, Development Commissioner Ian McKenzie, General Manager, Hydro Operations Amelia Jaggard, Deputy Clerk Regrets: Paul Groeneveld, Acting Fire Chief _____________________________________________________________________ 1. Call to Order The meeting was called to order at 12:30 p.m. 2. Closed Session 3. Adoption of Agenda Page 17 of 256 2 Resolution # 2021-216 Moved By: Councillor Esseltine Seconded By: Councillor Gilvesy THAT the Agenda as prepared for the Special Council meeting of May 3, 2021, be approved. Carried 4. Disclosures of Pecuniary Interest and the General Nature Thereof No disclosures of pecuniary interest were declared. 5. Adoption of Council Planning Minutes of Previous Meeting 6. Presentations 6.1 Boulevard Strategy Re: Community Strategic Plan Workshop 2 Erin O’Hoski, Boulevard Strategy Group was present to facilitate the Community Strategic Plan workshop. Deputy Mayor Beres joined the meeting at 12:33 p.m. Council recessed at 2:25 p.m. Council resumed at 3:40 p.m. Council recessed at 2:55 p.m. Council resumed at 3:47 p.m. It was asked if another special meeting could be scheduled to consider the draft plan or that the draft plan be provided in advance of the regular agenda release date for the June 28 meeting. 7. New Business 8. Motions/Notice of Motions 9. By-Laws 10. Confirm Proceedings By-law Resolution # 2021-217 Moved By: Councillor Parker Seconded By: Councillor Gilvesy Page 18 of 256 3 THAT By-Law 2021-048, to Confirm the Proceedings of the Special Council meeting held on May 3, 2021, be read for a first, second, third and final reading and that the Mayor and the Clerk be and are hereby authorized to sign the same, and place the corporate seal thereunto. Carried 11. Adjournment Resolution # 2021-218 Moved By: Deputy Mayor Beres Seconded By: Councillor Rosehart THAT the Special Council meeting of May 3, 2021 be adjourned at 4:59 p.m. Carried Page 19 of 256 Statistics Canada / Government of Canada – April 22, 2021 Page 1 of 2 From: "Do Not Reply / Ne Pas Répondre (statcan/statcan)" <statcan.DoNotReply- NePasRepondre.statcan@canada.ca> Date: April 22, 2021 at 5:33:07 PM EDT To: Stephen Molnar <SMolnar@tillsonburg.ca> Subject: The 2021 Census is almost here, and we need your support / Le Recensement de 2021 arrive à grands pas, et nous avons besoin de votre soutien Reply-To: statcan.census-recensement.statcan@canada.ca CAUTION: This email originated from outside your organization. Exercise caution when opening attachments or on clicking links from unknown senders. La version française suit. Dear Mayor: The 2021 Census is almost here! As you know, census data are critical to decision makers and Canadians from coast to coast to coast. In addition to informing public policy, census data are vital for planning schools, hospitals, daycare centres, family services, public transportation, and skills training for employment. In addition, census data support numerous municipal programs related to infrastructure and public transportation and are used to measure Canada’s sustainable development and environmental goals. Information from the 2021 Census will be even more crucial because it will help your community evaluate the impact of the COVID-19 pandemic and to better plan for the future. Census collection will begin on May 3, 2021. Statistics Canada has adapted the collection process to ensure that all Canadians and our employees remain safe while participating in this vital national exercise. Data collected in the 2021 Census will inform many of the economic and health-related policy decisions that must be made by all levels of government in the coming months and years, as the aftermath of the COVID - 19 pandemic continues to affect the lives of Canadians. Statistics Canada will do everything it can to get Canadians to respond to the census without an in-person visit from a census employee. Completing the census questionnaire online is the best and fastest way to fulfill the census obligation. We anticipate that the great majority of Canadians will complete the questionnaire through our efficient, secure and user-friendly online application. Respondents without reliable access to the Internet can also call the Census Help Line to complete their census questionnaire over the phone or request a paper questionnaire. In cases where a Statistics Canada census employee is sent to a dwelling for non- response follow-up, a new no-contact protocol will be followed. Under this protocol, no interviews will be conducted inside the respondent's dwelling. These interviews will instead be physically-distanced and the census employee will be required to wear a mask, and follow all public health guidelines. Page 20 of 256 Statistics Canada / Government of Canada – April 22, 2021 Page 2 of 2 I would appreciate your active support in helping us make the 2021 Census a success. We have developed the Community Supporter Toolkit and brought together products and resources to help you spread the word about the benefits and positive impact of the census for your community. If you would like to express your municipality’s support for the census, please share the municipal council resolution text below with your residents: Be it resolved: The “Council of (NAME OF CITY/TOWN/MUNICIPALITY)" supports the 2021 Census, and encourages all residents to complete their census questionnaire online at www.census.gc.ca. Accurate and complete census data support programs and services that benefit our community. I would like to thank you and your municipality for your input to the census to date, and for your continued support and collaboration. I invite you to learn more about the 2021 Census on our census website and to follow our official social media accounts. In the coming weeks, a member of our communications team may contact you to discuss ways in which we can work together. Should you have any questions, please contact us at statcan.censusoutreach.ontario- rayonnementdurec.ontario.statcan@canada.ca. Sincerely, Anil Arora Chief Statistician of Canada Statistics Canada / Government of Canada anil.arora@canada.ca Page 21 of 256 Mike Hurley MAYOROFF I C E O F T H E M A YOR BU RFNO AYBTIYCNOW THEREFORE I, MIKE HURLEY, MAYOR OF BURNABY, DO HEREBY PROCLAIM MAY 10 AS “DAY OF ACTION AGAINST ASIAN RACISM” IN THE CITY OF BURNABY. Dated this Twenty-sixth Day of April, 2021 A.D. Whereas Burnaby RCMP reported a 350 per cent increase in anti- Asian hate crimes during the first year of the COVID-19 pandemic; and WHEREAS The Canadian Charter of Rights and Freedoms 15 (1) states that Every individual is equal before and under the law and has the right to the equal protection and equal benefit of the law without discrimination and, in particular, without discrimination based on race, national or ethnic origin, colour, religion, sex, age or mental or physical disability; and WHEREAS The City of Burnaby’s Social Sustainability Vision states that Burnaby strives to be a caring, inclusive, vibrant, safe, livable and just city; and that we must embrace diversity, celebrate culture and creativity, foster belongings and participation, and adapt well to a changing world; and WHEREAS Every resident in Burnaby deserves safe public spaces without the fear of discrimination based on race, national or ethnic origin, colour, religion, sex, age or mental or physical disability; and WHEREAS May is Asian Heritage Month in Canada. DAY OF ACTION AGAINST ASIAN RACISM Page 22 of 256 Page 1 of 6 Subject: Tillsonburg Police Services Board Composition Report Number: CAO 21-05 Department: CAO’s Office Submitted by: Laura Pickersgill, Executive Assistant Meeting Type: Council Meeting Meeting Date: Monday, May 10, 2021 RECOMMENDATION THAT the Council of the Town of Tillsonburg receives staff report CAO 21-05 Tillsonburg Police Services Board Composition as information; AND FURTHER THAT Council directs the selection of option number _______ including a composition of [#] members. BACKGROUND The issue of Police Services Board Governance has been discussed for a number of years and was included as a recommendation as part of the service delivery review conducted by Watson and Associates as a possible cost savings. On March 26, 2019, Ontario passed the Comprehensive Ontario Police Services Act, 2019 (Bill 68) and established the Community Safety and Policing Act, 2019 (CSPA, 2019). Once in-force the CSPA, 2019 will replace the Police Services Act (1990). The Ministry is targeting to bring this into force in early 2022. The CSPA, 2019 supports the government’s commitment to:  Strengthen public confidence in policing and maintain key independent policing oversight functions;  Demonstrate respect for front line policing personnel by building the right supports and fair processes to enable police to effectively perform their duties to ensure public safety; and  Deliver quality and efficient policing while also realizing better value for money. Page 23 of 256 CAO 21-05 Page 2 of 6 Under the existing legislation, there are 63 detachments providing policing services and supports to 326 municipalities and 45 First Nation communities. What is more, there are 178 municipalities that do not participate on a board and as a result do not have access to civilian governance. Under the new legislation, all municipalities receiving OPP policing services will have the opportunity to participate on an OPP detachment board. The role of OPP detachment boards will include additional responsibilities not currently required under the PSA, 1990:  Considering any community safety and well-being plan adopted by a municipality that receives policing from the detachment;  Establishing local policies, in consultation with the detachment commander, wit h respect to policing in the area receiving policing from the detachment; and  Ensuring local action plans prepared by the detachment commander address the objectives and priorities determined by the board. In February 2020, the Ministry of the Solicitor General conducted seven regional roundtable sessions across the province. Discussions at these sessions focused on new OPP-related regulatory requirements under the CSPA. Municipalities receiving policing services from the OPP were invited to learn more about new OPP-related legislative and regulatory requirements and provide the Ministry with feedback to inform the development of related regulatory proposals. In response to the feedback, an OPP detachment board framework was developed to provide municipalities receiving services from the OPP the flexibility to create a board that reflects local communities and their needs. Municipalities within a detachment are asked to work together to determine the composition of their board(s) as well as the manner in which they will submit their proposal to the Ministry. The proposals must include a minimum of five members per board and each board should be composed of 20% community representatives and 20% provincial appointees. The names of representatives are not required at this time, only the number of representatives. Attached Council will find the letter from Solicitor General Sylvia Jones along with the OPP Detachment Board Proposal Process and the Questions and Answers related to that process. Submissions are to be received by June 7, 2021 (Note – On Tuesday, May 4, 2021 Virtual Information Session – OPP Detachment Board Proposal Process, it was noted that the June 7 deadline is not firm and that extensions may be given with appropriate supporting correspondence to the Ministry of the Solicitor General). Page 24 of 256 CAO 21-05 Page 3 of 6 The CSPA allows an OPP detachment to establish one, or more than one, OPP detachment board. Detachments that are considering requesting more than one detachment board should consider factors such as:  Geography (e.g. distance between municipalities)  Variations in population size  Number of municipalities within an OPP detachment; and  Service demands If detachments are proposing more than one OPP detachment board they are being advised to consider challenges associated with recruiting board members and the costs associated with operating additional boards. DISCUSSION As you are aware, Tillsonburg does receive policing services from the OPP and currently has their own board. In reality, this issue is truly a governance issue and therefore in the discretion of Council. It is up to Council to determine how they wish to govern their affairs including the oversight of police services. At the April 26, 2021 Council meeting, Council received information and a resolution from the Tillsonburg Police Services Board regarding the board’s recommendations for a board composition moving forward under the new legislation. The Tillsonburg Police Services Board passed the following resolution at their April 21, 2021 Board Meeting: It is the position of the Tillsonburg Police Services Board that responsibility for policing in the County of Oxford is a Lower Tier responsibility and that true “Adequate and Effective” community policing begins with local governance responsive to local needs and circumstances. Therefore, in the spirit of the individual agreements signed by many lower-tier municipalities with the OPP which require local governance, we introduce the following resolu tion; That the Tillsonburg Police Services Board recommends to Tillsonburg Council that the Tillsonburg Police Services Board remain as an independent/standalone OPP Detachment board for the Municipality of Tillsonburg and further that the Tillsonburg Police Services Board shall provide any information or advice as requested by Tillsonburg Council in support of this resolution. On motion duly made, seconded, and carried: IT WAS RESOLVED that the recommendations of the Tillsonburg Police Services Board be forwarded for Council consideration. Page 25 of 256 CAO 21-05 Page 4 of 6 Moved by: A. Loker Seconded by: G. Horvath Carried: (4-0) Council received the correspondence as information and requested that a report regarding the Police Services Board amalgamation be brought forward in May. Resolution # 2021-204 Moved By: Deputy Mayor Beres, Seconded By: Councillor Luciani THAT Council receive the correspondence from the Tillsonburg Police Services Board dated April 21, 2021, as information; AND THAT Staff provide a report regarding the Police Service Board amalgamation in May. The Oxford County Police Services Board Chairs have been meeting virtually regarding this topic. The Chairs agreed that each Municipality would like to maintain their own Police Service Boards. It is the requirement by the province that municipalities within a detachment will be required to work together to develop and submit one proposal. If the member municipalities cannot agree on what that proposal shall be then it may not be possible to attain that agreement. However, the risks of not submitting one proposal appear to be minimal. The province is the ultimate decision maker of what the board composition will be and the only risk is that they may create one board for the entire detachment. However, given a recent webinar on the topic it appears that the province is open to alternative arrangements and multiple boards. Staff are providing the following options to assist Council in their decision making process: Option 1 Propose a separate board for the Town:  With this option there would be no financial savings reduction. This option would provide more local governance. It is unknown if all of the participating municipalities would agree to this option and if agreement is not possible the province may create one combined board. Option 2 Join with Ingersoll into one urban board: Page 26 of 256 CAO 21-05 Page 5 of 6  This option would provide minor savings. This would also contribute to a more local governance model than one big board and potentially some common urban issues. It is unknown if all participating municipalities would agree to this option. The Ingersoll CAO is submitting this option to his Council as well. Option 3 Join with other Municipalities into one big board:  This option has the highest potential for cost savings. However, it would provide less local governance overview. It is also unknown if all participating municipalities would agree to this option and some may request their own Board. If agreement is not possible then the province may make another decision contrary to this request. Mayor Molnar noted that the rural municipalities are united in one board but would consider supporting a multiple board approach where the rural municipalities were one and either the two urbans were separate or united. In regards to next steps, once Councils have provided their direction, County CAOs will need to get together to discuss how they will submit one proposal moving forward. CONSULTATION The Mayor and Clerk were provided with this report for comment and feedback. FINANCIAL IMPACT/FUNDING SOURCE The Tillsonburg Police Services Board has a 2021 operating budget of $8,500. There are associated labour costs of $27,200 in the 2021 budget as the quarterly stipend paid to the Board members. The sum of these figures is $35,700. The Watson report notes a potential cost savings of approximately $35,000 depending on the chosen option. COMMUNITY STRATEGIC PLAN (CSP) LINKAGE 1. Excellence in Local Government ☒ Demonstrate strong leadership in Town initiatives ☒ Streamline communication and effectively collaborate within local government ☒ Demonstrate accountability 2. Economic Sustainability ☐ Support new and existing businesses and provide a variety of employment opportunities ☐ Provide diverse retail services in the downtown core Page 27 of 256 CAO 21-05 Page 6 of 6 ☐ Provide appropriate education and training opportunities in line with Tillsonburg’s economy 3. Demographic Balance ☐ Make Tillsonburg an attractive place to live for youth and young professionals ☐ Provide opportunities for families to thrive ☐ Support the aging population and an active senior citizenship 4. Culture and Community ☐ Promote Tillsonburg as a unique and welcoming community ☐ Provide a variety of leisure and cultural opportunities to suit all interests ☐ Improve mobility and promote environmentally sustainable living ATTACHMENTS Appendix A – Letter- Solicitor General- OPP Detachment Boards under the CSPA, 2019 Appendix B – OPP Detachment Board Proposal Process Questions and Answers Appendix C – OPP Detachment Board Proposal Process Fact Sheet Page 28 of 256 Solicitor General Solliciteur général Office of the Solicitor General 25 Grosvenor Street, 18th Floor Toronto ON M7A 1Y6 Tel: 416 325-0408 MCSCS.Feedback@Ontario.ca Bureau du solliciteur général 25, rue Grosvenor, 18e étage Toronto ON M7A 1Y6 Tél. : 416 325-0408 MCSCS.Feedback@Ontario.ca 132-2021-404 By email March 18, 2021 Dear Heads of Council and First Nations Chiefs: I am writing to provide you with an update on the new Ontario Provincial Police (OPP) detachment boards under the Community Safety and Policing Act, 2019 (CSPA). As you may remember, in February 2020, the Ministry of the Solicitor General conducted seven regional roundtable sessions across the province. Discussions at these sessions focused on new OPP-related regulatory requirements under the CSPA. Municipalities and First Nation communities receiving policing services from the OPP were invited to learn more about new OPP-related legislative and regulatory requirements and provide the ministry with feedback to inform the development of related regulatory proposals. In addition, we heard from many of you through various letters and engagement opportunities, including meetings with the Association of Municipalities of Ontario MOU Table and Rural Ontario Municipal Association about what you would like your new OPP detachment board to look like. In response to your feedback, an OPP detachment board framework has been developed that we hope will provide municipalities and First Nation communities receiving direct and/or supplemental services from the OPP the flexibility to create a board that reflects your community and local needs. Under this framework, municipalities and First Nation communities receiving direct and/or supplemental services from an OPP detachment are being asked to submit one proposal (per detachment) indicating the composition of their board and, if needed, a rationale for multiple boards and the composition of each additional board. Municipalities and First Nations within a detachment are asked to work together to determine the composition of their board(s) as well as the manner in which they will submit their proposal to the ministry. For example, after determining the composition of the detachment board(s), municipalities and First Nations within a detachment area may select one municipality or First Nation to complete and submit the proposal. …/2 Page 29 of 256 Dear Heads of Council and First Nations Chiefs Page 2 Proposals must meet base requirements set by the ministry, which include a minimum number of five members per board and a requirement that each board should be composed of 20% community representatives and 20% provincial appointees. To that end, municipalities and First Nations are not required at this time to identify the names of the individuals that will be participating on the detachment board. Rather, you are only asked to identify the number of seats each municipality and First Nation will be allocated on the detachment board as well as the number of community representatives and provincial appointments. To streamline and support the proposal process, the ministry has developed a digital form that can be accessed using the link included here. The ministry will work with municipalities and First Nations to obtain outstanding information/proposals and support you in submitting a completed proposal. If, however, a proposal still does not meet the minimum requirements, or a proposal is not submitted and/or if no consensus is reached on the composition of the board then the ministry will determine the composition of the detachment board. Completed proposals are to be submitted to the ministry by Monday, June 7, 2021. We recognize the significant implications that the current COVID-19 emergency has had on municipalities and First Nations across the province. To this end, in addition to the written supporting material attached here, we are also pleased to work with you directly through virtual information sessions. If you have questions related to OPP detachment boards under the CSPA, please contact Sarah Caldwell, Director of Community Safety and Intergovernmental Policy, at sarah.caldwell@ontario.ca. If you have questions about the proposal process or would be interested in a virtual information session, please contact Joanna Reading, Senior Policy Advisor, at joanna.reading@ontario.ca Sincerely, Sylvia Jones Solicitor General Enclosures c: Chief Administrative Officers Municipal Clerks Page 30 of 256 OPP DETACHMENT BOARD PROPOSAL PROCESS QUESTIONS & ANSWERS 1 Q1: What are the key differences between the section 10 board framework under the Police Services Act (1990) (PSA) and OPP detachment board framework under the Community Safety Policing Act, 2019 (CSPA)? A1: •The OPP currently polices 326 municipalities. Of these, only those under a section 10 agreement have access to civilian governance. This means there are 178 municipalities that do not participate on a board and as a result do not have access to civilian governance. •Under the CSPA, all municipalities receiving OPP policing services will have the opportunity to participate on an OPP detachment board. •In terms of the roles and responsibilities of board members, the role of OPP detachment boards will include additional responsibilities not required for section 10 boards under the PSA (1990) such as: o considering any community safety and well-being plan adopted by a municipality that receives policing from the detachment; o establishing local policies, in consultation with the de tachment commander, with respect to policing in the area receiving policing from the detachment; and o ensuring local action plans prepared by the detachment commander address the objectives and priorities determined by the board. •Under the CSPA, OPP detachment board members will be required to: o consult with the OPP Commissioner on the selection of a detachment commander; o monitor the performance of the detachment commander; and o provide an annual report to the municipalities and band councils served by the OPP . •OPP detachment boards will also provide a venue for the municipalities and First Nations within a detachment area to coordinate and collaborate on strategies to address common issues that is not present under the PSA. Q2: What does the transition to the new OPP detachment board framework mean for municipalities and First Nations currently receiving policing services by the OPP? A2: •Until the Act comes into force, the ministry will continue to renew section 10 agreements that are set to expire in 2021. •However once the CSPA comes into force all existing section 10 agreements will be terminated, and Section 10 boards will be dissolved. •To do this, the ministry is committed to providing sufficient time and adequate supports to municipalities currently participating on a Section 10 board or, in the case of municipalities that receive OPP policing without a formal agreement/contract (i.e. Section 5.1 municipality), a Community Policing Advisory Committees (CPAC) as they dissolve their current board structures and transition to the new OPP detachment board model. Q3: When will the CSPA come into force? A3: •The ministry is working towards the act being proclaimed in early 2022. Q4: Which municipalities and First Nations are included in the OPP detachment board framework? A4: •The OPP detachment board framework provides civilian governance to the municipalities and First Nations receiving policing from OPP detachments. •More specifically, the framework includes 326 municipalities currently policed by the OPP. •The First Nations included in this framework include the 43 First Nations that: o are directly policed by the OPP (i.e., zone policing without a funding agreement); o employ their own First Nations Constables but receive administrative support from the OPP (i.e., “OPP- Administered” policing under the Federal First Nations Policing Program (FNPP)); and o receive “OPP-Dedicated” policing (i.e. Stream Two agreements under the FNPP). Q5: What role will municipalities and First Nations have with respect to the OPP Detachment Board proposal process? A5: •Municipalities and First Nations in each OPP detachment area will be required to submit one proposal indicating the composition of their board and the rationale for multiple boards and the composition of each additional board, if multiple boards are being recommended. •The ministry will only accept one proposal per detachment. •Municipalities and First Nations within a detachment will be required to work together and determine the approach for developing and submitting their proposal to the ministry. o For example, after determining the composition of the detachment board(s), the municipalities and First Nations within a detachment may select one municipality or First Nation to complete and submit the proposal. Page 31 of 256 OPP DETACHMENT BOARD PROPOSAL PROCESS QUESTIONS & ANSWERS 2 Q6: What information is the ministry requesting in the proposal form? A6: •Municipalities and First Nations within a detachment area will be required to submit a proposal indicating the composition of their board(s). •Municipalities and First Nations will not be required to identify the names of the individuals that will be parti cipating on the detachment board. Rather, they will be required to identify the number of seats each municipality and First Nation will be allocated on the detachment board as well as the number of community representatives and provincial appointments. •If a municipality and/or First Nation chooses not to participate on a detachment board and forfeits their seat, they will be required to indicate this in the proposal. Q7: Factors to consider when requesting more than one detachment board. A7: •The CSPA allows an OPP detachment to establish one, or more than one, OPP detachment board. •Detachments that are considering requesting more than one detachment board should consider factors such as: o Geography (e.g. distance between municipalities and First Nations); o Variations in population size and; o The number of municipalities and First Nations within an OPP detachment; and o Service demands (e.g. calls for service). •However, if proposing more than one OPP detachment board, municipalities and First Nations should also consider challenges associated with recruiting board members (e.g. inability to fill vacancies) and the costs associated with operating additional boards. Q8: Will municipalities/First Nations that are receiving policing and/or supports and services by two OPP detachments be allowed to participate on both OPP detachment boards? A8: •Yes. Municipalities and First Nations that are receiving policing and/or supports and services by two OPP detachments can participate on both OPP detachment boards, or can choose to participate on only one OPP detachment board. •Representation must be determined in collaboration with the other municipalities and First Nations within the OPP detachment, as a consensus on the composition of the OPP detachment board is required. •Municipalities that wish to be represented on both OPP detachment boards will be required to cover the costs associated with participating on two boards (i.e. operational costs). Q9: What is considered a “completed” proposal? A9: •Each detachment will be required to complete one proposal using the digital form provided by the ministry. The link to the digital form can be found here: Ontario Provincial Police Board (OPP) Proposal Form. •A completed proposal must be submitted using the digital form provided by the ministry and meet the minimum composition requirements provided by the ministry. •The ministry will work with each detachment to obtain outstanding information/proposals and support them in submitting a completed proposal. •If however in the end if a proposal does not meet the minimum requirements set by the ministry or a proposal is not submitted, and/or if a detachment is unable to come to a consensus, the ministry will determine the composition of the detachment board. Q10: What support will the ministry provide municipalities and First Nations throughout the OPP detachment board proposal process? A10: •Virtual information sessions, led by the ministry, will be made available upon request for municipalities and First Nation communities to address outstanding questions and clarify concerns related to the proposal requirements and process. •If your detachment is interested in a virtual information session, or have other inquiries related to the OPP detachment board proposal process, please forward your request to the ministry to Joanna Reading via email at Joanna.Reading@ontario.ca. Q11: What is the purpose of provincial appointments on OPP Detachment Boards? A11: •Provincial appointees will provide advice to the board as public representatives whose appointments are independent of municipal/band councils. •However, to ensure members of the detachment board are reflective of the communities they serve, the municipalities/First Nation Chief and Councils will have the ability to nominate individuals for consideration as provincial appointees. Page 32 of 256 OPP DETACHMENT BOARD PROPOSAL PROCESS QUESTIONS & ANSWERS 3 Q12: Will the government address the current backlog in provincial appointments? A12: • We know there are concerns related to the number of vacant provincial appointments and the length of time these appointments remain unfilled. • We have made significant progress in reducing the backlog of provincial appointments. Since our government took office in 2018, we have filled approximately 124 provincial appointment vacancies on section 10 boards. • We will continue to work with municipalities and First Nations to ensure provincial appointees are recruited and appointed in a timely manner. Q13: Why are First Nations with Self-Administered Police Services not included in the OPP detachment board framework? A13: • First Nations that receive policing from a Self-Administered First Nation Police Service (SA FNPS) are not included in the OPP detachment board framework as they are already represented on boards and/or have their own police governing authorities. In addition, SA FNPS boards have existing relationships and alternate methods to communicate their input to the OPP with respect to supports and services the OPP provides to their communities. Q14: Are there other civilian governance options for First Nation communities that are captured within the OPP detachment board framework? A14: • As an alternative to participating on an OPP Detachment board, under the CSPA First Nations have the option to request to form a First Nation OPP Board. • Where a First Nation or multiple First Nations has entered into an agreement with the Minister for the provision of policing and other specified services by the Commissioner, the First Nation(s) may request that the Minister constitute a First Nation OPP board. • A First Nation OPP board would perform similar functions and responsibilities as an OPP Detachment board by providing advice and oversight over the policing services provided by the OPP to a First Nation community or communities. o This includes determining objectives and priorities, supporting development of the strategic plan, and advising the Detachment Commander with respect to policing provided to a First Nation community or communities. o A First Nation OPP board could also establish local policies, in consultation with the OPP, with respect to the detachment’s provision of policing. • Please contact Ashley O’Connell, Indigenous Engagement Unit, Ministry of the Solicitor General at Ashley.OConnell@ontario.ca for more information on requesting a First Nation OPP Board. ADDITIONAL INFORMATION Q15: What training will OPP detachment board members be required to complete? A15: • Members cannot perform their duties or exercise any of their powers until they have successfully completed the training identified in the CSPA. • More specifically, like all other boards and councils governed under the CSPA, OPP detachment board members will be required to successfully complete training with respect to: o human rights and systemic racism; o the diverse, multiracial and multicultural character of Ontario society; o the rights and cultures of Indigenous peoples; and o any other training prescribed by the Solicitor General. Q16: Will municipalities be able to request enhanced OPP policing services (e.g., beyond basic “adequate and effective” policing) under the CSPA? A16: • Under the CSPA, municipalities that receive policing from the OPP may enter into agreements for enhanced policing services. • Municipalities will continue to be responsible for funding and implementing enhancements. Q17: Once the CSPA is in force, will municipalities within a detachment receive one billing statement (i.e., a single invoice for the entire detachment)? A17: • There will be no substantive changes to the billing process. • Municipalities will continue to be billed individually. Page 33 of 256 OPP DETACHMENT BOARD PROPOSAL PROCESS QUESTIONS & ANSWERS 4 Q18: Will there be an opportunity to provide additional feedback on other OPP-related matters for regulation? A18: • All OPP-related matters for regulation will be posted on the Ontario Regulatory Registry for public comment. Page 34 of 256 OPP DETACHMENT BOARD PROPOSAL PROCESS FACT SHEET Ministry of the Solicitor General CONFIDENTIAL CONTEXT FRAMEWORK TIMELINES PROCESS •Ontario passed the Comprehensive Ontario Police Services Act, 2019 (Bill 68) and established the Community Safety and Policing Act, 2019 (CSP) which, once in force, will repeal the Police Services Act, 1990 (PSA). •Section 67 of the CSPA requires there be an Ontario Provincial Police (OPP) detachment board, or more than one OPP detachment board, for each detachment of the OPP that provides policing in a municipality or in a First Nation community. •The Ministry is required to develop a regulation related to the composition of each OPP detachment board. To achieve this, the ministry has developed an “OPP Detachment Board Framework”. •The new OPP Detachment Board Framework will provide civilian governance to 326 municipalities and 43 First Nations including those that: o Are directly policed by the OPP; o Employ their own First Nations Constables but receive administrative support from the OPP; and o Receive “OPP Dedicated” policing (i.e. North Caribou Lake and Wapekeka First Nation). •By enhancing civilian governance, the OPP Detachment Board Framework under the CSPA will: o Ensure each municipality and First Nation receiving OPP services and supports has an opportunity to represent their local perspectives, needs, and priorities; and o Provide opportunities for municipalities and First Nations to collaborate on efforts to improve community safety. •To ensure the objectives of the OPP Detachment Board Framework are met, the ministry has developed a flexible approach that allows municipalities and First Nations to determine the preferred composition of their detachment board(s) by submitting a proposal using a digital form provided by the ministry. o Link to Digital Form: OPP Board Proposal Form •Municipalities and First Nations within a detachment will be required to work together to develop and submit one proposal indicating the composition of their board(s). The proposal must meet the minimum composition requirements established by the ministry (See Page 2 & Qs and As). •Municipalities and First Nations will not be required to identify the names of the individuals that will be participating on the detachment board but will be required to identify the number of seats each municipality and First Nation will be allocated on the detachment board as well as the number of community representatives and provincial appointments. •The ministry will work with each municipality and First Nation to obtain outstanding information and provide support to ensure each detachment submits a completed proposal. However, a proposal does not meet the minimum requirements set by the ministry or a proposal is not submitted, and/or if a detachment is unable to come to a consensus, the ministry will determine the composition of the detachment board(s). •The ministry is offering virtual information sessions for municipalities and First Nation communities to address outstanding questions and clarify concerns related to the proposal requirements and process, upon request. Launch OPP Detachment Board Proposal Process March 18, 2021 Proposals Due to Ministry June 7, 2021 Establish OPP Boards Fall 2021 Page 35 of 256 OPP DETACHMENT BOARD PROPOSAL PROCESS FACT SHEET Ministry of the Solicitor General CONFIDENTIAL OPP DETACHMENT BOARD COMPOSITION REQUIREMENTS CONTACT INFORMATION MINIMUM REQUIREMENTS Minimum Size 5 members Maximum Size None Community Representatives 20% Community Representation • Province to appoint community representative(s) if municipal council/band council fail to appoint representatives by joint resolution. Provincial Appointments 20% Provincial Appointees General Information/OPP Detachment Board Proposal Process Community Safety and Intergovernmental Policy Branch Joanna Reading (Joanna.Reading@ontario.ca) Civilian Governance Options for First Nations Indigenous Engagement Unit Ashley O’Connell (Ashley.OConnell@ontario.ca) Page 36 of 256 Page 1 of 5 Subject: Offers to Purchase – Alleyway between Charles Street and Nelson Street Report Number: EDM 21-16 Department: Economic Development and Marketing Submitted by: Cephas Panschow, Development Commissioner Meeting Type: Council Meeting Meeting Date: Monday, May 10, 2021 RECOMMENDATION THAT Council receives report EDM 21-16 Offers to Purchase – Alleyway between Charles Street and Nelson Street; AND THAT a By-Law be brought forward to authorize the Mayor and Clerk to enter into an agreement of purchase and sale with Peter Leliveld and Ruth Leliveld for the property described as the North part of the Alleyway between Charles Street and Nelson Street, and to be described by a new reference plan; AND THAT a By-Law be brought forward to authorize the Mayor and Clerk to enter into an agreement of purchase and sale with Ray Jones, Teresa Jones, Tejaun Jones and Jeffrey Jaques for the property described as the South part of the Alleway between Charles Street and Nelson Street, and to be described by a new reference plan. BACKGROUND Council declared the Alleyway between Charles Street and Nelson Street as surplus to the Town’s needs at the April 12, 2021 meeting: Page 37 of 256 EDM 21-16 Page 2 of 5 THAT Council receives report EDM 21-09 Surplus Land Declaration – Alleyway between Charles Street and Nelson Street; AND THAT the Alleyway property, located between Charles Street and Nelson Street, be declared surplus to the needs of the Town of Tillsonburg in accordance with By-Law 2021-031 (land disposition) including suitable notification to the public. Further to the surplus declaration, the Town has received two offers to purchase from two of the four adjacent property owners. The offers to purchase are for an equal portion of the Alleyway lands immediately adjacent to their properties. The purpose of this report is to seek Council approval to enter into an Agreement of Purchase and Sale with the two property owners. Figure 1 – Subject Property: Peter Leliveld and Ruth Leliveld (North Portion) Page 38 of 256 EDM 21-16 Page 3 of 5 Figure 2 – Subject Property: Jones and Jaques (South Portion) DISCUSSION The Alleyway property is approximately 5.5 metres wide and 45 metres long and is approximately 251 square metres (2,700 square feet) in size. The surplusing and sale of this property to the adjacent property owners will result in a significant addition to the properties. The 10 Charles Street lot was created in 2020 through a severance from the 9 Nelson Street property. The details of their offer to purchase are: Offer Details – Peter Leliveld and Ruth Leliveld Offer Details – Ray Jones, Teresa Jones, Tejaun Jones and Jeffrey Jaques Price $9,000 $9,000 Area (estimated subject to final adjustments) 1,350 square feet 1,350 square feet Purchaser Conditions None None Page 39 of 256 EDM 21-16 Page 4 of 5 The Development Commissioner is recommending that Council approve these agreements, which will provide additional land to the adjacent property owners. CONSULTATION The intent to declare the property as surplus to the Town’s needs was circulated to all Town Departments and Tillsonburg Hydro Inc as detailed in EDM 21-09 Surplus Land Declaration - Alleyway between Charles St and Nelson St with no concerns, other than an easement to protect for various existing services be retained by the Town. The Agreements of Purchase and Sale being considered contain s an easement for the maintenance/replacement of existing services. The property was declared surplus on April 12, 2021. A public notice was posted on the property on March 30, 2021, posted on the Town’s website on April 8, 2021 and published in the Tillsonburg News on April 16 and 22, 2021 . The deadline to register interest was 4 PM on Tuesday, April 27, 2021. Two offers to purchase were received in advance of the deadline. The agreement template used is based on the template provided by Duncan, Linton LLP. FINANCIAL IMPACT/FUNDING SOURCE An estimate of the property’s value was obtained through a Letter of Opinion prepared by Royal Lepage RE Wood Realty dated April 29, 2021. The Letter of Opinion indicated that the value of the property is estimated at $24,000. The offers have been submitted for half of the property at $9,000 each or $18,000 total. However, the Opinion of Value does not take into account the impact of an easement on the property being sold. Lands with encumbrances on them are typically valued at a lower value. In addition to the purchase price, the purchasers have agreed to pay the legal and survey costs related to the transaction. COMMUNITY STRATEGIC PLAN (CSP) LINKAGE 1. Excellence in Local Government☐ Demonstrate strong leadership in Town initiatives ☒ Streamline communication and effectively collaborate within local government ☒ Demonstrate accountability 2. Economic Sustainability ☐ Support new and existing businesses and provide a variety of employment opportunities Page 40 of 256 EDM 21-16 Page 5 of 5 ☐ Provide diverse retail services in the downtown core ☐ Provide appropriate education and training opportunities in line with Tillsonburg’s economy 3. Demographic Balance ☐ Make Tillsonburg an attractive place to live for youth and young professionals ☐ Provide opportunities for families to thrive ☐ Support the aging population and an active senior citizenship 4. Culture and Community ☐ Promote Tillsonburg as a unique and welcoming community ☐ Provide a variety of leisure and cultural opportunities to suit all interests ☐ Improve mobility and promote environmentally sustainable living ATTACHMENTS Appendix A – Agreement of Purchase and Sale – Peter Leliveld and Ruth Leliveld Appendix B – Agreement of Purchase and Sale – Jones and Jaques Page 41 of 256 ·····-----·-·-----·---------···--·--··------··--··-·------·----·--·-----------··---···--··---··------·------·--··--·······-·--···--·--··-··--·-·-··-·--·-----··-----------··--·-·-·----------·-··-·-·-·---·--··----·---~~-~_':_ __ l __ i_··- AGREEMENT OF PURCHASE AND SALE (the "Agreement" or "APS") BETWEEN: THE CORPORATION OF THE TOWN OF TILLSONBURG (the "Vendor') -and- Peter Leliveld Ruth Leliveld . (the "Purchaser") WHEREAS the Vendor is the owner, in fee simple, of the lands and premises described in Schedule "A" (the "Property"); · NOW THEREFORE IN CONSIDERATION of the mutual covenants and premises in this Agreement, the parties agree as follows: 1. 2. SECTION I -GENERAL The Purchaser agrees to purchase the Property and the Vendor agrees to sell the Property according to the terms of this Agreement. In consideration of the agreement referred to in the preceding paragraph, the Purchaser shall pay to theVendoraPurchase Price of · · · $9000.00 l) Dollars. The estimated area of the Property is. Total 56.49m . --: , .. Nine Thousand Dollars The Purchase Price shall be paid as follows: (a) (b) ,(;\\'.f:%iii'&'tt~f~tl OU i~H~~~~~;i;i~i g~~a ~" ......... .,,, ' 1 '§}:9'.o:· , ;'""-_ . ___ , ~~{j: D"oll~ts ($.00) deposit is payable by the Purchaser by certified cheque upon Acceptance of this Agreement, to be held on an interest free basis by the Solicitor for the Vendor as· a deposit pending completion of this transaction on account of the Purchase Price on completion, or if this Agreement is not completed through no fault of the Purchaser, the deposit shall be returned to the Purchaser; and the balahce of the Purchase Price, subject to adjustments, shall· be paid to the Vendor on the Completion Date, by certified cheque or bank draft SECTION II -PURCHASE OF PROPERTY 4. Irrevocable Date (a) (b) This APS shall be irrevocable and ·open for acceptance by the Vendor until 6:00 p.m. on the 14th day of May, 2021 ("Acceptance"), and when accepted shall constitute a binding contract of purchase and sale, otherwise the APS shall be null arid void and all deposit monies paid shall be returned to the Purchaser without deduction. Acceptance shall ·mean the date upon which the Mayor and Clerk of the Town of Tillsonburg, or such other persons as the Vendor may authorize from time to time, 'sign and .execute this APS subsequent to the requirement that the Council of The Corporation of the Town of Tillsonburg has passed a resolution or by-law authorizing and approving the sale of the Property to the -Purchaser pursuant to the terms of this APS. 1· 0 Buyer's Initials$. 1\-.k f . Seller's Initials __ _ Page 42 of 256 (c) The parties agree and acknowledge that negotiation of this APS is not a valid and binding agreement until accepted by the Council of The Corporation of the Town of Tillsonburg. The Chief Administrative Officer of the Town of Tillsonburg, or his or her designate, shall negotiate the terms of this APS in good faith. However, the negotiation of the terms of this APS by the Chief Administrative Officer of the Town of Tillsonburg, or his or her designate, in no ways binds The Corporation of the Town of Tillsonburg until such time as this APS is authorized and approved by the Council of The Corporation of the Town of Tillsonburg. 5. Council Approval (a) This transaction is subject to compliance with Section 270 of the Municipal Act, 2001 , S.O . 2001 , c. 25 as amended and the approval of the Council of The Corporation of the Town of Tillsonburg in its sole and absolute discretion by resolution or by-law. 6 . Deed/Transfer 7. 8. (a) The Vendor agrees to deed or transfer the Property to the Purchaser subject to the terms of this Agreement. Completion Date ~ (a) The closing of this transaction shall take place on June 15 , 2021 , or such other date as mutually agreed upon (the "Completion Date") at which time possess ion of the Property in "as is, where is" condition shall be given to the Purchaser other than as provided in this APS. The Vendor acknowledges that it has the right and authority to sell the Property. Documents , Reports and Information ~­ ~ y (a) The Vendor will produce and deliver to the Purchaser by I June 3 , 2021 i any documents, reports or information in its possession in respect to the Property . The Purchaser agrees to return all of the above documentation to the Vendor if this transaction is not completed . SECTION 111-CONDITIONS, REPRESENTATIONS AND WARRANTIES 9 . "As Is " Condition (a) The Purchaser acknowledges that it is acquiring the Property in an "as is " condition and that it must satisfy itself by May 14, 2021 regarding the condition of the Property including , but not limited to, all existing physical conditions of this Property, e nvironm e ntal conditions, fitn e ss for any purpose, s uitab ili ty for construction , soil bearing capacity for any building proposed , and the availability of municipal services and utilities necessary for the Purchaser's proposed use of the Property. The Purchaser acknowledges that the Vendor shall not be responsible for any physical deficiencies of the Property or for any past , present or future environmental liabilities a nd h ereby waives any claims against the Vendor in respect of any e nvironm e nta l li ab iliti es on th e Property. The Purchaser agrees to sign a release and indemnity in fa vour of the V e ndor on or before closing with respect to m atte rs set out in th e preceding sentence. If the Purchaser is for any reason whatsoever dissatisfi ed with the Property, it shall deliver written notice to that effect to the Vendor by no later than the time specified herein , and this Agreement shall be terminated and the deposit shall b e returned to the Purchaser without interest or deduction . If the V endor is notified th at th e condition of th e Prope rty is not satisfactory, the n th e Purchaser shall , prior to re ce iving it s d eposit monies back a nd prior to being e ntitl ed to a full re lease from the Vendor with respect to this Agreement, restore the Property to its original condition as it existed prior to such testing or inspection by the Purchaser, at the Purchaser's sole expense . If the Purchaser fails to deliver written notice to the Ve ndor within the time specified herein regarding this condition , this condition s hall be deem e d to hav e been w ai v ed by th e Purchaser. 10. Oth e r Condition s (a) This APS a nd completion of this transaction is subject to the conditions set out in Schedules "A " a nd "B". 11 . Inv estigation by the Purc hase r Buye r's Initials b' ~Y--Sell e r's Initials __ _ Page 43 of 256 (a) The Purchaser acknowledges having inspected the Property prior to executing the APS and understands that upon Acceptance by the Vendor, and subject to any conditions herein, there shall be a binding agreement of purchase and sale between the Purchaser and the Vendor. It shall be the Purchaser's responsibility to provide, at its own expense, any soil bearing capacity tests or environmental inspection , as may be required or desired, and the Vendor shall grant the Purchaser access for such testing or inspection at all reasonable times , on reasonable notice, for the purpose of conducting reasonable inspections. 12 . Future Use (a) The Vendor and the Purchaser agree that there is no condition, express or implied , representation or warranty of any kind that the future intended use of the Property by the Purchaser is or will be lawful except as may be specifically stipulated elsewhere in this Agreement. 13. Provision of Plans (a) The Purchaser agrees and covenants that prior to the issuance of a building permit, the Purchaser shall provide to the Town of Tillsonburg a plan showing the location of the building(s) and outside storage, the front elevation of the building(s), the exterior building materials, the landscaping treatment and the screening of outside storage. The provisions of this paragraph shall survive closing. 14. Reasonable Assistance (a) The Vendor agrees to provide reasonable assistance and co-operation to the Purchaser in obtaining the necessary approvals for the development of the Property subject to the Purchaser's compliance with all relevant building codes , by-laws, land use controls, any other statutory requirements and payment of the fees provided for in the Town of Tillsonburg 's current fees by-law. 15 . Development Covenants and Restrictions (a) The Property shall be subject to the development covenants and restrictions more particularly set out in Schedule "D" attached to this /\PS , which shall survive the completion of this transaction and run with the Property. The development covenants and restrictions shall be registered on title by the Vendor. In the event that the said covenants and restrictions are not registered on title to the Property on or before closing , the Purchaser covenants and agrees to consent to the registration of the covenants and restrictions after closing . 16 . Property Not for Resale (a) The Purchaser covenants that it is purchasing the Property for the purpose of consolidating the parcel with the Purchaser's adjoining property and not for the purpose of resale of vacant land. SECTION IV -PRIOR TO COMPLETION DATE 17. Purchaser May Inspect th e Property (a) The Purchaser, its agents and contractors shall be permitted to inspect the Property and any buildings as frequently as is reasonably necessary between the date of Acceptance and the Completion Date at reasonable times and upon reasonable notice to the Vendor. 18 . In surance (a) Pending closing, the Vendor shall hold all insurance policies and the proceeds thereof in trust for the parties as th eir interest may appear and in the event of damage to the Property. The Purchaser may e lect to eith er receive th e proceeds of the insurance and complet e the purchase or to cance l the APS and have all th e depos it mon ies pai d to th e Ve ndor return ed tog eth e r with a ll interest ea rn e d th e reon without deduction . SECTION V -COMPLETING THE TRANSACTION 19. Dee d/Tra nsfer Buyer's Initials pi. Rl -Seller's Initials __ _ Page 44 of 256 (a) The Deed or Transfer of the Property will be prepared by the Vendor at the expense of the Purchaser in a form acceptable to the solicitors for the Purchaser and the Purchaser will pay all Land Transfer Tax, Harmonized Sales Tax and other costs in connection with the registration of it. 20 . Electronic Registration (a) The parties agree that the transaction shall be completed by electronic registration pursuant to Part Ill of the Land Registration Reform Act, R.S.O. 1990 , c.L.4 as amended . The parties acknowledge and agree that the delivery and release of documents may , at the discretion of the lawyer: a) not occur contemporaneously with the registration of the transfer/deed and other registrable documentation , and b) be subject to conditions whereby the lawyer receiving documents and/or money will be required to hold them in trust and not release them except in accordance with the terms of a written agreement between the lawyers entered into in the form of the Document Registration Agreement adopted by the Jo int LSUC-OBOA Committee on Elective Registration of Title Documents. 21. Survey or Reference Plan (a) The parties acknowledge that a survey , at the Purchaser's expense, is required and a Reference Plan may be registered on title and may be used to provide a registrable description of the Property and any easements . 22. Letters and Reports from Officials of the Vendor (a) On or before the requisition date, the Vendor agrees to provide to the Purchaser, if requested , at the Vendor's expense , letters or reports from the Building and Zoning Department of the Town of Tillsonburg and the Fire Ch ief of the Town of Tillsonburg regarding the status of compliance with all codes , by-laws , rules and regulations with respect to the Property and any buildings located thereon . 23. Examination of Title (a) Title to the Property shall be good and marketable and free from all encumbrances except for any service easements or rights-of-way to be reserved in favour of the Vendor and for any easements or rights-of-way registered on title and any minor e ncroachments shown on the survey or Reference Plan del ivered to the Purchaser. Any required easement shall be in the form set out in Schedule "C". (b) The Purchaser is allowed until May 21, 2021 to examine the t itle to the Property . If on or before this date the Purchaser furnishes the Vendor in writing with any valid objections: to the title ; to any undisclosed outstanding work orders ; to undisclosed non -complia nce with the municipal by-laws or covenants and restrictions which run with the land and cannot be resolv ed before the Completion Date; as to any objection of which the Vendor shall be unable to remedy or correct by the Completion Date and which the Purchaser will not waive , then this APS shall , notwithstanding any intermediate acts or negotiations , be terminated and the deposit shall be returned to the Purchaser without deduction and the Vendor and the Purchaser shall not be liable for any costs, damages , compensation or expenses. 24 . Vendor to Discharge all Encumbrances (a) The Vendor agrees to obtain and register at its own expense , on or before the Completion Date, a discharge of all liens , encumbrances , agreements and mortgages now registered aga in st th e Prope rty and not assumed by the Purchaser. The V endor furth er covenants a nd ag rees to d ischarge, on or before the Completion Date , any a nd all li ens, ch atte l mortg ages, ass ignm ents or any oth er security interes t gi v en by the V endor against its personal Property. 25. Adjustments (a) The Ve ndor agrees th at a ll depos its , if a ny , held by th e Ve ndor not including interest th ereo n sha ll be credited to th e Purchaser in th e St ateme nt of Adju stm ents prepared for the Completion Date. (b) Any rents , mortgage , inte rest, taxes , lo cal improvements, w ater and assessment rates sh all be app ortion ed and allowed to the Completion Date, th e day itse lf to be appo rtion ed to the Purchaser. Buye r's Initi als ft .. f~ " Seller's Initial s --- Page 45 of 256 26. Deliveries by the Vendor To The Purchaser on Closing (a) The Vendor covenants and agrees to deliver to the Purchaser on the Completion Date , all such deliveries to be a condition of the Purchaser's obligation to close this transaction , the following : (i) a deed/transfer of the Property; (ii) any survey or reference plan of the Property in the possession of the Vendor; (iii) a Statutory Declaration by an authorized officer of the Vendor stating that accurateness and truthfulness of all of the representations and warranties; (iv) a Statutory Declaration by an authorized officer of the Vendor as to possession of the Property in a form acceptable to the solicitors for the Purchaser; (v) a Statutory Declaration by an authorized officer of the Vendor that it is not now, and upon completion will not be , a "non-resident person " w ithin the meaning and for the purpose of Section 116 of the Income Ta x Act, R.S.C ., 1985, c. 1 (5th Supp.) as amended ; (vi) certified copies of all appropriate certificates , by-laws and other documents of Vendor authorizing the transaction herein ; and · (vii) such further documentation and assurances as the Purchaser may reasonably require to complete the transaction contemplated by the APS . 27 . Harmonized Sales Tax (a) The parties hereto acknowledge and agree that the transaction contemplated herein is s ubject to the Harmonized Sales Tax (HST) under the Exc ise Tax Act, R.S.C ., 1985, c. E-15 (the "Act") and that the Purchase Price does not include HST. The Vendor shall provide the Purchaser with its HST Business Number. The Purchaser shall pay to the Vendor any HST imposed under the Act payable in connection with the t ransfer of the Property to the Purchaser, or as it may direct, unless the Purchaser or its nominee , or its assignee , provid e s: (i) a certificate on or before the Completion Date conta ining a representation and warranty to the Vendor that: (1 ) it is registered for the purpose of the HST on the Completion Date and specifying the HST re gistration number; (2) it will self-asse ss th e HST on its G ST/HST re turn or file th e p re scribed form pursuant to subsection 228(4) of the Act in connection with the purchase of the Property; (3) the Property transferred pursuant to this APS is being pu rchased by th e Purch aser, or its nominee or a ssignee , as principal for its own account a nd is not be in g purch ased by th e Purch ase r a s age nt, trustee or oth e rwi se on be ha lf of or for a noth er person , a nd do e s not constitute a supply of residential complex made to an individual for the purpose of paragraph 2 21 (2)(b) of the Act ; (4) an indemnity , indemnifying and saving ha rml ess th e Vendor from any HST pay abl e on thi s transa ction and pe nalty a nd inte res t re lating to HST; a nd (5 ) a notarial tru e copy of its HST registration confirmation. S ECT ION VI -MISC ELLAN EOUS 28 . Entire Agreement (a) Th e re is no representation , w arranty , coll ate ra l a gree m e nt or condition affecting this Ag ree m e nt of th e Pro pe rty oth e r th a n expressed he re in . · Buye r's Initi a l s~ 'I S ell e r's Initial s --- Page 46 of 256 29. Tender (a) Any tender of documents or moneys hereunder may be made upon the solicitor acting for the party upon whom tender is desired, and it shall be sufficient that a negotiable, certified cheque or bank draft may be tendered instead of cash . 30. Time of Essence (a) Time shall be of the essence of this Agreement. 31. Planning Act (a) This Agreement shall be effective only if the provisions of Section 50 of the Planning Act, R.S .O . 1990, c.P.13, as amended are complied with. 32. Notices (a) All notices in this Agreement shall be in writing and shall be deemed to have been given if delivered by hand or mailed by ordinary mail , postage prepaid, addressed to the solicitor for the person to whom such notice is intended to be given at the following addressed: Solicitors for the Vendor: Duncan, Linton LLP ATTENTION: Steven Ross 45 Erb Street West Waterloo, ON N2J 4B5 Fax: (519) 886-8651 with a copy delivered to : The Corporation of the Town of Tillsonburg ATTENTION: Development Commissioner 204-200 Broadway Tillsonburg, ON N4G 5A7 . Fax: 519-842-9431 Solicitors for the Purchaser: Brad Hause White Coad If mailed , such notices must also be given by facsimile transmission on the date it was so mailed. If so given , such notices shall be deemed to have been received on the first business day following the date it was delivered or marked mailed out. 33. Successors and Assigns (a) The Purchaser shall be permitted to assign all of its right , title and interest in and to this APS with the Vendor's written approvalJ. which shall not be unreasonably withh e ld J. including assignment to a nother corporation with the same shareholders as th e Purchaser. Subj e ct · to th e res tri ctions in th e preceding sentence, th e Vendor agrees to engross the Transfer/Deed of Land as .directed by the Purchase on the completion Date as the Purchaser may elect, and the Vendor agrees to complete the transaction contemplated by this APS on the Completion Date with such assignee or nominee . The Purchaser is released from all liability hereunder, if it assigns its interest in this APS. This Agreeme nt shall be binding upon th e parti es hereto a nd th eir res pective s uccess ors and ass ig ns . 34. Schedules (a) Th e following Schedules shall form an integral part of this Agreement: (i)' Schedul e "A " Des c ription of th e Property ; (ii) · Schedule "B" Conditions; Buyer's Initials~ Seller's Initials __ _ Page 47 of 256 35 . Acceptance by Fax or Email (a) The Purchaser and Vendor acknowledge and agree that the communicat ion of this Agreement of Purchase and Sale may be transmitted by way of facsimile or electronic mail , and that they agree to accept such signatures and documents to be legal and binding upon them. 36 . Counterparts (a) This Agreement may be signed in any number of counterparts, each of which is considered to be an original , and all of which are considered to be the same documents . 37. Severability (a) If any provision of this Agreement , or the application thereof to any circumstances, shall be held to be invalid or unenforceable , then the remaining provisions of this Agreement , or the application thereof to other circumstances, shall not be affected , and shall be valid and enforceable. (./;J (.)/) Buyer's Initi a l s~ Se ll e r's Initial s __ _ Page 48 of 256 IN WITNESS WHEREOF the Purchaser has executed this Agreement: Dated at /r'/l.r d/tb ., rc1 , Ontario this 2 9 day of Ap !'i' / r J J 2021. ** Per: Name: Peter Leliveld Title: fui4: dJI Name: Ruth L~liveld Title: I/We have authority to bind the Corporation. The Vendor hereby accepts this Agreement according to its terms. Dated at Tillsonburg , Ontario this ___ day of ______ , 2021 . IN WITNESS WHEREOF the Vendor has executed this Agreement: Buyer's Initi a ls f~ ~l:-· The Corporation of the Town of Tillson burg Stephen Molnar Mayor Michelle Smibert Clerk We have a uthority to bind The Corporation of the Town of Tillsonburg . Se ll er's Initia ls --- Page 49 of 256 SCHEDULE "A" -LEGAL DESCRIPTION OF THE PROPERTY ALL AND SINGULAR that certain parcel or tract of land and premises situated, lying and being in the Town of Tillsonburg in the County of Oxford, being compromised of a portion of the Unnamed Alleyway between Charles Street and Nelson Street and to be described by a new reference plan: Buyer's Initi a l s~ Seller's Initials __ _ Page 50 of 256 Page 51 of 256 ...... ·-:-: i •: ·.···· 0 . (jl (Q ·~ . ,;· . . -,,,.-, ·. ~ ~b. 0 ·10 .o ···±·· ·:. ·~····· °' :.-..-: . . . O .:.· .. . z.·. ·.· ' .·:~· --·:-·: .. : . 0..... .· u ·. Page 52 of 256 .. SCHEDULE "B" -PURCHASER CONDITIONS 1. The transaction of purchase and sale contemplated hereiri shall be subject to the fulfillment of the following terms and conditions on or before , which terms and conditions are for the exclusive benefit of the Purchaser and may be waived in whole or in part by the Purchaser. If the conditions are not fulfilled or waived then the deposit shall be returned and Agreement arising from the offer shall be at an end and all parties released from their obligations : (a) ** Buye r's Initi a ls f(/ f(A., Sell e r's Initial s __ _ Page 53 of 256 SCHEDULE"C"-EASEMENT TERMS AND PROVISIONS OF THE EASEMENT: I. The Owner hereby grants, conveys and confirms to The Corporation of the Town of Tillsonburg (the "Town"), its successors and assigns, in perpetuity, the free, uninterrupted and undisturbed right and easement to enter upon the lands herein described at any time for the purposes of constn1cting, installing anEI maintaining all eiisting] municipal services of any kind (including water distribution pipes and sanitary and storm sewers) in, under, over and upon the said lands, and with the further and continuing right to the Town, its successors and assigns, and its servants, agents and workers to enter upon the lands at any time to construct, repair, correct, operate, replace and maintain at all times in good condition and repair the municipal services and for every such purpose the Town shall have access to the said lands at all times by its agents, sel"Vants, employees and workers. · 2. The Town covenants and agrees that, upon completion of any work undertaken hereunder, the Town will restore the areas of land upon which it has performed work to the same condition as that in which the lands were found prior to the commencement of the work. 3. The Owner covenants with the Town to keep the lands herein described free and clear of any trees, buildings, structures or other obstructions which may limit the use, operation, repair, replacement or maintenance of the easement and to use the lands herein described only in a manner and for purposes not inconsistent with the exercise of the rights created by this indenture and without limiting the generality of the foregoing, only as a yard, lawn, garden, flowerbed, roadway, driveway or parking area and the Owner agrees not to do or suffer to be done anything which might injure any of the works of the Town hereon. The term "building" as set out herein shall specifically include any window sills, chimney breasts, cornices, eaves or other architectural features projecting from the first floor of the building but shall not include window sills, chimney breasts, cornices, eaves or other architectural features projecting from the second floor of the building by less than two· (2) feet and such second floor projections shall be specifically authorized and allowed to encroach upon the lands herein described. 4. The Town·; by the acceptance and registration of the within easement, agrees to be bound by the terms and provisions contained herein. 5. The burden and benefit of this easement shall run with the lands herein described and shall extend to and be binding upon and enure to the benefit of the parties hereto and their respective heirs, executors, administrators, successors and assigns. 6. This is an easement in gross. 1. t~- Buver's Initials Seller's Initials Page 54 of 256 AGREEMENT OF PURCHASE AND SALE (the "Agreement" or "APS") BETWEEN: THE CORPORATION OF THE TOWN OF TILLSON BURG (the "Vendor'') -and- Roy Anthony Jones, Teresa Violet Jones Tejaun Jones, Jeffrey Jaques (the "Purchaser") Page WHEREAS the Vendor is the owner, in fee simple, of the lands and premises described in Schedule "A" (the "Property"); NOW THEREFORE IN CONSIDERATION of the mutual covenants and premises in this Agreement, the parties agree as follows: SECTION I -GENERAL 1. The Purchaser agrees to purchase the Property and the Vendor agrees to sell the Property according to the terms of this Agreement. 2. In consideration of the agreement referred to in the preceding paragraph, the Purchaser shall · pay to the Vendo~ (3 i:ui::chase Price of i $9000.00 . ) Dollars. The estimated area of the Property is Total 56.43m . -• Nine Thousand Dollars 3. The Purchase Price shall be paid. as follows: (a) [Required deposit is 10% of the offered amount or $5,000.00, whichever is greater. If transaction is less than $5,000, deposit is 50% of amount] Dollars ($.00) deposit is payable by the Purchaser by certified cheque upon Acceptance of this Agreement, to be held on an interest free basis by the Solicitor for the Vendor as a deposit pending completion of this transaction on account of the Purchase Price on completion, or if this Agreement is not completed through no fault of the Purchaser, the deposit shall be returned to the Purchaser; and (b) the balance of the Purchase Price, subject to adjustments, shall be paid to the Vendor on the Completion Date, by certified cheque or bank draft. SECTION II -PURCHASE OF PROPERTY 4. Irrevocable Date (a) This APS shall be irrevocable and open for acceptance by the Vendor until 6:00 p.m. on the 14th day of May, 2021 ("Acceptance"), and when accepted shall constitute a binding contract of purchase and sale, otherwise the APS shall be null and void and all deposit monies paid shall be returned to the Purchaser without deduction. (b) Acceptance shall mean the date upon which the Mayor and Clerk of the Town of Tillsonburg, or such other persons as the Vendor may authorize from time to time, sign and execute this APS subsequent to the requirement that the Council of The Corporation of the Town of Tillsonburg has passed a resolution or by-law authorizing and approving the sale of the Property to the Purchaser pursuant to the terms of this APS. · Buyer's Initial¥ Seller's Initials --- Page 55 of 256 (c) The parties agree and acknowledge that negotiation of this APS is not a valid and binding agreement until accepted by the Council of The Corporation of the Town of Tillsonburg . The Chief Administrative Officer of the Town of Tillsonburg, or his or her designate, shall negotiate the terms of this APS in good faith. However, the negotiation of the terms of this APS by the Chief Administrative Officer of the Town of Tillsonburg , or his or her designate , in no ways binds The Corporation of the Town of Tillsonburg until such time as this APS is authorized and approved by the Council of The Corporation of the Town of Tillsonburg . 5. Council Approval (a) This transaction is subject to compliance with Section 270 of the Municipal Act, 2001 , S.O. 2001 , c. 25 as amended and the approval of the Council of The Corporation of the Town of Tillsonburg in its sole and absolute discretion by resolution or by-law. 6. Deed/Transfer 7. (a) The Vendor agrees to deed or transfer the Property to the Purchaser subject to the terms of this Agreement. Completion Date (a) The closing of this transact ion shall take place on June 15, 2021, or such other date as mutually agreed upon (the "Completion Date") at which time possession of the Property in "as is, where is" condition shall be given to the Purchaser other than as provided in this APS. The Vendor acknowledges that it has the right and authority to sell the Property. 8. Documents, Reports and Information \ ~~~ (a) The Vendor will produce and deliver to the Purchaser by Junea3;'2021 any documents, reports or information in its possession in respect to the Property. The Purchaser agrees to return all of the above documentation to the Vendor if this transaction is not completed . SECTION Ill -CONDITIONS, REPRESENTATIONS AND WARRANTIES 9. "As Is" Condition (a) The Purchaser acknowledges that it is acquiring the Property in an "as is " condition and that it must satisfy itself by May 14, 2021 regarding the condition of the Property including, but not limited to , all existing physical conditions of this Property, environmental conditions, fitness for any purpose, suitability for construction , soil bearing capacity for any building proposed , and the availability of municipal services and utilities necessary for the Purchaser's proposed use of the Property. The Purchaser acknowledges that the Vendor shall not be responsible for any physical deficiencies of the Property or for any past , present or future environmental liabilities and here by waives any claims against the Vendor in respect of any environmental li a biliti es on the Property. T he Purchaser agrees to sign a release a nd ind e mnity in favour of the Vendor on or before closing with respect to matters set out in the preceding sentence. If the Purchaser is for any reason whatsoever dissatisfied with the Property, it shall deliver written notice to that effect to the Vendor by no later than the time specified herein , and this Agreement shall be terminated and the deposit shall be returned to the Purchaser without interest or deduction. If the Vendor is notifi ed th at the condition of the Property is not satisfactory , then the Purchaser shall , prior to receiving its deposit monies back and prior to being entitled to a full release from the Vendor with respect to this Agreement, restore the Property to its original condition as it existed prior to such testing or inspect ion by the Purchaser, at the Purchaser's sole expense. If the Purchaser fails to deliver written notice to the Ve ndor within the time specified herei n regarding this condition, this condition shall be d ee m ed to have bee n w a ived by th e Purchaser. 10. Other Conditions (a) This APS and completion of this transaction is subject to the conditions set out in Schedules "A " a nd "B". 11 . Investig ation by th e P urch ase r ur\R,...,-- Buyer's Initials~.) Seller's Initials --- Page 56 of 256 (a) The Purchaser acknowledges having inspected the Property prior to executing the APS and understands that upon Acceptance by the Vendor, and subject to any conditions herein, there shall be a binding agreement of purchase and sale between the Purchaser and the Vendor. It shall be the Purchaser's responsibility to provide, at its own expense, any soil bearing capacity tests or environmental inspection, as may be required or desired, and the Vendor shall grant the Purchaser access for such testing or inspection at all reasonable times, on reasonable notice, for the purpose of conducting reasonable inspections. 12. Future Use (a) The Vendor and the Purchaser agree that there is no condition, express or implied, representation or warranty of any kind that the future intended use of the Property by the Purchaser is or will be lawful except as may be specifically stipulated elsewhere in this Agreement. 13. Provision of Plans (a) The Purchaser agrees and covenants that prior to the issuance of a building permit, the Purchaser shall provide to the Town of Tillsonburg a plan showing the location of the building(s) and outside storage, the front elevation of the building(s), the exterior building materials, the landscaping treatment and the screening of outside storage. The provisions of this paragraph shall survive closing. 14. Reasonable Assistance (a) The Vendor agrees to provide reasonable assistance and co-operation to the Purchaser in obtaining the necessary approvals for the development of the Property subject to the Purchaser's compliance with all relevant building codes, by-laws, land use controls, any other statutory requirements and payment of the fees provided for in the Town of Tillsonburg's current fees by-law. 15. Development Covenants and Restrictions (a) The Property shall be subject to the development covenants and restrictions more particularly set out in Schedule "D" attached to this APS, which shall survive the completion of this transaction and run •.vith the Property. The development covenants and restrictions shall be registered on title by the Vendor. In the event that the said covenants and restrictions are not registered on title to the Property on or before closing, the Purchaser covenants and agrees to consent to the registration of the covenants and restrictions after closing. 16. Property Not for Resale (a) The Purchaser covenants that it is purchasing the Property for the purpose of consolidating the parcel with the Purchaser's adjoining property and not for the purpose of resale of vacant land. SECTION IV -PRIOR TO COMPLETION DATE 17. Purchaser May Inspect the Property (a) The Purchaser, its agents and contractors shall be permitted to inspect the Property and any buildings as frequently as is reasonably necessary between the date of Acceptance and the Completion Date at reasonable times and upon reasonable notice to the Vendor. 18. Insurance (a) Pending closing, the Vendor shall hold all insurance policies and the proceeds thereof in trust for the parties as their interest may appear and in the event of damage to the Property. The Purchaser may elect to either receive the proceeds of the insurance and complete the purchase or to cancel the APS and have all the deposit monies paid to the Vendor returned together with all interest earned thereon without deduction. SECTION V -COMPLETING THE TRANSACTION 19. Deed/Transfer Buyer's Initials~$' Seller's Initials. __ _ Page 57 of 256 (a) The Deed or Transfer of the Property will be prepared by the Vendor at the expense of the Purchaser in a form acceptable to the solicitors for the Purchaser and the Purchaser will pay all Land Transfer Tax, Harmonized Sales Tax and other costs in connection with the registration of it. 20. Electronic Registration (a) The parties agree that the transaction shall be completed by electronic registration pursuant to Part Ill of the Land Registration Reform Act, R.S.O. 1990, c.L.4 as amended. The parties acknowledge and agree that the delivery and release of documents may, at the discretion of the lawyer: a) not occur contemporaneously with the registration of the transfer/deed and other registrable documentation, and b) be subject to conditions whereby the lawyer receiving documents and/or money will be required to hold them in trust and not release them except in accordance with the terms of a written agreement between the lawyers entered into in the form of the Document Registration Agreement adopted by the Joint LSUC-OBOA Committee on Elective Registration of Title Documents. 21. Survey or Reference Plan (a) The parties acknowledge that a survey, at the Purchaser's expense, is required and a Reference Plan may be registered on title and may be used to provide a registrable description of the Property and any easements. 22. Letters and Reports from Officials of the Vendor (a) On or before the requisition date, the Vendor agrees to provide to the Purchaser, if requested, at the Vendor's expense, letters or reports from the Building and Zoning Department of the Town of Tillsonburg and the Fire Chief of the Town of Tillsonburg regarding the status of compliance with all codes, by-laws, rules and regulations with respect to the Property and any buildings located thereon. 23. Examination of Title (a) Title to the Property shall be good and marketable and free from all encumbrances except for any service easements or rights-of-way to be reserved in favour of the Vendor and for any easements or rights-of-way registered on title and any minor encroachments shown on the survey or Reference Plan delivered to the Purchaser. Any required easement shall be in the form set out in Schedule "C". (b) The Purchaser is allowed until May 21, 2021 to examine the title to the Property. If on or before this date the Purchaser furnishes the Vendor in writing with any valid objections: to the title; to any undisclosed outstanding work orders; to undisclosed non-compliance with the municipal by-laws or covenants and restrictions which run with the land and cannot be resolved before the Completion Date; as to any objection of which the Vendor shall be unable to remedy or correct by the Completion Date and which the Purchaser will not waive, then this APS shall, notwithstanding any intermediate acts or negotiations, be terminated and the deposit shall be returned to the Purchaser without deduction and the Vendor and the Purchaser shall not be liable for any costs, damages, compensation or expenses. 24. Vendor to Discharge all Encumbrances (a) The Vendor agrees to obtain and register at its own expense, on or before the Completion Date, a discharge of all liens, encumbrances, agreements and mortgages now registered against the Property and not assumed by the Purchaser. The Vendor further covenants and agrees to discharge, on or before the Completion Date, any and all liens, chattel mortgages, assignments or any other security interest given by the Vendor against its personal Property. 25. Adjustments (a) The Vendor agrees that all deposits, if any, held by the Vendor not including interest thereon shall be credited to the Purchaser in the Statement of Adjustments prepared for the Completion Date. (b) Any rents, mortgage, interest, taxes, local improvements, water and assessment rates shall be apportioned and allowed to the Completion Date, the day itself to be apportioned to the Purchaser. °K\r'?! Buyer's Initials~ Seller's Initials --- Page 58 of 256 26. Deliveries by the Vendor To The Purchaser on Closing (a) The Vendor covenants and agrees to deliver to the Purchaser on the Completion Date, all such deliveries to be a condition of the Purchaser's obligation to close this transaction, the following: (i) a deed/transfer of the Property; (ii) any survey or reference plan of the Property in the possession of the Vendor; (iii) a Statutory Declaration by an authorized officer of the Vendor stating that accurateness and truthfulness of all of the representations and warranties; (iv) a Statutory Declaration by an authorized officer of the Vendor as to possession of the Property in a form acceptable to the solicitors for the Purchaser; (v) a Statutory Declaration by an authorized officer of the Vendor that it is not now, and upon completion will not be, a "non-resident person" within the meaning and for the purpose of Section 116 of the Income Tax Act, R.S.C., 1985, c. 1 (5th Supp.) as amended; (vi) certified copies of all appropriate certificates, by-laws and other documents of Vendor authorizing the transaction herein; and (vii) such further documentation and assurances as the Purchaser may reasonably require to complete the transaction contemplated by the APS. 27. Harmonized Sales Tax (a) The parties hereto acknowledge and agree that the transaction contemplated herein is subject to the Harmonized Sales Tax (HST) under the Excise Tax Act, R.S.C., 1985, c. E-15 (the "Act") and that the Purchase Price does not include HST. The Vendor shall provide the Purchaser with its HST Business Number. The Purchaser shall pay to the Vendor any HST imposed under the Act payable in connection with the transfer of the Property to the Purchaser, or as it may direct, unless the Purchaser or its nominee, or its assignee, provides: (i) a certificate on or before the Completion Date containing a representation and warranty to the Vendor that: (1) it is registered for the purpose of the HST on the Completion Date and specifying the HST registration number; (2) it will self-assess the HST on its GST/HST return or file the prescribed form pursuant to subsection 228(4) of the Act in connection with the purchase of the Property; (3) the Property transferred pursuant to this APS is being purchased by the Purchaser, or its nominee or assignee, as principal for its own account and is not being purchased by the Purchaser as agent, trustee or otherwise on behalf of or for another person, and does not constitute a supply of residential complex made to an individual for the purpose of paragraph 221 (2)(b) of the Act; (4) an indemnity, indemnifying and saving harmless the Vendor from any HST payable on this transaction and penalty and interest relating to HST; and (5) a notarial true copy of its HST registration confirmation. SECTION VI -MISCELLANEOUS 28. Entire Agreement (a) There is no representation, warranty, collateral agreement or condition affecting this Agreement of the Property other than expressed herein. Buyer's lnitial~~JtS '0 Seller's Initials --- Page 59 of 256 29. Tender (a) Any tender of documents or moneys hereunder may be made upon the solicitor acting for the party upon whom tender is desired, and it shall be sufficient that a negotiable, certified cheque or bank draft may be tendered instead of cash. 30. Time of Essence (a) Time shall be of the essence of this Agreement. 31. Planning Act (a) This Agreement shall be effective only if the provisions of Section 50 of the Planning Act, R.S.O. 1990, c.P.13, as amended are complied with. 32. Notices (a) All notices in this Agreement shall be in writing and shall be deemed to have been given if delivered by hand or mailed by ordinary mail, postage prepaid, addressed to the solicitor for the person to whom such notice is intended to be given at the following addressed: Solicitors for the Vendor: Duncan, Linton LLP ATTENTION: Steven Ross 45 Erb Street West Waterloo, ON N2J 485 Fax: (519) 886-8651 with a copy delivered to: The Corporation of the Town of Tillson burg ATTENTION: Development Commissioner 204-200 Broadway Tillsonburg, ON N4G 5A7 Fax: 519-842-9431 Solicitors for the Purchaser: Christie Harris Doyle & Prendergast If mailed, such notices must also be given by facsimile transmission on the date it was so mailed. If so given, such notices shall be deemed to have been received on the first business day following the date it was delivered or marked mailed out. 33. Successors and Assigns (a) The Purchaser shall be permitted to assign all of its right, title and interest in and to this APS with the Vendor's written approvall. which shall not be unreasonably withheldl. including assignment to another corporation with the same shareholders as the Purchaser. Subject to the restrictions in the preceding sentence, the Vendor agrees to engross the Transfer/Deed of Land as directed by the Purchase on the completion Date as the Purchaser may elect, and the Vendor agrees to complete the transaction contemplated by this APS on the Completion Date with such assignee or nominee. The Purchaser is released from all liability hereunder, if it assigns its interest in this APS. This Agreement shall be binding upon the parties hereto and their respective successors and assigns. 34. Schedules (a) The following Schedules shall form an integral part of this Agreement: (i) Schedule "A" Description of the Property; (ii) Schedule "B" Conditions; Buyer's lnitial~{Z.) Seller's Initials --- Page 60 of 256 35. Acceptance by Fax or Email (a) The Purchaser and Vendor acknowledge and agree that the communication of this Agreement of Purchase and Sale may be transmitted by way of facsimile or electronic mail, and that they agree to accept such signatures and documents to be legal and binding upon them. 36. Counterparts (a) This Agreement may be signed in any number of counterparts, each of which is considered to be an original, and all of which are considered to be the same documents. 37. Severability (a) If any provision of this Agreement, or the application thereof to any circumstances, shall be held to be invalid or unenforceable, then the remaining provisions of this Agreement, or the application thereof to other circumstances, shall not be affected, and shall be valid and enforceable. Buyer's Initials~ Seller's Initials --- Page 61 of 256 IN WITNESS WHEREOF the Purchaser has executed this Agreement: Dated at I' L '-..re N f3 v n.t;-, Ontario this 'Z. Cf pp.1·L day of_.1\-_____ , 2021. ** Per: Name: Roy Anthony Jones, Tejaun Jones , Title:l f ~ r},,Q!Led] \\fiZ1M Na~e : CJ Title : Teresa Violet Jones Jeffrey Jaques I/We have authority to bind the Corporation. The Vendor hereby accepts this Agreement according to its terms. Dated at Tillsonburg , Ontario this ___ day of ______ , 2021 . IN WITNESS WHEREOF the Vendor has executed this Agreement: . /" Buyer's Init ia ls~ The Corporation of the Town of Tillson burg Stephen Molnar Mayor Michelle Smibert Clerk We have authority to bind The Corporation of the Town of Tillsonburg. Seller's Initials __ _ Page 62 of 256 SCHEDULE "A" -LEGAL DESCRIPTION OF THE PROPERTY ALL AND SINGULAR that certain parcel or tract of land and premises situated, lying and being in the Town of Tillsonburg in the County of Oxford, being compromised of a portion of the Unnamed Alleyway between Charles Street and Nelson Street and to be described by a new reference plan: Buyer's Initials¥ Seller's Initials __ _ Page 63 of 256 J- ~ "' VJ ~ '1J ~ z ~ :f h 0 .v () ~ -- Page 64 of 256 . ·1 f!1 1f(/l.S . -if -'\ L.f /t-.1 ti. . i I I I I ! i . 1 \ ,. , . \ . ~----·-. Sketch . · . . NSl-70~ . . o'-Nt:.LU~G · ·'( BR\C\<. .. . s10R£ . ·· o~S . . cRt:.IS 0 ~ . ID -~· . cot-I s\E?· · . 'i. ·r- -b ~ . . . &. "i-/1) . 'l.'1.1 (?) . : . •) i o.. . I . . ' oo''. t:. . . . c·· 1 ~( • 33 . . . s ~. · s S . . S;; ·· Z z..~ . C)0f\~~ ... ·. ... ·- ... ·~ ~ ."'l ~ ,. .··~ . z. .. ·q__V .. .. ! ·~ '(~ . l.r)/ ·o··· -~ .· Page 65 of 256 SCHEDULE "B" -PURCHASER CONDITIONS 1. The transaction of purchase and sale contemplated herein shall be subject to the fulfillment of the following terms and conditions on or before , which terms and conditions are for the exclusive benefit of the Purchaser and may be waived in whole or in part by the Purchaser. If the conditions are not fulfilled or waived then the deposit shall be returned and Agreement arising from the offer shall be at an end and all parties released from their obligations: (a) ** l11 R; Buyer's Initials~ Seller's Initials --- Page 66 of 256 • SCHEDULE "C" -EASEMENT TERMS AND PROVISIONS OF THE EASEMENT: I. The Owner hereby grants, conveys and confirms to The Corporation of the Town of Tillsonburg (the "Town"), its successors and assigns, in perpetuity, the free , uninterrupted and undisturbed right and easement to enter upon the lands herein described at any time for the purposes of constnicting, installing anEl maintaining all existing municipal services of any kind (including water d istribution pipes and sanitary and storm sewers) in, under, over and upon the said lands, and with the further and conti nuing right to the Town, its successors and assigns, and its servants , agents and workers to enter upon the lands at any time to construct, repair, correct, operate , replace and maintain at all times in good condition and repair the municipal services and for every such purpose the Town shall have access to the said lands at all times by its agents , servants , employees and workers. 2. The Town covenants and agrees that, upon completion of any work undertaken hereunder, the Town will restore the areas of land upon which it has performed work to the same condition as that in which the lands were found prior to the commencement of the work. 3. The Owner covenants with the Town to keep the lands herein described free and clear of any trees , buildings, structures or other obstructions which may limit the use , operation , repai r, replacement or maintenance of the easement and to use the lands herein described only in a manner and for purposes not inconsistent with the exercise of the rights created by this indenture and without limiting the generality of the foregoing, only as a yard , lawn, garden , flowerbed , roadway, driveway or parking area and the Owner agrees not to do or suffer to be done anything which might injure any of the works of the Town hereon. The term "building" as set out herein shall specifically include any window sills, chimney breasts , cornices, eaves or other arch itectural features projecting from the first floor of the building but shall not include window sills, ch imney breasts , cornices , eaves or other architectural features projecting from the second floor of t he building by less than two (2) feet and such second floor projections shall be specifically authorized and allowed to encroach upon the lands herein described. 4. The Town , by the acceptance and registration of the within easement, agrees to be bound by the terms and provisions contained here in. 5. The burden and benefit of this easement shall run with the lands herein described and shall extend to and be binding upon and enure to the benefit of the parties hereto and their respective heirs , executors, administrators, successors and assigns. 6 . This is an easement in gross. Selle r's Initials Page 67 of 256 Page 1 of 2 Subject: 2020 Council Remuneration and Expenses Report Number: FIN 21-12 Department: Finance Submitted by: Sheena Pawliwec, CPA, CGA, Director of Finance/Treasurer Meeting Type: Council Meeting Meeting Date: Monday, May 10, 2021 RECOMMENDATION THAT Council receives report FIN 21-12 2020 Council Remuneration and Expenses as information. BACKGROUND Section 284 of the Municipal Act, 2001, S.O. 2001, requires that the Treasurer of a municipality shall each year provide to the Council of the municipality an itemized statement of the remuneration and expenses paid in the previous year to:  Each member of Council in respect of his or her services as a member of the Council or any other body, including a local board, to which the member has been appointed by Council or on which the member holds office by virtue of being a member of Council;  Each member of Council in respect of his or her services as an officer or employee of the municipality or other body; and  Each person, other than a member of Council, appointed by the municipality to serve as a member of any body, including a local board, in respect of his or her services as a member of the body. Although there are other members of the Police Services Board, since they are Provincial appointees, their remuneration and expenses are not reported under the Municipal Act. Page 68 of 256 FIN 21-12 Page 2 of 2 FINANCIAL IMPACT The attached document summarizes the remuneration, conference, seminar and expenses paid to Councillors in the 2020 fiscal year totalling $181,386 (2019 - $187,785). COMMUNITY STRATEGIC PLAN (CSP) LINKAGE 1. Excellence in Local Government☐ Demonstrate strong leadership in Town initiatives ☒ Streamline communication and effectively collaborate within local government ☒ Demonstrate accountability 2. Economic Sustainability ☐ Support new and existing businesses and provide a variety of employment opportunities ☐ Provide diverse retail services in the downtown core ☐ Provide appropriate education and training opportunities in line with Tillsonburg’s economy 3. Demographic Balance ☐ Make Tillsonburg an attractive place to live for youth and young professionals ☐ Provide opportunities for families to thrive ☐ Support the aging population and an active senior citizenship 4. Culture and Community ☐ Promote Tillsonburg as a unique and welcoming community ☐ Provide a variety of leisure and cultural opportunities to suit all interests ☐ Improve mobility and promote environmentally sustainable living ATTACHMENTS Appendix A - 2020 Council Remuneration and Expenses Page 69 of 256 REMUNERATION & EXPENSE REPORT ANALYSIS For the Year Ended December 31, 2020 POLICE MEETING SERVICES HYDRO EXPENSES REMUNERATION PER DIEM BOARD BOARD PAID TOTAL Mayor Molnar* 38,930.47$ 2,960.00$ 4,053.04$ 6,456.40$ 6,852.25$ 59,252.16$ Deputy Mayor Beres 19,449.69$ 740.00$ 1,987.16$ 22,176.85$ Councillor Esseltine 18,130.69$ 844.08$ 18,974.77$ Councillor Rosehart 18,130.69$ 4,053.04$ 30.00$ 22,213.73$ Councillor Gilvesy 18,130.69$ 462.50$ 2,297.48$ 20,890.67$ Councillor Luciani 18,130.69$ 844.08$ 18,974.77$ Councillor Parker 18,130.69$ 772.85$ 18,903.54$ $149,033.61 $4,162.50 $8,106.08 $6,456.40 $13,627.90 $181,386.49 Page 70 of 256 Page 1 of 2 Subject: Airport Hangar Land Lease Hangar G9 Report Number: OPD 21-19 Department: Operations and Development Submitted by: Dan Locke, Manager of Public Works Meeting Type: Council Meeting Meeting Date: Monday, May 10, 2021 RECOMMENDATION THAT Council receives report OPD 21-19 Airport Hangar Land Lease Hangar G9 as information; AND THAT a By-Law be brought forward to authorize a Land Lease Agreement with Euclid Benoit for the West half of Hangar G9; AND THAT a By-Law be brought forward to authorize a Land Lease Agreement with Geoff Lee for the East half of Hangar G9. BACKGROUND The current owner of the hangar known as G9 formerly known as hangar 13 contacted staff March 4, 2021 with the request to sell half of the hangar to another party. Mr. Euclid Benoit will be remaining as the owner of the west side of hangar G9 and Mr. Geoff Lee of 1467246 Ontario Inc. has purchased t he east side of hangar G9. Staff worked with both parties to create new updated lease agreements, working towards the transfer date of April 30, 2021. DISCUSSION Both parties have agreed to the new lease agreement and have reviewed and provided signed copies back to staff. The lease agreement indicates a new twenty year and eight month term of lease. Which will end on January 1, 2042. Page 71 of 256 OPD 21-19 Page 2 of 2 CONSULTATION Staff worked with both parties to prepare and negotiate the new land lease agreements as well as consulted with the Corporate Services Department. FINANCIAL IMPACT/FUNDING SOURCE There is no financial impact as the lease rate and the square footage has not changed. The Town will have the same amount of rental revenue as it had when there was only one owner. COMMUNITY STRATEGIC PLAN (CSP) LINKAGE 1. Excellence in Local Government ☐ Demonstrate strong leadership in Town initiatives ☐ Streamline communication and effectively collaborate within local government ☒ Demonstrate accountability 2. Economic Sustainability ☐ Support new and existing businesses and provide a variety of employment opportunities ☐ Provide diverse retail services in the downtown core ☐ Provide appropriate education and training opportunities in line with Tillsonburg’s economy 3. Demographic Balance ☐ Make Tillsonburg an attractive place to live for youth and young professionals ☐ Provide opportunities for families to thrive ☐ Support the aging population and an active senior citizenship 4. Culture and Community ☐ Promote Tillsonburg as a unique and welcoming community ☐ Provide a variety of leisure and cultural opportunities to suit all interests ☐ Improve mobility and promote environmentally sustainable living ATTACHMENTS Appendix A – Lease Agreement Benoit Appendix B – Lease Agreement Lee Page 72 of 256 Landlord’s Initials __________ Tenant’s Initials __________ TILLSONBURG AIRPORT HANGAR LEASE This Lease is made this 30 day of April, 2021 (the “Effective Date”). B E T W E E N THE CORPORATION OF THE TOWN OF TILLSONBURG (the “Landlord”) - and – Euclid Benoit 3525 Mossley Drive Mossley, Ontario N0L 1V0 (the “Tenant”) WHEREAS the Landlord owns all and singular that certain parcel or tract of land and premises situated, lying and being in the Township of South West Oxford in the County of Oxford, being compromised of: PT LT 3-4 CON 7 DEREHAM; LT 5-6 CON 7 DEREHAM; PT LT 7 CON 7 DEREHAM PT 1, 2, 3, 4 & 5, 41R2877, PT 2 & 3, 41R2714, PT 1, 2 & 3, 41R4343, PT 1, 2, 3 & 4, 41R4545; S/T 406551; SOUTH-WEST OXFORD; PIN: 00016-0089 (LT); LRO #41; municipal address being 244411 Airport Road, Tillsonburg, ON N4G 4H1; referred to herein as the “Property”, the “Airport” or the “Tillsonburg Airport” upon which is located the Tillsonburg Airport which is owned and operated by the Landlord. In consideration of the covenants, agreements, warranties and payments herein set forth and provided for, the sum of two dollars ($2.00) paid by each party to the other and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties hereto respectively covenant and agree as follows: 1. LEASED PREMISES (1) The Leased Premises shall consist of a portion of the Tillsonburg Airport identified as 50% of Hangar G9 (56 ft by 60 ft) on the plan attached as Schedule “A”, being the area upon which the Tenant’s airplane hangar shall be located plus one (1) metre of land extended beyond the exterior perimeter of the Tenant’s airplane hangar building (the “Leased Premises”). (2) Notwithstanding the above, the Landlord reserves the right to assign an alternate lot to the Tenant on thirty (30) days’ written notice at any time prior to the commencement of construction of the Tenant’s hangar. (3) The Landlord covenants and agrees to the construction by the Tenant of an airplane hangar on the Leased Premises being a Hangar, (the “Hangar”) subject to the provisions of Schedule “B”. The Tenant shall complete the construction of the Hangar at its sole cost and expense. (4) The Landlord covenants and agrees that the Hangar on the Leased Premises is not owned by the Landlord but is owned by the Tenant. 2. GRANT OF LEASE (1) The Landlord leases the Leased Premises to the Tenant: (a) at the Rent set forth in Section 3; (b) for the Term set forth in Section 4; and (c) subject to the conditions and in accordance with the covenants, obligations and agreements herein including schedules. (2) The Landlord covenants that it has the right to grant the leasehold interest in the Leased Premises free from encumbrances except as disclosed on title. 3. RENT (1) Rent means the amounts payable by the Tenant to the Landlord pursuant to this Section and includes Additional Rent. (2) The Tenant covenants to pay to the Landlord, during the Term of this Lease rent as follows Page 73 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 2 (the “Base Rent”): for every year of the Term, the total sum of $504.00 per annum (based upon $0.30 per square foot of Hangar building area) plus H.S.T., and any other applicable services tax which may accrue on account of the Landlord collecting rent, payable yearly in advance. Base Rent shall commence on the first day of the Term . If the first day of the Term is not January 1st then Base Rent for the first year of the term shall be prorated until December 31 of the initial year. Base Rent shall then be due on 1st day of the year commencing on January 1st, 2022 and every 1st day of January thereafter. The Parties further agree that the Landlord may, in their sole and absolute discretion, increase the Base Rent annually in accordance with the Town of Tillsonburg Rates and Fees Bylaw, as amended. If the square footage of the Hangar on the Leased Premises expands then the Base Rent shall accordingly increase in proportion to the additional square footage. Note existing Hangar is 56 ft. by 60 ft. shared by two parties equally. (3) The Tenant further covenants to pay all other sums required by this Lease to be paid by it and agrees that all amounts payable by the Tenant to the Landlord or to any other party pursuant to the provisions of this Lease shall be deemed to be additi onal rent (“Additional Rent”) whether or not specifically designated as such in this Lease. (4) The Landlord and the Tenant agree that it is their mutual intention that this Lease shall be a completely carefree net lease for the Landlord and that the Landlord shall not, during the Term of this Lease, be required to make any payments in respect the Leased Premises other than charges of a kind personal to the Landlord (such as income and estate taxes and mortgage payments) and to effect the said intention of the parties the Tenant promises: (a) to pay as Additional Rent: business taxes, real estate taxes and licenses if applicable; (b) to pay all annual fees in accordance with the Town of Tillsonburg Rates and Fees Bylaw, as amended, as Additional Rent for such expenses incurred by the Landlord for the maintenance and servicing of the Airport; and, (c) to pay the Landlord a one-time capital recovery charge, based on actuals, for the Landlord to construct the associated hangar apron, if applicable; and, (Not Applicable / Existing Hangar) (d) to pay for or provide servicing and maintaining the Leased Premises and the Hangar and shall include the following: (i) all utilities and services including, but not limited to, electricity, water, sewage, natural gas and propane. The Tenant acknowledges that connection fees for utilities and services are entirely at the Tenant’s cost. Further, the Tenant acknowledges that nothing in this Lease, including in this article, is a warranty, covenant or representation by the Landlord to provide connections, utilities or services to the Leased Premises or that the services or utilities can be extended to the Leased Premises; (ii) snow removal and landscaping on the Leased Premises including cutting the grass and weed control of the Leased Premises including the one (1) metre area around the perimeter of the Hangar; (iii) all repair, service and maintenance to the Hangar including reasonable wear and tear; and, (iv) to pay airport infrastructure fees in accordance with the Town of Tillsonburg Rates and Fees Bylaw, as amended. (Not Applicable / Existing Hangar) (5) The Tenant hereby agrees to indemnify and protect the Landlord from any liability accruing to the Landlord in respect of the expenses payable by the Tenant as provided for herein. (i) The Tenant on behalf of itself/himself/herself/themselves, its/his/her/their heirs, executors, administrators and assigns, including its/his/her/their successors in title, hereby covenants and agrees to indemnify and save harmless the Landlord from all actions, cause of actions, suits, claims, demands, damages, losses, costs, charges and expenses of every nature and kind whatsoever by whomsoever make brought or prosecuted, including legal fees, which the Landlord may incur or have to pay, which may arise either directly or indirectly by reason of any activity, actions, performance, negligence or non-performance of the Tenant, its employees, servants, agents, contractors, subcontractors, architect, landscape architect, engineer, surveyor, planner, consultant, project manager or any other person the Tenant is responsible for at law during the duration of this Agreement; in executing the W orks under this Agreement; by reason of installation of any Works required under this Agreement; by the failure of the Tenant to complete the installation of the Works required under this Agreement; because of or on account of the ownership, construction, use existence, or maintenance of the property described in the Agreement; by the exercise of the Tenant’s powers under this Agreement; the construction, maintenance or the improper or inadequate construction, installation and/or maintenance of the Works; any act or omission of said parties while undertaking the Works; or by reason of the neglect of the Tenant or its employees, servants, agents, contractors, Page 74 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 3 subcontractors or others for whom the Tenant is responsible at law. (ii) Without limiting the generality of the foregoing, the Tenant agrees to indemnify and save harmless the Landlord for any issues related to the alteration of any grade or existing level construction, the maintenance or repair of any taxiway within the Airport, or by reason of the failure, neglect or omission of the Tenant to do anything agreed to be done pursuant to this Agreement or by reason of any act or omission of the Tenant, including failure of the Tenant to comply with the Construction Act. (6) Additional Rent shall be payable yearly in advance on the same dates stipulated for payment of Base Rent in Section 3 (2). (7) All payments to be made by the Tenant pursuant to this Lease are to be in Canadian funds by bank draft, money order or cheque payable to the Landlord and shall be delivered to the Landlord at the Landlord’s address for service set out in Section 17 or to such other place as the Landlord may from time to time direct in writing. (8) All Rent in arrears and all sums paid by the Landlord for expenses incurred which should have been paid by the Tenant shall bear interest from the date payment was due, or made, or expense incurred at a rate per annum equal to the prime commercial lending rate of the Landlord’s bank plus two (2) per cent. (9) The Tenant acknowledges and agrees that the payments of Rent and Additional Rent provided for in this Lease shall be made without any deduction for any reason whatsoever unless expressly allowed by the terms of this Lease or agreed to by the Landlord in writing and no partial payment by the Tenant which is accepted by the Landlord shall be considered as other than a partial payment on account of Rent owing and shall not prejudice the Landlord’s right to recover any Rent owing. 4. TERMS AND POSSESSION (1) The Tenant shall have possession of the Leased Premises for a period of twenty years, eight months (the “Term”), commencing on the 30 day of April, 2021 and ending on the 1st day of January, 2042. (2) The Tenant shall pay any and all connection costs for hydro, gas, water, heating, air- conditioning and for all other services and utilities as may be provided to the Leased Premises. The Tenant shall arrange with the local authority for connection of gas, electricity and water in the name of the Tenant. Nothing in this paragraph or lease is a warranty or representation by the Landlord that any utilities or services are extended to the Leased Premises or can be extended to the Leased Premises. (3) Subject to the Landlord’s rights under this Lease, and as long as the Tenant is in good standing, the Landlord covenants that the Tenant shall have quiet enjoyment of the Leased Premises during the Term of this Lease without any interruption or disturbance from the Landlord or any other person or persons lawfully claiming through the Landlord. 5. ABATEMENT OF RENT DURING CONSTRUCTION PERIOD (Not Applicable / Existing Hangar) (1) So long as the Lease has been fully executed, the Tenant has provided the Landlord with proof of the Tenants insurance, and the Tenant has paid the first and last month’s Rent to be held as a deposit, the Landlord shall provide the Tenant with possession of the Leased Premises for a period of up to six (6) months commencing on the Effective Date for the purposes of constructing the Hangar on the Leased Premises. All terms of the Lease shall be applicable from the Effective Date save and except for the payment of Rent, Base Rent and Additional Rent which shall be payable as of the first day of the month of occupancy of the Hangar or the expiry of the six (6) month construction period whichever occurs first. (2) In the event the Tenant has not completed construction of the Hangar within the six (6) month construction period, the Landlord, in its sole and absolute discretion, may e xtend the construction period upon written request of the Tenant or terminate this Lease of which then the Tenant’s deposit provided in Section 5 (1) would be forfeited. 6. ASSIGNMENT (1) The Tenant shall not assign this Lease or sublet the whole or any part of the Leased Premises unless they first obtain the consent of the Landlord in writing, which consent shall not unreasonably be withheld and provided the sub-Tenant and/or assignee signs a written acknowledgement that he/she will be bound by the terms, conditions and rules as provided for in this Lease. The Tenant hereby waives its right to the benefit of any present or future Act of the Legislature of Ontario which would permit the Tenant to assign this Lease or sublet the Leased Premises without the Landlord’s consent. Page 75 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 4 (2) The consent of the Landlord to any assignment or subletting shall not operate as a waiver of the necessity for consent to any subsequent assignment or subletting. (3) Any consent given by the Landlord to any assignment or other disposition of the Tenant’s interest in this Lease or in the Leased Premises shall not relieve the Tenant from its obligations under this lease, including the obligation to pay Rent, Base Rent and Additional Rent as provided for herein. (4) If all or more than 50% of the shares in the Tenant should be sold, assigned or transferred in any manner to a person other than the Tenant, then such transferee shall be bound by the terms and conditions of this Lease. 7. USE (1) During the Term of this Lease the Leased Premises shall not be used for any purpose other than as an aircraft hangar for the storage, repair and operation of airplanes, without the express consent of the Landlord given in writing. The Tenant shall not construct a new hangar or any other building on the Leased Premises except in accordance to the terms of this Lease. (2) The Tenant shall not do or permit to be done at the Leased Premises anything which may: (a) contravene any Airport use, standards, or tenant policy as established by the Landlord from time to time; (b) cause damage to the Leased Premises; (c) cause injury or annoyance to occupants of neighbouring premises; (d) make void or voidable any insurance upon the Leased Premises; (e) constitute a breach of any by-law, status, order or regulation of any municipal, provincial or other competent authority rela ting to the Tillsonburg Airport, the Leased Premises including any septic bed or other property, equipment or appurtenances; and, (f) create an environmental hazard. The Tenant shall not store, allowed to be stored or do anything that creates hazardous waste or toxic material as defined by the Environmental Protection Act or any related or successor legislation. If an order is made by any level of government, including all agencies, crown corporations, municipal bodies, or a court is made as a result of the Tenant’s, or its servants, directors, employees, invitees, customers or agents, actions or inaction under this Article or Article 7(2)(e) above or as a result of the septic bed system used by the Tenant then the Tenant shall satisfy the terms of such order including, but not limited to, paying all costs of the work required and shall indemnify and save the Landlord harmless from any costs, including legal costs, if the Landlord suffers any damages or pays any costs associated with such order. (3) The Tenant shall: (a) not interfere in the use of the Airport or any other use of the Property. The Tenant acknowledges that there are other uses of the Property and it shall not interfere in any other use of the Property. The Tenant further acknowledges that there are other Tenants and users of the Airport and it shall not unreasonably interfere in the use or operation of the Airport in any manner nor shall it do, or allow to be done by any of its invitees, customers, employees or agents, anything that would cause or constitute a nuisance, safety violation or hazard to any other Tenant or any user of the Airport who are acting reasonably; (b) comply with all federal and provincial transportation guidelines, regulations, rules, by-laws, statutes, directives and any other such matter that governs the flight, use or operation of aircraft; (c) not block or obstruct the taxiways or runway and permit the ingress and egress to adjacent hangars, aprons and parking areas; (d) not conduct any major repairs to any motor vehicle of any kind other than an aircraft or any vehicle or machinery ancillary to or connected with aircraft; (e) not perform aircraft repair or maintenance outside of the Leased Premises; (f) not start any aircraft in the Hangar; (g) not store any items on the Leased Premises, surrounding Property or in the Hangar other than aircraft and related aircraft items except as specifically permitted in this agreement; (h) not store any flammable products inside the Hangar or on the Leased Premises with the exception of fuel or necessary aircraft related products; (i) notify the Landlord of any public activities and/or events no less than thirty (30) days before such activity and/or event with approval by the Landlord, in its sole and absolute discretion and such approval not to be unreasonably withheld; (j) comply with all rules and regulations of the Airport and ensure the compliance of all the Tenant’s contractors, employees, agents, customers and invitees; and, (k) provide proof of documentation showing current and proper insurance coverage of any aircraft stored inside the Hangar. (4) The Tenant covenants and agrees that the Landlord may require the adjustment in the Airport leases and as such may demand the Tenant move the Hangar and the location of Page 76 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 5 the Leased Premises. The Landlord shall compensate the Tenant for any expenses in moving the Hangar as agreed between the Parties. (5) The Tenant shall be permitted to construct and maintain one (1) aircraft hangar (the “Works”) on the Leased Premises as follows: (Not Applicable / Existing Hangar) (a) the dimensions of the Existing Hangar is 56 feet by 60 feet for a total floor area of 3360, the half of the hangar for this lease agreement is 28 feet by 60 feet for a total floor area of 1680 square feet, (b) the style of the Hangar shall be either a pole barn style building or a metal frame building; (Not Applicable / Existing Hangar) (c) the siding, siding colour, roof colour, hanger number, and height of the building will be maintained in accordance with current Airport standards as approved by the Landlord; (Not Applicable / Existing Hangar) (d) the hangar apron shall be constructed of a hard surface (i.e. asphalt or concrete) with a minimum 300mm (12”) structural sub-base to the satisfaction of the Landlord; (Not Applicable / Existing Hangar) (e) any construction or renovation shall comply with the construction requirements of the Landlord in its sole and absolute discretion including the construction requirements detailed in Schedule “B” to this Lease and all applicable building code standards and by-laws of the municipality in which the Leased Premises are located and any federal or provincial statutes, rules or regulations; (Not Applicable / Existing Hangar) (f) prior to the commencement of construction, the Tenant shall submit, at its sole cost, a site plan and drainage/grading plan which shall include, but not limited to, the information required in this Article 7(5) of this Lease and the proposed floor elevation, which all shall be subject to the approval of the Landlord; (Not Applicable / Existing Hangar) (g) the Tenant agrees to maintain the lot grading during and after construction and erection of the Hangar and shall comply with the lot grading and drainage requirements of the Landlord at the sole cost of the Tenant; (Not Applicable / Existing Hangar) (h) obtain all necessary permits, as applicable, at the expense of the Tenant; and, (i) the Tenant shall be responsible for and pay the cost of all repair, renovation, and maintenance and nothing in this Lease shall render the Landlord responsible for any such costs. (Not Applicable / Existing Hangar) (6) The Landlord acknowledges that it has granted access to the Tenant for the Tenant to maneuver its aircraft from the Hangar to the adjacent taxiway and runway of the Airport. Further, the Landlord hereby grants to the Tenant, its successors and assigns, free and uninterrupted access in, over, upon, across or through the Hangar apron area, defined as 5 metres wide and 7 metres from the front of the Hangar to the adjacent taxiway G2 to the West. The Landlord grants to the Tenant the right to enter upon the Hangar apron area at all times and to pass and re-pass thereon as may be required by the Tenant, and its licensees, successors, assigns, servants, agents, employees and contractors including all necessary vehicles, equipment and machinery, from time to time, for the purposes of installing, maintaining, replacing, and reconstructing a suitable surface treatment to the Hangar apron as approved by the Landlord in its sole and absolute discretion. Any cost of installing, removing, maintaining, replacing and/or reconstructing the Hangar apron shall be at the sole expense of the Tenant without contribution of the Landlord. The Tenant covenants that it shall not conduct such work to the Hangar apron without first obtaining the consent of the Landlord and such consent shall not be unreasonably withheld. The Tenant hereby releases the Landlord from any and every claim which may or might arise out of the proper exercise by the Tenant of any of the rights granted herein. 8. CONSTRUCTION IMPLEMENTATION SCHEDULE (Not Applicable / Existing Hangar) (1) The Tenant hereby undertakes to complete the work herein in accordance with the timeframes set out in the Schedule “C” (the “Construction Schedule”). The Tenant shall submit a proposed construction schedule which shall be subject to amendments and approval by the Landlord and attached hereto as Schedule “C”. A variance to the timeframes will only be allowed if approved i n writing by the Landlord. Failure to comply may result in the Tenant being in default of this Agreement and the Landlord may seek remedy pursuant to this Agreement. (2) The Landlord approved work shall be carried out by the Tenant in a proper and professional manner so as to do as little damage or disturbance as possible to the Airport lands or the Airport’s infrastructure. The Tenant shall repair and make good all damage and disturbance that may be caused to the Airport lands or the Airport’s infrastructure, to the satisfaction of the Landlord, acting reasonably, at the sole expense of the Tenant. (3) During construction, the works to be carried out by the Tenant, shall be maintained in all respects in a state of good repair by the Tenant, including keeping the site in a sound, neat, safe and clean condition to the satisfaction of the Landlord. If the site is not kept in a state Page 77 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 6 of good repair, upon seven (7) business days written notice to the Tenant (or such shorter time as may be required in the case of an emergency or other urgent matters or as otherwise provided herein), the Landlord shall have the right to do any work necessary to fulfill this condition and all costs incurred by the Landlord shall be recovered from the Tenant and may be recovered as Additional Rent. 9. REPAIR AND MAINTENANCE (1) The Tenant covenants that during the term of this Lease and any renewal thereof , the Tenant shall keep the Leased Premises and Hangar in good condition including all alterations and additions made thereto, and shall, with or without notice, promptly make all needed repairs and all necessary replacements as would a prudent owner. The Tenant shall be responsible for all wear and tear to the Hangar and shall affect all repairs as necessary. Save and accept the Landlord’s, or its agent’s, contractor’s and employee’s negligence or intentional actions, at no time is the Landlord responsible for any repairs or damage to the Hangar or the Leased Premises. (2) The Tenant shall permit the Landlord or a person authorized by the Landlord to enter the Leased Premises including the Hangar to examine the condition thereof and view the state of repair at reasonable times: (a) and if upon such examination repairs are found to be necessary, written notice of the repairs required shall be given to the Tenant by or on behalf of the Landlord and the Tenant shall make the necessary repairs within the time specified in the notice; and, (d) if the Tenant refuses or neglects to keep the Leased Premises including the Hangar in good repair the Landlord may, but shall not be obliged to, make any necessary repairs, and shall be permitted to enter the Leased Premises and Hangar, including by its servants or agents, for the purpose of effecting the repairs without being liable to the Tenant for any loss, damage or inconvenience to the Tenant in connection with the Landlord’s entry and repairs. If the Landlord makes such repairs the Tenant shall pay the cost of them immediately as Additional Rent. (3) Subject to any renewal, upon the expiry of the Term or other determination of this Lease the Tenant agrees to surrender peaceably the Leased Premises to the Landlord in a state of good repair and subject to the conditions contained in this Article 9(3). The Tenant may remove the Hangar provided the Tenant places the Leased Premises back into a similar condition as it was in prior to the construction of the Hangar even if the construction of the Hangar predated this Lease. At any time during the Term, expiry of the Term, if an Act of Default occurs or upon termination of this Lease if the Tenant is in arrears of any rent whatsoever the Tenant agrees that the Landlord shall be permitted to register such lien on the Hangar under the Personal Property Security Act and possession of the Hangar will not be obtained by the Tenant until the lien is paid in full with all accrued interest and legal fees. (4) The Tenant shall immediately give written notice to the Landlord of any substantial damage that occurs to the Leased Premises including the Hangar from any cause. (5) The Tenant hereby agrees that at no time is the Landlord responsible for any damage, including dam age to property or personal injury, as a result of the Tenant’s use of the Leased Premises, Airport or Property and the Tenant hereby waives any cause of action in law, equity or by statute as against the Landlord for any loss. The Tenant acknowledges that it shall not institute any claim or make any demand against the Landlord, or anyone that may claim indemnity from the Landlord, for any personal injury or damage to property, including aircraft, as a result of the Tenant’s use (including storage) of the Hangar, Airport or Property. The Tenant acknowledges that the use of the Airport, Hangar or Property is at its own risk. (6) The Tenant hereby forever releases the Landlord from any and all claims in law, equity or by statute as a result of any intention al or negligent acts of any other Tenant and/or user of the Property and/or Airport, or their agents, contractors, invitees, customers or employees that may cause death, personal injury or property loss to the Tenant or its agents, customers, employees, contractors or invitees. 10. ALTERATIONS AND ADDITIONS (1) If the Tenant, during the Term of this Lease or any renewal of the Lease, desires to make any alterations or additions to the Leased Premises, including but not limited to; erecting partitions, attaching equipment, and installing necessary furnishings or additional equipment of the Tenant’s business but not including erecting a new hangar or any other accessory building, the Tenant may do so at his own expense provided that any and all alterations or additions to the Leased Premises made by the Tenant must comply with any requirement of the Landlord including Schedule “B” and all applicable building code standards and by-laws of the municipality in which the Leased Premises are located and Page 78 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 7 any federal or provincial statutes, rules or regulations. (2) The Tenant shall pay Rent at the rate prescribed in paragraph 3 above based upon the area of the Hangar subsequent to any addition or alteration. (3) The Tenant shall be responsible for and pay the cost of any alterations, additions, installations or improvements that any governing authority, municipal, provincial or otherwise, may require to be made in, on or to the Leased Premises. (3) No sign, advertisement or notice shall be inscribed, painted or affixed by the Tenant, or any other person on the Tenant’s behalf, on any part of the outside of the Hangar unless it is located along the facade of the Hangar’s front and provided it complies with the Landlord’s signage requirements and with all applicable laws, by-laws and regulations and is in good workmanlike manner. No other sign, advertisement or notice shall be erected unless it has been approved in every respect by the Landlord in writing. (4) The Tenant agrees, at its own expense and by whatever means may be necessary, immediately to obtain the release or discharge of any encumbrance that may be registered against the Landlord’s property in connection with any additions or alterations to the Leased Premises made by the Tenant or in connection with any other activity of the Tenant. (5) The Tenant shall, at his own expense, if requested by the Landlord, remove any or all additions or improvements made by the Tenant to the Leased Premises during the Term and shall repair all damage caused by the installation or the removal or both. (6) The Tenant shall not bring onto the Leased Premises or any part of the Leased Premises any machinery, equipment or any other thing that might in the opinion of the Landlord, by reason of its hazardous nature, weight, size or use, damage the Leased Premises or the Property. If the Leased Premises or Property are damaged the Tenant shall restore the Leased Premises or Property immediately or pay to the Landlord the cost of restoring the Leased Premises or Property. 11. INSURANCE (1) The Tenant covenants to keep the Landlord indemnified and save harmless the Landlord at all times against all claims, suits, procedures, actions and demands (including but not limited to all legal costs) whatsoever and howsoever arising by any person, entity or corporation whether in respect of damage, loss or death to person or property, arising out of or occasioned by the maintenance, use or occupancy of the Leased Premises, Airport and Property or the subletting or assignment of same or any part thereof. And the Tenant further covenants to indemnify the Landlord with respect to any encumbrance on or damage to the Leased Premises occasioned by or arising from the act, default, or negligence of the Tenant, its officers, agents, servants, employees, contractors, customers, invitees or licensees. The Tenant agrees that the foregoing indemnity shall survive the termination of this Lease notwithstanding any provisions of the Lease to the contrary. (2) The Tenant shall carry insurance in its own name insuring against the risk of damage to the Tenant’s property and the Hangar within the Leased Premises caused by fire or other perils. (3) The Tenant shall carry such general liability and property damage insurance including personal injury and property damage coverage with at least two million ($2,000,000.00) dollars in limits of each occurrence with respect to the Leased Premises and Tenant’s occupation of the Leased Premises. Such insurance policy shall contain no airport site exclusion. (4) All insurance policies in this Section 11 including this Article shall name the Landlord, where applicable, as an insured and loss payee and the policy shall include a cross -liability endorsement. All policies shall be applicable as primary insurance, taking precedence over any other insurance protection owned by the Landlord. The Tenant sha ll insure that each insurance policy contains a waiver of subrogation rights which the insurer may have against the Landlord and the persons for whom is legally responsible. (5) Upon demand of the Landlord, the Tenant shall provide a copy of any and all policies of insurance including renewals and terms of such policies to the Landlord. If any policy of insurance is canceled the Tenant shall inform the Landlord without delay of such cancellation and shall obtain a replacement policy without delay on the same terms as set out in this Section 11. Under no circumstances shall delivery of and review by the Landlord of any certificate set forth or any insurance policy or any other proof of existence of the insurance coverage release the Tenant of its obligations to take out insurance in strict compliance with the present provisions or constitute a waiver in favour of the Tenant of any of the Landlord's rights. 12. ACTS OF DEFAULT AND LANDLORD’S REMEDIES Page 79 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 8 (1) An Act of Default has occurred when: (a) the Tenant has failed to pay Rent for a period of 45 consecutive days from the date that payment was required to be paid to the Landlord; (b) the Tenant has breached its covenants or failed to perform any of its obligations under this Lease for a period of 45 consecutive days and: (i) the Landlord has given ten (10) days’ notice specifying the nature of the default and the steps required to correct it; and, (ii) the Tenant has failed to correct the default as required by the notice; (c) the Tenant has: (i) become bankrupt or insolvent or made an assignment for the benefit of creditors; (ii) had its property seized or attached in satisfaction of a judgment; (iii) had a receiver appointed; (iv) committed any act or neglected to do anything with the result that a Construction Lien or other encumbrance is registered against the Landlord’s property; or, (v) taken action with a view to dissolution or liquidation; (d) any required insurance policy is cancelled or not renewed by reason of the use or occupation of the Leased Premises, or by reason of non-payment of premiums; (e) the Leased Premises: (i) has become vacant or remain unoccupied for a period of 180 consecutive days. For the purposes of this section the Parties agree that the terms “vacant and “unoccupied” shall mean no use or utilization of the Hangar and/or no storage of necessary tools, implements or equipment in the Hangar; or, (ii) is used by any other person or persons, or for any other purpose than as provided for in this Lease without the written consent of the Landlord; (f) failure to install or remedy faulty work, if, in the opinion of the Landlord the Tenant: i. is not proceeding or causing to be proceeded the works required in connection with this Agreement within thirty (30) days of notice given; or ii. is improperly performing the works; or iii. has neglected or abandoned before the completion, or unreasonably delayed the same, so that conditions of this Agreement are being violated or carelessly executed or being carried out in bad faith; or iv. has neglected or refused to renew or again perform such work as may be rejected by the Landlord as defective or unsuitable; or v. has defaulted performance of the terms and conditions of this agreement; then, in any such instance, the Landlord shall promptly notify the Tenant, in writing, of such default or neglect and if such notification be without effect within ten (10) business days after such notice, the Landlord shall thereupon have full authority and power to purchase materials and employ workers and machines for the proper completion of the works at the cost and expense of the Tenant. The cost of such work shall be calculated by the Landlord whose decision shall be final and be paid to the Landlord by the Tenant on demand. Should payment not be received following the issuance of an invoice from the Landlord, the Landlord shall collect same as Additional Rent in addition to any other remedy available to the Landlord. It is further understood and agreed between the parties hereto that such entry upon the Premise shall be as an agent for the Tenant and shall not be deemed, for any purposes whatsoever, as an acceptance of the works by the Landlord. (2) When an Act of Default on the part of the Tenant has occurred: (a) the current year’s Rent together with the next years’ Rent shall become due and payable immediately; and, (b) the Landlord shall have the right to terminate this Lease and to re-enter the Leased Premises and deal with them as it may choose. (3) If, because an Act of Default has occurred, the Landlord exercises its right to terminate this Lease and re-enter the Leased Premises prior to the end of the Term, the Tenant shall nevertheless be liable for payment of Rent and all other amounts payable by the Tenant in accordance with the provisions of the Lease until the Landlord has re-let the Leased Premises or otherwise dealt with the Leased Premises in such manner that the cessation of payments by the Tenant will not result in loss to the Landlord and the Tenant agrees to Page 80 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 9 be liable to the Landlord, until the end of the Term of this Lease for payment of any difference between the amount of Rent hereby agreed to be paid for the Term hereby granted and the Rent any new Tenant pays to the Landlord. (4) If when an Act of Default has occurred, the Landlord chooses not to terminate the Lease and re-enter the Leased Premises, the Landlord shall have the right to take any and all necessary steps to rectify any or all Acts of Default of the Tenant and to charge the costs of such rectification to the Tenant and to recover the costs as Rent. (5) If, when an Act of Default has occurred, the Landlord chooses to waive its right to exercise the remedies available to it under this Lease or at law the waiver shall not constitute condonation of the Act of Default, nor shall the waiver be pleaded as an estoppel against the Landlord to prevent his exercising his remedies with respect to a subsequent Act of Default. No covenant, term, or condition of this Lease shall be deemed to have been waived by the Landlord unless the waiver is in writing and signed by the Landlord. 13. TERMINATION UPON NOTICE AND AT END OF TERM (1) If the Leased Premises and/or Property are subject to an Agreement of Purchase and Sale: (a) The Landlord shall have the right to terminate this Lease, notwithstanding that the Term has not expired, by giving ninety (90) days’ notice (the “Notice”) in writing to the Tenant and, at the Tenant’s option, the Landlord shall pay to the Tenant the fair market value for the Hangar or the Tenant agrees to remove the Hangar and comply with Articles 9(3) and 10(5) of this Lease. Upon expiry of the Notice the Tenant shall provide vacant possession of the Leased Premises provided the Landlord pays to the Tenant a bonus of $500.00. For the purposes of this Article and Articles 13(3) and 13(4) fair market value shall be determined as of the date of the issuing of the Notice. (2) If the Tenant remains in possession of the Leased Premises after termination of this Lease as aforesaid and if the Landlord then accepts Rent for the Leased Premises from the Tenant, it is agreed that such overholding by the Tenant and acceptance of Rent by the Landlord shall create a monthly tenancy only but the tenancy shall remain subject to all the terms and conditions of this Lease except those regarding the Term. The Parties agree that if the Term is not renewed then upon expiry of the Term or if the Tenant is an overholding tenant then either Party may terminate the lease upon sixty (60) days written notice to the other party and the Tenant shall comply with Articles 9(3) and 10(5) of this Lease. (3) Other than a termination of this Lease in accordance with Article 13(1) of this Lease, the Landlord shall, at any time and notwithstanding that the Term has not expired, have the unqualified right to terminate this Lease upon one year’s prior written notification (the “Notice”) if the Leased Premises are required for any reason or purpose of the Landlord in which event the Landlord shall pay to the Tenant the fair market value for the Hangar, if erected by the Tenant, unless the Tenant agrees to remove the Hangar and comply with Articles 6(3) and 7(5) of this Lease , and the Tenant shall provide such vacant possession upon the expiry of the Notice provided the Landlord pays to the Tenant a bonus of $500.00. (4) The Parties agree that it is their mutual intention that at the end of the Term of this Lease the lease shall be renewed upon such conditions and terms as agreed between the Parties. The Parties further agree that although it is their mutual intention to renew the lease nevertheless either party may decide not to renew the lease for any reason. The Parties acknowledge that upon such renewal all terms and conditions shall be negotiated between the Parties. If the Parties do not renew this Lease then the Parties agree that the Landlord shall be granted the Right of First Refusal to purchase the Hangar (the “Option”). The Tenant covenants that it will not sell the Hangar, or any part thereof, to any person, firm or corporation, without first providing the Landlord to exercise its Option as set out in the terms of this paragraph. Upon the Tenant receiving a bona fide offer in writing (the “Third Party Offer”) the Tenant shall deliver to the Airport Office, 244411 Airport Road, Township of South-West Oxford, Ontario, a copy of the Third Party Offer and the Landlord shall have twenty business days (the “Notice Period”) from the date of receipt of the Third Party Offer to exercise the Option to match the Third Party Offer. If the Landlord exercises its option in the Notice Period then it must inform the Tenant at the Property in writing that it will purchase the Tenant’s interest in the Hangar on the same terms and conditions, or more favourable terms to the Tenant at the Landlord’s discretion, as contained in the Third Party Offer (the “Landlord’s Offer”). If the Landlord exercises its Option in the Notice Period then the Tenant must sell the Hangar to the Landlord upon the terms and conditions as contained in the Landlord’s Offer. If the Landlord does not exercise its option in the Notice Period then the Tenant shall be at liberty to accept the Third Party Offer provided that there are no modifications to the Third Party Offer. If any modifications are made to the Third Party Offer then the Landlord shall be permitted to exercise its option pursuant to the terms of this paragraph. For the purpose of this paragraph, if the Tenant is a corporation, the word “sell”, in addition to its ordinary meaning, shall be deemed to mean and include a sale or disposition of the corporate shareholding of the Tenant by the person or persons who, at the date of the commencement of the lease holds or hold a majority of the corporate shares. Page 81 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 10 Subject to the conditions contained in Article 4 of this Agreement, the Parties agree that prior to the expiry of this Lease if the Tenant seeks to assign this Lease to a third party then the Landlord will agree to examine a proposal to extend the term of this Lease however nothing in this paragraph shall require the Landlord to accept any amendment of the term or new term. (5) G9 hangar is jointly owned by two parties, each party has the first right of refusal of sale of their half of the hangar to the other party prior to the Town being able to exercise it’s right to refuse the sale to another party. The Town reserves the right to refuse either party if said party is in legal proceeding against the Town. 14. ACKNOWLEDGMENT BY TENANT (1) The Tenant agrees that it will at any time or times during the Term, upon being given at least forty-eight (48) hours prior written notice, execute and deliver to the Landlord a statement in writing certifying: (a) that this Lease is unmodified and is in full force and effect (or if modified stating the modifications and confirming that the Lease is in full force and effect as modified); (b) the amount of Rent being paid; (c) the dates to which Rent has been paid; (d) other charges payable under this Lease which have been paid; (e) particulars of any prepayment of Rent or security deposits; and, (f) particulars of any sub tenancies. 15. SUBORDINATION AND POSTPONEMENT (1) This Lease and all the rights of the Tenant under this Lease are subject and subordinate to any and all charges against the land, buildings or improvements of which the Leased Premises form part, whether the charge is in the nature of a mortgage, trust deed, lien or any other form of charge arising from the financing or re-financing, including extensions or renewals, of the Landlord’s interest in the Property. (2) Upon the request of the Landlord the Tenant will execute any form required to subordinate this Lease and the Tenant’s rights to any such charge, and will, if required, attorn to the holder of the charge. (3) No subordination by the Tenant shall have the effect of permitting the holder of any charge to disturb the occupation and possession of the Leased Premises by the Tenant as long as the Tenant performs his obligations under this Lease. 16. RULES AND REGULATIONS The Tenant agrees on behalf of itself and all persons entering the Leased Premises with the Tenant’s authority or permission to abide by such reasonable rules, standards and regulations of the Airport and/or Property which shall form part of this Lease and as the Landlord may make and/or amend from time to time. 17. NOTICE (1) Any notice required or permitted to be given by one party to the other pursuant to the terms of this Lease may be given To the Landlord at: Tillsonburg Regional Airport Attn: Airport Administrator 244411 Airport Rd South-West Oxford, On N4G 4H1 Fax: 519-842-3445 To the Tenant at the Leased Premises or at: Euclid Benoit 3525 Mossley Drive Mossley, Ontario N0L 1V0 (2) The above addresses may be changed at any time by giving ten (10) days written notice. (3) Any notice given by one party to the other in accordance with the provisions of this Lease shall be deemed conclusively to have been received on the date delivered if the notice is served personally or seventy-two (72) hours after mailing if the notice is mailed. Page 82 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 11 18. REGISTRATION The Tenant shall not at any time register notice of or a copy of this Lease on title to the Property of which the Leased Premises form part without consent of the Landlord. 19. INTERPRETATION (1) The words importing the singular number only shall include the plural, and vice versa, and words importing the masculine, feminine or neutral gender shall include the other genders, and words importing persons shall include firms and corporations and vice versa. (2) Unless the context otherwise requires, the word “Landlord” and the word “Tenant” wherever used herein shall be construed to include the executors, administrators, successors and assigns of the Landlord and Tenant, respectively. (3) When there are two or more Tenants bound by the same covenants herein contained, their obligations shall be joint and several. 20. MISCELLANEOUS (1) Unless otherwise stipulated, parking, if applicable, in the common parking area shall be in common and unreserved. (2) If a dispute should arise between the Parties in the interpretation of this Agreement then both parties agree that such dispute shall be referred to binding arbitration and be bound by the result of such arbitration. The terms, form and procedure of the arbitration shall be in accordance with the Arbitration Act or any successor legislation. The parties further agree that the arbitrator shall be jointly chosen and the arbitrator shall have the ability to award costs of the arbitration. This clause shall not apply if the Tenant is in default under the terms of the Lease which include but are not limited to: (a) its obligations to pay Rent, Base Rent and/or Additional Rent; (b) non-repair or maintenance of the Leased Premises; (c) subleased the Leased Premises without the authorization of the Landlord, acting reasonably; (d) changed its use of the Leased Premises; or, (e) used the Leased Premises in any manner contrary to Article 7. (3) In the event that any clause herein should be unenforceable or be declared invalid for any reason whatsoever, such enforce ability or invalidity shall not affect the enforce ability or validity of the remaining portions of the covenants and such unenforceable or invalid portions shall be severable from the remainder of this Lease. (4) This Lease shall be construed and enforced in accordance with the laws of the Province of Ontario. Any proceeding shall be brought at the City of Woodstock in the County of Oxford, Ontario. (5) The Tenant hereby agrees that it has had an opportunity to review the terms of this Lease and seek independent legal advice. (6) Should any provision of this Lease require judicial interpretation or arbitration, it is agreed that the court or arbitrator interpreting or construing the same shall not apply a presumption that the terms thereof shall be more strictly construed against one party by reason of th e rule of construction that a document is to be construed more strictly against the party who itself or through its agent prepared the same, it be agreed that both parties have participated in the preparation hereof. (7) This Lease and its schedules constitutes the entire agreement between the Parties hereto pertaining to the subject matter hereof and supersedes all prior and contemporaneous agreements, understandings, negotiations and discussions, whether oral or written, of the parties and there are no warranties, representations or other agreements between the Parties in connection with the subject matter hereof, except as specifically set forth herein. No supplement, modification, waiver or termination of this Lease shall be binding unless executed in writing by the Parties. (8) The Tenant agrees that it has not relied upon any representation, promise or warranty of the Landlord with respect to the condition of the Leased Premises, Hangar or any representation or promise of the Landlord to repair, renovate or otherwise alter the Leased Premises in any manner prior to or after commencement of the Term. The Parties agree that the Leased Premises are being offered to the Tenant in an “as is” condition. The Tenant shall not call on or demand the Landlord to perform any repairs or renovations prior to or after it obtains possession. The Tenant acknowledges that it has performed its own due diligence in establishing the state of repair of the Leased Premises including the Hangar. Page 83 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 12 In Witness of the foregoing covenants the Landlord and the Tenant have executed this Lease. __________________________________ Landlord Stephen Molnar, Mayor The Corporation of the Town of Tillsonburg __________________________________ Landlord Michelle Smibert, Clerk The Corporation of the Town of Tillsonburg We have authority to bind the Corporation. Per: ____________________ _________________________ Witness Name: Euclid Benoit Tenant Page 84 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 13 Schedule “A” THE “LEASED PREMISES” Taxiway G1/G2 Hangar G9 West Half of Hangar 28 x 60 ft Page 85 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 14 SCHEDULE “B” (Not Applicable / Existing Hangar) CONSTRUCTION REQUIREMENTS 1. The Tenant shall construct an airplane hangar building with approximate dimensions of XX feet wide by XX feet deep compromising a floor area of XXXX square feet. 2. The Tenant covenants and agrees, notwithstanding any other statute, regulation or provision regarding the federal government’s authority to regulate the aeronautics industry, to: (a) obtain from the Landlord an Airport Development Permit prior to construction; (b) to pay to the Landlord a flat fee of $600 to administer the Airport Development Permit; (c) to construct the airplane hangar, and any other building that may be permitted, to the standard of the Ontario Building Code, O. Reg. 332/12 as amended or replaced from time to time (the “OBC”) and to the satisfaction of the Landlord in its sole and absolute discretion, and; (d) to ensure all persons retained by the Tenant have appropriate health and safety policies, insurance and WSIB coverage. 3. The Tenant shall provide to the Landlord the following in order to obtain an Airport Development Permit and approval for use of the Leased Premises and hangar thereon: (a) prior to construction, submission of: 1. all applicable fees; 2. 2 copies of a site plan showing the proposed location of the hangar and dimensions to the adjacent buildings; 3. 2 copies of construction drawings (foundation plan, floor plan, building elevations, diaphragm/truss bracing, anchorage, construction details/finishes, etc.) stamped by a professional engineer; 4. 2 copies of the truss drawings stamped by a professional engineer; and 5. Commitment to General Reviews form completed by both the building owner and professional engineer; (b) prior to occupancy and acceptance: 1. inspection of the construction and acceptance of same by the Landlord in in respect of compliance with the OBC, the terms of this Airport Lease and all policies and rules regulating the Tillsonburg Airport; and 2. submission of all site reports (footing inspection, framing inspection, occupancy inspection) and an occupancy report from the professional engineer; and, (c) final approval: 1. provide a final report (verifying outstanding items not completed at occupancy have been completed/corrected) from the professional engineer if applicable. 4. The parties covenant and agree that the Tenant is not required to obtain a building permit from the Township of Southwest Oxford for construction of buildings on the Tillsonburg Airport. 5. The Tenant covenants and agrees that failure to comply with the provisions of this schedule shall be an event of default of this Lease and in the absence of remedying such default, shall permit the Landlord to terminate this Lease and seek any and all other recourse against the tenant in such instance. Page 86 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 15 SCHEDULE “C” (Not Applicable / Existing Hangar) CONSTRUCTION SCHEDULE Provided by the Tenant prior to execution of the lease agreement and approved by the Landlord. Preliminary Construction Schedule: Start of Construction Insert date End of Construction Insert date Note: Tenant has expressed that a detailed construction schedule will be provided once contractor and Tenant have finalized. Page 87 of 256 Landlord’s Initials __________ Tenant’s Initials __________ TILLSONBURG AIRPORT HANGAR LEASE This Lease is made this 30 day of April, 2021 (the “Effective Date”). B E T W E E N THE CORPORATION OF THE TOWN OF TILLSONBURG (the “Landlord”) - and – 1467246 Ontario Inc. 244779 Milldale Road, Otterville, Ontario N0J 1R0 (the “Tenant”) WHEREAS the Landlord owns all and singular that certain parcel or tract of land and premises situated, lying and being in the Township of South West Oxford in the County of Oxford, being compromised of: PT LT 3-4 CON 7 DEREHAM; LT 5-6 CON 7 DEREHAM; PT LT 7 CON 7 DEREHAM PT 1, 2, 3, 4 & 5, 41R2877, PT 2 & 3, 41R2714, PT 1, 2 & 3, 41R4343, PT 1, 2, 3 & 4, 41R4545; S/T 406551; SOUTH-WEST OXFORD; PIN: 00016-0089 (LT); LRO #41; municipal address being 244411 Airport Road, Tillsonburg, ON N4G 4H1; referred to herein as the “Property”, the “Airport” or the “Tillsonburg Airport” upon which is located the Tillsonburg Airport which is owned and operated by the Landlord. In consideration of the covenants, agreements, warranties and payments herein set forth and provided for, the sum of two dollars ($2.00) paid by each party to the other and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties hereto respectively covenant and agree as follows: 1. LEASED PREMISES (1) The Leased Premises shall consist of a portion of the Tillsonburg Airport identified as 50% of Hangar G9 (56 ft by 60 ft) on the plan attached as Sched ule “A”, being the area upon which the Tenant’s airplane hangar shall be located plus one (1) metre of land extended beyond the exterior perimeter of the Tenant’s airplane hangar building (the “Leased Premises”). (2) Notwithstanding the above, the Landlord reserves the right to assign an alternate lot to the Tenant on thirty (30) days’ written notice at any time prior to the commencement of construction of the Tenant’s hangar. (3) The Landlord covenants and agrees to the construction by the Tenant of an airpl ane hangar on the Leased Premises being a Hangar, (the “Hangar”) subject to the provisions of Schedule “B”. The Tenant shall complete the construction of the Hangar at its sole cost and expense. (4) The Landlord covenants and agrees that the Hangar on the L eased Premises is not owned by the Landlord but is owned by the Tenant. 2. GRANT OF LEASE (1) The Landlord leases the Leased Premises to the Tenant: (a) at the Rent set forth in Section 3; (b) for the Term set forth in Section 4; and (c) subject to the conditions and in accordance with the covenants, obligations and agreements herein including schedules. (2) The Landlord covenants that it has the right to grant the leasehold interest in the Leased Premises free from encumbrances except as disclosed on title. Page 88 of 256 2 Landlord’s Initials __________ Tenant’s Initials __________ 3. RENT (1) Rent means the amounts payable by the Tenant to the Landlord pursuant to this Section and includes Additional Rent. (2) The Tenant covenants to pay to the Landlord, during the Term of this Lease rent as follows (the “Base Rent”): for every year of the Term, the total sum of $504.00 per annum (based upon $0.30 per square foot of Hangar building area) plus H.S.T., and any other applicable services tax which may accrue on account of the Landlord collecting rent, payable yearly in advance. Base Rent shall commence on the first day of the Term. If the first day of the Term is not January 1st then Base Rent for the first year of the term shall be prorated until December 31 of the initial year. Base Rent shall then be due on 1st day of the year commencing on January 1st, 2022 and every 1st day of January thereafter. The Parties further agree that the Landlord may, in their sole and absolute discretion, increase the Base Rent annually in accordance with the Town of Tillsonburg Rates and Fees Bylaw, as amended. If the square footage of the Hangar on the Leased Premises expands then the Base Rent shall accordingly increase in proportion to the additional square footage. Note the existing Hangar is 56 ft. by 60 ft. shared by two parties equally. (3) The Tenant further covenants to pay all other sums required by this Lease to be paid by it and agrees that all amounts payable by the Tenant to the Landlord or to any other party pursuant to the provisions of this Lease shall be deemed to be additional rent (“Additional Rent”) whether or not specifically designated as such in this Lease. (4) The Landlord and the Tenant agree that it is their mutual intention that this Lease shall be a completely carefree net lease for the Landlord and that the Landlord shall not, during the Term of this Lease, be required to make any payments in respect the Leased Premises other than charges of a kind personal to the Landlord (such as income and estate taxes and mortgage payments) and to effect the said intention of the parties the Tenant promises: (a) to pay as Additional Rent: business taxes, real estate taxes and licenses if applicable; (b) to pay all annual fees in accordance with the Town of Tillsonburg Rates and Fees Bylaw, as amended, as Additional R ent for such expenses incurred by the Landlord for the maintenance and servicing of the Airport; and, (c) to pay the Landlord a one-time capital recovery charge, based on actuals, for the Landlord to construct the associated hangar apron, if applicable; and, (Not Applicable / Existing Hangar) (d) to pay for or provide servicing and maintaining the Leased Premises and the Hangar and shall include the following: (i) all utilities and services including, but not limited to, electricity, water, sewage, natural gas and propane. The Tenant acknowledges that connection fees for utilities and services are entirely at the Tenant’s cost. Further, the Tenant acknowledges that nothing in this Lease, including in this article, is a warranty, covenant or representation by the Landlord to provide connections, utilities or services to the Leased Premises or that the services or utilities can be extended to the Leased Premises; (ii) snow removal and landscaping on the Leased Premises including cutting the grass and weed control of the Leased Premises including the one (1) metre area around the perimeter of the Hangar; (iii) all repair, service and maintenance to the Hangar including reasonable wear and tear; and, (iv) to pay airport infrastructure fees in accordance with the Town of Tillsonburg Rates and Fees Bylaw, as amended. (Not Applicable / Existing Hangar) (5) The Tenant hereby agrees to indemnify and protect the Landlord from any liability accruing to the Landlord in respect of the expenses payable by the Tenant as provided for herein. (i) The Tenant on behalf of itself/himself/herself/themselves, its/his/her/their heirs, executors, administrators and assigns, including its/his/her/their successors in title, hereby covenants and agrees to indemnify and save harmless the Landlord from all actions, cause of actions, suits, claims, demands, damages, losses, costs, charges and expenses of every nature and kind whatsoever by whomsoever make brought or prosecuted, including legal fees, which the Landlord may incur or have to pay, which may arise either directly or indirectly by reason of any activity, actions, performance, negligence or non-performance of the Tenant, its employees, servants, agents, contractors, subcontractors, architect, landscape architect, engineer, surveyor, planner, consultant, project manager or any other person the Tenant is responsible for at law during the duration of this Agreement; in executing the Page 89 of 256 3 Landlord’s Initials __________ Tenant’s Initials __________ Works under this Agreement; by reason of installation of any Works required under this Agreement; by the failure of the Tenant to complete the installation of the Works required under this Agreement; because of or on account of the ownership, construction, use existence, or maintenance of the property described in the Agreement; by the exercise of the Tenant’s powers under this Agreement; the construction, maintenance or the improper or inadequate construction, installation and/or maintenance of the Works; any act or omission of said parties while undertaking the Works; or by reason of the neglect of the Tenant or its employees, servants, agents, contractors, subcontractors or others for whom the Tenant is responsible at law. (ii) Without limiting the generality of the foregoing, the Tenant agrees to indemnify and save harmless the Landlord for any issues related to the alteration of any grade or existing level construction, the maintenance or repair of any taxiway within the Airport, or by reason of the failure, neglect or omission of the Tenant to do anything agreed to be done pursuant to this Agreement or by reason of any act or omission of the Tenant, including failure of the Tenant to comply with the Construction Act. (6) Additional Rent shall be payable yearly in advance on the same dates stipulated for payment of Base Rent in Section 3 (2). (7) All payments to be made by the Tenant pursuant to this Lease are to be in Canadian funds by bank draft, money order or cheque payable to the Landlord and shall be delivered to the Landlord at the Landlord’s address for service set out in Section 17 or to such other place as the Landlord may from time to time direct in writing. (8) All Rent in arrears and all sums paid by the Landlord for expenses incurred which should have been paid by the Tenant shall bear interest from the date payment was due, or made, or expense incurred at a rate per annum equal to the prime commercial lending rate of the Landlord’s bank plus two (2) per cent. (9) The Tenant acknowledges and agrees that the payments of Rent and Additional Rent provided for in this Lease shall be made without any deduction for any reason whatsoever unless expressly allowed by the terms of this Lease or agreed to by the Landlord in writing and no partial payment by the Tenant which is accepted by the Landlord shall be considered as other than a partial payment on account of Rent owing a nd shall not prejudice the Landlord’s right to recover any Rent owing. 4. TERMS AND POSSESSION (1) The Tenant shall have possession of the Leased Premises for a period of twenty years, eight months (the “Term”), commencing on the 30 day of April, 2021 and ending on the 1st day of January, 2042. (2) The Tenant shall pay any and all connection costs for hydro, gas, water, heating, air conditioning and for all other services and utilities as may be provided to the Leased Premises. The Tenant shall arrange with the local authority for connection of gas, electricity and water in the name of the Tenant. Nothing in this paragraph or lease is a warranty or representation by the Landlord that any utilities or services are extended to the Leased Premises or can be extended to the Leased Premises. (3) Subject to the Landlord’s rights under this Lease, and as long as the Tenant is in good standing, the Landlord covenants that the Tenant shall have quiet enjoyment of the Leased Premises during the Term of this Lease without any interruption or disturbance from the Landlord or any other person or persons lawfully claiming through the Landlord. 5. ABATEMENT OF RENT DURING CONSTRUCTION PERIOD (Not Applicable / Existing Hangar) (1) So long as the Lease has been fully executed, the Tenant has provided the Landlord with proof of the Tenants insurance, and the Tenant has paid the first and last month’s R ent to be held as a deposit, the Landlord shall provide the Tenant with possession of the Leased Premises for a period of up to six (6) months commencing on the Effective Date for the purposes of constructing the Hangar on the Leased Premises. All terms of the Lease shall be applicable from the Effective Date save and except for the payment of Rent, Base Rent and Additional Rent which shall be payable as of the first day of the month of occupancy of the Hangar or the expiry of the six (6) month construction period whichever occurs first. (2) In the event the Tenant has not completed construction of the Hangar within the six (6) month construction period, the Landlord, in its sole and absolute discretion, may extend the construction period upon written request of the Tenant or terminate this Lease of which then the Tenant’s deposit provided in Section 5 (1) would be forfeited. Page 90 of 256 4 Landlord’s Initials __________ Tenant’s Initials __________ 6. ASSIGNMENT (1) The Tenant shall not assign this Lease or sublet the whole or any part of the Leased Premises unless they first obtain the consent of the Landlord in writing, which consent shall not unreasonably be withheld and provided the sub-Tenant and/or assignee signs a written acknowledgement that he/she will be bound by the terms, conditions and rules as provided for in this Lease. The Tenant hereby waives its right to the benefit of any present or future Act of the Legislature of Ontario which would permit the Tenant to assign this Lease or sublet the Leased Premises without the Landlord’s consent. (2) The consent of the Landlord to any assignment or subletting shall not operate as a waiver of the necessity for consent to any subsequent assignment or subletting. (3) Any consent given by the Landlord to any assignment or other disposition of the Tenant’s interest in this Lease or in the Leased Premises shall not relieve the Tenant from its obligations under this lease, including the obligation to pay Rent, Base Rent and Additional Rent as provided for herein. (4) If all or more than 50% of the shares in the Tenant should be sold, assigned or transferred in any manner to a person other than the Tenant, then such transferee shall be bound by the terms and conditions of this Lease. 7. USE (1) During the Term of this Lease the Leased Premises shall not be used for any purpose other than as an aircraft hangar for the storage, repair and operation of airplanes, without the express consent of the Landlord given in writing. The Tenant shall not con struct a new hangar or any other building on the Leased Premises except in accordance to the terms of this Lease. (2) The Tenant shall not do or permit to be done at the Leased Premises anything which may: (a) contravene any Airport use, standards, or tenant policy as established by the Landlord from time to time; (b) cause damage to the Leased Premises; (c) cause injury or annoyance to occupants of neighbouring premises; (d) make void or voidable any insurance upon the Leased Premises; (e) constitute a breach of any by-law, status, order or regulation of any municipal, provincial or other competent authority relating to the Tillsonburg Airport, the Leased Premises including any septic bed or other property, equipment or appurtenances; and, (f) create an environmental hazard. The Tenant shall not store, allowed to be stored or do anything that creates hazardous waste or toxic material as defined by the Environmental Protection Act or any related or successor legislation. If an order is made by any level of government, including all agencies, crown corporations, municipal bodies, or a court is made as a result of the Tenant’s, or its servants, directors, employees, invitees, customers or agents, actions or inaction under this Article or Article 7(2)(e) above or as a result of the septic bed system used by the Tenant then the Tenant shall satisfy the terms of such order including, but not limited to, paying all costs of the work required and shall indemnify and save the Landlord harmless from any costs, including legal costs, if the Landlord suffers any damages or pays any costs associated with such order. (3) The Tenant shall: (a) not interfere in the use of the Airport or any other use of the Property. The Tenant acknowledges that there are other uses of the Property and it shall not interfere in any other use of the Property. The Tenant further acknowledges that there are other Tenants and users of the Airport and it shall not unreasonably interfere in the use or operation of the Airport in any manner nor shall it do, or allow to be done by any of its invitees, customers, employees or agents, anything that would cause or constitute a nuisance, safety violation or hazard to any other Tenant or any user of the Airport who are acting reasonably; (b) comply with all federal and provincial transportation guidelines, regulations, rules, by-laws, statutes, directives and any other such matter that governs the flight, use or operation of aircraft; (c) not block or obstruct the taxiways or runway and permit the ingress and egress to adjacent hangars, aprons and parking areas; (d) not conduct any major repairs to any motor vehicle of any kind other than an aircraft or any vehicle or machinery ancillary to or connected with aircraft; (e) not perform aircraft repair or maintenance outside of the Leased Premises; (f) not start any aircraft in the Hangar; Page 91 of 256 5 Landlord’s Initials __________ Tenant’s Initials __________ (g) not store any items on the Leased Premises, surrounding Property or in the Hangar other than aircraft and related aircraft items except as specifically permitted in this agreement; (h) not store any flammable products inside the Hangar or on the Leased Premises with the exception of fuel or necessary aircraft related products; (i) notify the Landlord of any public activities and/or events no less than thirty (30) days before such activity and/or event with approval by the Landlord, in its sole and absolute discretion and such approval not to be unreasonably withheld; (j) comply with all rules and regulations of the Airport and ensure the compliance of all the Tenant’s contractors, employees, agents, customers and invitees; and, (k) provide proof of documentation showing current and proper insurance coverage of any aircraft stored inside the Hangar. (4) The Tenant covenants and agrees that the Landlord may require the adjustment in the Airport leases and as such may demand the Tenant move the Hangar and the location of the Leased Premises. The Landlord shall compensate the Tenant for any expenses in moving the Hangar as agreed between the Parties. (5) The Tenant shall be permitted to construct and maintain one (1) aircraft hangar (the “Works”) on the Leased Premises as follows: (Not Applicable / Existing Hangar) (a) the dimensions of the Existing Hangar is 56 feet by 60 feet for a total floor area of 3360, the half of the hangar for this lease agreement is 28 feet by 60 feet for a total floor area of 1680 square feet, (b) the style of the Hangar shall be either a pole barn style building or a metal frame building; (Not Applicable / Existing Hangar) (c) the siding, siding colour, roof colour, hanger number, and height of the building will be maintained in accordance with current Airport standards as approved by the Landlord; (Not Applicable / Existing Hangar) (d) the hangar apron shall be constructed of a hard surface (i.e. asphalt or concrete) with a minimum 300mm (12”) structural sub-base to the satisfaction of the Landlord; (Not Applicable / Existing Hangar) (e) any construction or renovation shall comply with the construction requirements of the Landlord in its sole and absolute discretion including the construction requirements detailed in Schedule “B” to this Lease and all applicable building code standards and by-laws of the municipality in which the Leased Premises are located and any federal or provincial statutes, rules or regulations; (Not Applicable / Existing Hangar) (f) prior to the commencement of construction, the Tenant shall submit, at its sole cost, a site plan and drainage/grading plan which shall include, but not limited to, the information required in this Article 7(5) of this Lease and the proposed floor elevation, which all shall be subject to the approval of the Landlord; (Not Applicable / Existing Hangar) (g) the Tenant agrees to maintain the lot grading during and after construction and erection of the Hangar and shall comply with the lot grading and drainage requirements of the Landlord at the sole cost of the Tenant; (Not Applicable / Existing Hangar) (h) obtain all necessary permits, as applicable, at the expense of the Tenant; and, (i) the Tenant shall be responsible for and pay the cost of all repair, renovation, and maintenance and nothing in this Lease shall render the Landlord responsible for any such costs. (Not Applicable / Existing Hangar) (6) The Landlord acknowledges that it has granted access to the Tenant for the Tenant to maneuver its aircraft from the Hangar to the adjacent taxiway and runway of the Airport. Further, the Landlord hereby grants to the Tenant, its successors and assigns, free and uninterrupted access in, over, upon, across or through the Hangar apron area, defined as 5 metres wide and 4 metres from the front of the Hangar to the adjacent taxiway G1 to the East. The Landlord grants to the Tenant the right to enter upon the Hangar apron area at all times and to pass and re-pass thereon as may be required by the Tenant, and its licensees, successors, assigns, servants, agents, employees and contractors including all necessary vehicles, equipment and machinery, from time to t ime, for the purposes of installing, maintaining, replacing, and reconstructing a suitable surface treatment to the Hangar apron as approved by the Landlord in its sole and absolute discretion. Any cost of installing, removing, maintaining, replacing and/or reconstructing the Hangar apron shall be at the sole expense of the Tenant without contribution of the Landlord. The Tenant covenants that it shall not conduct such work to the Hangar apron without first obtaining the consent of the Landlord and such consent shall not be unreasonably withheld. The Tenant hereby releases the Landlord from any and every claim which may or might arise out of the proper exercise by the Tenant of any of the rights granted herein. Page 92 of 256 6 Landlord’s Initials __________ Tenant’s Initials __________ 8. CONSTRUCTION IMPLEMENTATION SCHEDULE (Not Applicable / Existing Hangar) (1) The Tenant hereby undertakes to complete the work herein in accordance with the timeframes set out in the Schedule “C” (the “Construction Schedule”). The Tenant shall submit a proposed construction schedule which shall be subject to amendments and approval by the Landlord and attached hereto as Schedule “C”. A variance to the timeframes will only be allowed if approved in writing by the Landlord. Failure to comply may result in the Tenant being in default of this Agreement and the Landlord may seek remedy pursuant to this Agreement. (2) The Landlord approved work shall be carried out by the Tenant in a proper and professional manner so as to do as little damage or disturbance as possible to the Airport lands or the Airpor t’s infrastructure. The Tenant shall repair and make good all damage and disturbance that may be caused to the Airport lands or the Airport’s infrastructure, to the satisfaction of the Landlord, acting reasonably, at the sole expense of the Tenant. (3) During construction, the works to be carried out by the Tenant, shall be maintained in all respects in a state of good repair by the Tenant, including keeping the site in a sound, neat, safe and clean condition to the satisfaction of the Landlord. If the site is not kept in a state of good repair, upon seven (7) business days written notice to the Tenant (or such shorter time as may be required in the case of an emergency or other urgent matters or as otherwise provided herein), the Landlord shall have the right to do any work necessary to fulfill this condition and all costs incurred by the Landlord shall be recovered from the Tenant and may be recovered as Additional Rent. 9. REPAIR AND MAINTENANCE (1) The Tenant covenants that during the term of this Lease and any renewal thereof, the Tenant shall keep the Leased Premises and Hangar in good condition including all alterations and additions made thereto, and shall, with or without notice, promptly make all needed repairs and all necessary replacements as woul d a prudent owner. The Tenant shall be responsible for all wear and tear to the Hangar and shall affect all repairs as necessary. Save and accept the Landlord’s, or its agent’s, contractor’s and employee’s negligence or intentional actions, at no time is the Landlord responsible for any repairs or damage to the Hangar or the Leased Premises. (2) The Tenant shall permit the Landlord or a person authorized by the Landlord to enter the Leased Premises including the Hangar to examine the condition thereof and view the state of repair at reasonable times: (a) and if upon such examination repairs are found to be necessary, written notice of the repairs required shall be given to the Tenant by or on behalf of the Landlord and the Tenant shall make the necessary repairs within the time specified in the notice; and, (b) if the Tenant refuses or neglects to keep the Leased Premises including the Hangar in good repair the Landlord may, but shall not be obliged to, make any necessary repairs, and shall be permitted to enter the Leased Premises and Hangar, including by its servants or agents, for the purpose of effecting the repairs without being liable to the Tenant for any loss, damage or inconvenience to the Tenant in connection with the Landlord’s entry and repairs. If the Landlord makes such repairs the Tenant shall pay the cost of them immediately a s Additional Rent. (3) Subject to any renewal, upon the expiry of the Term or other determination of this Lease the Tenant agrees to surrender peaceably the Leased Premises to the Landlord in a state of good repair and subject to the conditions contained in this Article 9(3). The Tenant may remove the Hangar provided the Tenant places the Leased Premises back into a similar condition as it was in prior to the construction of the Hangar even if the construction of the Hangar predated this Lease. At any time during the Term, expiry of the Term, if an Act of Default occurs or upon termination of this Lease if the Tenant is in arrears of any rent whatsoever the Tenant agrees that the Landlord shall be permitted to register such lien on the Hangar under the Personal Property Security Act and possession of the Hangar will not be obtained by the Tenant until the lien is paid in full with all accrued interest and legal fees. (4) The Tenant shall immediately give written notice to the Landlord of any substantial damage that occurs to the Leased Premises including the Hangar from any cause. (5) The Tenant hereby agrees that at no time is the Landlord responsible for any damage, including damage to property or personal injury, as a result of the Tenant’s use of the Leased Premises, Airport or Property and the Tenant hereby waives any cause of action in law, equity or by statute as against the Landlord for any loss. The Tenant acknowledges that it shall not institute any claim or make any demand against the Landlord, or anyone that may claim indemnity from the Landlord, for any personal injury or damage to property, including aircraft, as a result of the Tenant’s use (including storage) of the Hangar, Airport Page 93 of 256 7 Landlord’s Initials __________ Tenant’s Initials __________ or Property. The Tenant acknowledges that the use of the Airport, Hangar or Property is at its own risk. (6) The Tenant hereby forever releases the Landlord from any and all claims in law, equity or by statute as a result of any intentional or negligent acts of any other Tenant and/or user of the Property and/or Airport, or their agents, contractors, invitees, customers or employees that may cause death, personal injury or property loss to the Tenant or its agents, customers, employees, contractors or invitees. 10. ALTERATIONS AND ADDITIONS (1) If the Tenant, during the Term of this Lease or any renewal of the Lease, desires to make any alterations or additions to the Leased Premises, including but not limited to; erecting partitions, attaching equipment, and installing necessary furnishings or additional equipment of the Tenant’s business but not including erecting a new hangar or any other accessory building, the Tenant may do so at his own expense provided that any and all alterations or additions to the Leased Premises made by the Tenant must comply with any requirement of the Landlord including Schedule “B” and all applicable building code standards and by-laws of the municipality in which the Leased Premises are located and any federal or provincial statutes, rules or regulations. (2) The Tenant shall pay Rent at the rate prescribed in paragraph 3 above based upon the area of the Hangar subsequent to any addition or alteration. (3) The Tenant shall be responsible for and pay the cost of any alterations, additions, installations or improvements that any governing authority, municipal, provincial or otherwise, may require to be made in, on or to the Leased Premises. (4) No sign, advertisement or notice shall be inscribed, painted or affixed by the Tenant, or any other person on the Tenant’s behalf, on any part of the outside of the Hangar unless it is located along the facade of the Hangar’s front and provided it complies with the Landlord’s signage requirements and with all applicable laws, by-laws and regulations and is in good workmanlike manner. No other sign, advertisement or notice shall be erected unless it has been approved in every respect by the Landlord in writing. (5) The Tenant agrees, at its own expense and by whatever means may be necessary, immediately to obtain the release or discharge of any encumbrance that may be registered against the Landlord’s property in connection with any additions or alterations to the Leased Premises made by the Tenant or in connection with any other activity of the Tenant. (6) The Tenant shall, at his own expense, if requested by the Landlord, remove any or all additions or improvements made by the Tenant to the Leased Premises dur ing the Term and shall repair all damage caused by the installation or the removal or both. (7) The Tenant shall not bring onto the Leased Premises or any part of the Leased Premises any machinery, equipment or any other thing that might in the opinion of th e Landlord, by reason of its hazardous nature, weight, size or use, damage the Leased Premises or the Property. If the Leased Premises or Property are damaged the Tenant shall restore the Leased Premises or Property immediately or pay to the Landlord the cost of restoring the Leased Premises or Property. 11. INSURANCE (1) The Tenant covenants to keep the Landlord indemnified and save harmless the Landlord at all times against all claims, suits, procedures, actions and demands (including but not limited to all legal costs) whatsoever and howsoever arising by any person, entity or corporation whether in respect of damage, loss or death to person or property, arising out of or occasioned by the maintenance, use or occupancy of the Leased Premises, Airport and Property or the subletting or assignment of same or any part thereof. And the Tenant further covenants to indemnify the Landlord with respect to any encumbrance on or damage to the Leased Premises occasioned by or arising from the act, default, or negligence of the Tenant, its officers, agents, servants, employees, contractors, customers, invitees or licensees. The Tenant agrees that the foregoing indemnity shall survive the termination of this Lease notwithstanding any provisions of the Lease to the co ntrary. (2) The Tenant shall carry insurance in its own name insuring against the risk of damage to the Tenant’s property and the Hangar within the Leased Premises caused by fire or other perils. (3) The Tenant shall carry such general liability and property damage insurance including personal injury and property damage coverage with at least two million ($2,000,000.00) Page 94 of 256 8 Landlord’s Initials __________ Tenant’s Initials __________ dollars in limits of each occurrence with respect to the Leased Premises and Tenant ’s occupation of the Leased Premises. Such insurance policy shall contain no airport site exclusion. (4) All insurance policies in this Section 11 including this Article shall name the Landlord, where applicable, as an insured and loss payee and the policy shall include a cross-liability endorsement. All policies shall be applicable as primary insurance, taking precedence over any other insurance protection owned by the Landlord. The Tenant shall insure that each insurance policy contains a waiver of subrogation rights which the insurer may have against the Landlord and the persons for whom is legally responsible. (5) Upon demand of the Landlord, the Tenant shall provide a copy of any and all policies of insurance including renewals and terms of such policies to the Landlord. If any policy of insurance is canceled the Tenant shall inform the Landlord without delay of such cancellation and shall obtain a replacement policy without delay on the same terms as set out in this Section 11. Under no circumstances shall delivery of and review by the Landlord of any certificate set forth or any insurance policy or any other proof of existence of the insurance coverage release the Tenant of its obligations to take out insurance in strict compliance with the present provisions or constitute a waiver in favour of the Tenant of any of the Landlord's rights. 12. ACTS OF DEFAULT AND LANDLORD’S REMEDIES (1) An Act of Default has occurred when: (a) the Tenant has failed to pay Rent for a period of 45 consecutive days from the date that payment was required to be paid to the Landlord; (b) the Tenant has breached its covenants or failed to perform any of its obligations under this Lease for a period of 45 consecutive days and: (i) the Landlord has given ten (10) days’ notice specifying the nature of the default and the steps required to correct it; and, (ii) the Tenant has failed to correct the default as required by the notice; (c) the Tenant has: (i) become bankrupt or insolvent or made an assignment for the benefit of creditors; (ii) had its property seized or attached in satisfaction of a judgment; (iii) had a receiver appointed; (iv) committed any act or neglected to do anything with the result that a Construction Lien or other encumbrance is registered against the Landlord’s property; or, (v) taken action with a view to dissolution or liquidation; (d) any required insurance policy is cancelled or not renewed by reason of the use or occupation of the Leased Premises, or by reason of non-payment of premiums; (e) the Leased Premises: (i) has become vacant or remain unoccupied for a period of 180 consecutive days. For the purposes of this section the Parties agree that the terms “vacant and “unoccupied” shall mean no use or utilization of the Hangar and/or no storage of necessary tools, implements or equipment in the Hangar; or, (ii) is used by any other person or persons, or for any other purpose than as provided for in this Lease without the written consent of the Landlord; (f) failure to install or remedy faulty work, if, in the opinion of the Landlord the Tenant: i. is not proceeding or causing to be proceeded the works required in connection with this Agreement within thirty (30) days of notice given; or ii. is improperly performing the works; or iii. has neglected or abandoned before the completion, or unreasonably delayed the same, so that conditions of this Agreement are being violated or carelessly executed or being carried out in bad faith; or iv. has neglected or refused to renew or again perform such work as may be rejected by the Landlord as defective or unsuitable; or v. has defaulted performance of the terms and conditions of this agreement; then, in any such instance, the Landlord shall promptly notify the Tena nt, in writing, of such default or neglect and if such notification be without effect within ten (10) business days after such notice, the Landlord shall thereupon have full authority and power to purchase materials and employ workers and machines for the proper completion of the works at the cost and expense of the Tenant. The cost of such work shall be calculated by the Page 95 of 256 9 Landlord’s Initials __________ Tenant’s Initials __________ Landlord whose decision shall be final and be paid to the Landlord by the Tenant on demand. Should payment not be received following the issuance of an invoice from the Landlord, the Landlord shall collect same as Additional Rent in addition to any other remedy available to the Landlord. It is further understood and agreed between the parties hereto that such entry upon the Premise shall be as an agent for the Tenant and shall not be deemed, for any purposes whatsoever, as an acceptance of the works by the Landlord. (2) When an Act of Default on the part of the Tenant has occurred: (a) the current year’s Rent together with the next years’ Rent shall become due and payable immediately; and, (b) the Landlord shall have the right to terminate this Lease and to re -enter the Leased Premises and deal with them as it may choose. (3) If, because an Act of Default has occurred, the Landlord exercises its right to terminate this Lease and re-enter the Leased Premises prior to the end of the Term, the Tenant shall nevertheless be liable for payment of Rent and all other amounts payable by the Tenant in accordance with the provisions of the Lease until the Landlord has re-let the Leased Premises or otherwise dealt with the Leased Premises in such manner that the cessation of payments by the Tenant will not result in loss to the Landlord and the Tenant agrees to be liable to the Landlord, until the end of the Term of this Lease for payment of any difference between the amount of Rent hereby agreed to be paid for the Term hereby granted and the Rent any new Tenant pays to the Landlord. (4) If when an Act of Default has occurred, the Landlord chooses not to terminate the Lease and re - enter the Leased Premises, the Landlord shall have the right to take any and all necessary steps to rectify any or all Acts of Default of the Tenant and to charge the costs of such rectification to the Tenant and to recover the costs as Rent. (5) If, when an Act of Default has occurred, the Landlord chooses to waive its right to exercise the remedies available to it under this Lease or at law the waiver shall not constitute condonation of the Act of Default, nor shall the waiver be pleaded as an estoppel against the Landlord to prevent his exercising his remedies with respect to a subsequent Act of Default. No covenant, term, or condition of this Lease shall be deemed to have been waived by the Landlord unless the waiver is in writing and signed by the Landlord. 13. TERMINATION UPON NOTICE AND AT END OF TERM (1) If the Leased Premises and/or Property are subject to an Agreement of Purchase and Sale: (a) The Landlord shall have the right to terminate this Lease, notwithstanding that the Term has not expired, by giving ninety (90) days’ notice (the “Notice”) in writing to the Tenant and, at the Tenant’s option, the Landlord shall pay to the Tenant the fair market value for the Hangar or the Tenant agrees to remove the Hangar and comply with Articles 9(3) and 10(5) of this Lease. Upon expiry of the Notice the Tenant shall provide vacant possession of the Leased Premises provided the Landlord pays to the Tenant a bonus of $500.00. For the purposes of this Article and Articles 13(3) and 13(4) fair market value shall be determined as of the date of the issuing of the Notice. (2) If the Tenant remains in possession of the Leased Premises after termination of this Lease as aforesaid and if the Landlord then accepts Rent for the Leased Premises from the Tenant, it is agreed that such overholding by the Tenant and acceptance of Rent by the Landlord shall create a monthly tenancy only but the tenancy shall remain subject to all the terms and conditions of this Lease except those regarding the Term. The Parties agree that if the Term is not renewed then upon expiry of the Term or if the Tenant is an overholding tenant then either Party may terminate the lease upon sixty (60) days written notice to the other party and the Tenant shall comply with Articles 9(3) and 10(5) of this Lease. (3) Other than a termination of this Lease in accordance with Article 13(1) of this Lease, the Landlord shall, at any time and notwithstanding that the Term has not expired, have the unqualified right to terminate this Lease upon one year’s prior written notification (the “Notice”) if the Leased Premises are required for any reason or purpose of the Landlord in which event the Landlord shall pay to the Tenant the fair market value for the Hangar, if erected by the Tenant, unless the Tenant agrees to remove the Hangar and comply with Articles 6(3) and 7(5) of this Lease, and the Tenant shall provide such vacant possession upon the expiry of the Notice provided the Landlord pays to the Tenant a bonus of $500.00. (4) The Parties agree that it is their mutual intention that at the end of the Term of this Lease the lease shall be renewed upon such conditions and terms as agreed between the Parties. The Parties further agree that although it is their mutual intention to renew the lease nevertheless either party may decide not to renew the lease for any reason. The Parties acknowledge that upon such Page 96 of 256 10 Landlord’s Initials __________ Tenant’s Initials __________ renewal all terms and conditions shall be negotiated between the Parties. If the Parties do not renew this Lease then the Parties agree that the Landlord shall be granted the Right of First Refusal to purchase the Hangar (the “Option”). The Tenant covenants that it will not sell the Hangar, or any part thereof, to any person, firm or corporation, without first providing the Landlord to exercise its Option as set out in the terms of this paragraph. Upon the Tenant receiving a bona fide offer in writing (the “Third Party Offer”) the Tenant shall deliver to the Airport Office, 244411 Airport Road, Township of South-West Oxford, Ontario, a copy of the Third Party Offer and the Landlord shall have twenty business days (the “Notice Period”) from the date of receipt of the Third Party Offer to exercise the Option to match the Third Party Offer. If the Landlord exercises its option in the Notice Period then it must inform the Tenant at the Property in writing that it will purchase the Tenant’s interest in the Hangar on the same terms and conditions, or more favourable terms to the Tenant at the Landlord’s discretion, as contained in the Third Party Offer (the “Landlord’s Offer”). If the Landlord exercises its Option in the Notice Period then the Tenant must sell the Hangar to the Landlord upon the terms and conditions as contained in the Landlord’s Offer. If the Landlord does not exercise its option in the Notice Period then the Tenant shall be at liberty to accept the Third Party Offer provided that there are no modifications to the Third Party Offer. If any modifications are made to the Third Party Offer then the Landlord shall be permitted to exercise its option pursuant to the terms of this paragraph. For the purpose of this paragraph, if the Tenant is a corporation, the word “sell”, in addition to its ordinary meaning, shall be deemed to mean and include a sale or disposition of the corporate shareholding of the Tenant by the person or persons who, at the date of the commencement of the lease holds or hold a majority of the corporate shares. Subject to the conditions contained in Article 4 of this Agreement, the Parties agree that prior to the expiry of this Lease if the Tenant seeks to assign this Lease to a third party then the Landlord will agree to examine a proposal to extend the term of this Lease however nothing in this paragraph shall require the Landlord to accept any amendment of the term or new term. (5) G9 hangar is jointly owned by two parties, each party has the first right of refusal of sale of their half of the hangar to the other party prior to the Town being able to exercise it’s right to refuse the sale to another party. The Town reserves the right to refuse either party if said party is in legal proceeding against the Town. 14. ACKNOWLEDGMENT BY TENANT (1) The Tenant agrees that it will at any time or times during the Term, upon being given at least forty- eight (48) hours prior written notice, execute and deliver to the Landlord a statement in writing certifying: (a) that this Lease is unmodified and is in full force and effect (or if modified stating the modifications and confirming that the Lease is in full force and effect as modified); (b) the amount of Rent being paid; (c) the dates to which Rent has been paid; (d) other charges payable under this Lease which have been paid; (e) particulars of any prepayment of Rent or security deposits; and, (f) particulars of any sub tenancies. 15. SUBORDINATION AND POSTPONEMENT (1) This Lease and all the rights of the Tenant under this Lease are subject and subordinate to any and all charges against the land, buildings or improvements of which the Leased Premises form part, whether the charge is in the nature of a mortgage, trust deed, lien or any other form of charge arising from the financing or re-financing, including extensions or renewals, of the Landlord’s interest in the Property. (2) Upon the request of the Landlord the Tenant will execute any form required to subordinate this Lease and the Tenant’s rights to any such charge, and will, if required, attorn to the holder of the charge. (3) No subordination by the Tenant shall have the effect of permitting the holder of any charge to disturb the occupation and possession of the Leased Premises by the Tenant as long as the Tenant performs his obligations under this Lease. 16. RULES AND REGULATIONS The Tenant agrees on behalf of itself and all persons entering the Leased Premises with the Tenant’s authority or permission to abide by such reasonable rules, standards and regulations of the Airport and/or Property which shall form part of this Lease and as the Landlord may make and/or amend from time to time. 17. NOTICE (1) Any notice required or permitted to be given by one party to the other pursuant to the terms of this Lease may be given Page 97 of 256 11 Landlord’s Initials __________ Tenant’s Initials __________ To the Landlord at: Tillsonburg Regional Airport Attn: Airport Administrator 244411 Airport Rd South-West Oxford, On N4G 4H1 Fax: 519-842-3445 To the Tenant at the Leased Premises or at: 1467246 Ontario Inc. 244779 Milldale Road, Otterville, Ontario N0J 1R0 (2) The above addresses may be changed at any time by giving ten (10) days written notice. (3) Any notice given by one party to the other in accordance with the provisions of this Lease shall be deemed conclusively to have been received on the date delivered if the notice is served personally or seventy-two (72) hours after mailing if the notice is mailed. 18. REGISTRATION The Tenant shall not at any time register notice of or a copy of this Lease on title to the Property of which the Leased Premises form part without consent of the Landlord. 19. INTERPRETATION (1) The words importing the singular number only shall include the plural, and vice versa, and words importing the masculine, feminine or neutral gender shall include the other genders, and words importing persons shall include firms and corporations and vice versa. (2) Unless the context otherwise requires, the word “Landlord” and the word “Tenant” wherever used herein shall be construed to include the executors, administrators, successors and assigns of the Landlord and Tenant, respectively. (3) When there are two or more Tenants bound by the same covenants herein contained, their obligations shall be joint and several. 20. MISCELLANEOUS (1) Unless otherwise stipulated, parking, if applicable, in the common parking area shall be in common and unreserved. (2) If a dispute should arise between the Parties in the interpretation of this Agreement then both parties agree that such dispute shall be referred to binding arbitration and be bound by the result of such arbitration. The terms, form and procedure of the a rbitration shall be in accordance with the Arbitration Act or any successor legislation. The parties further agree that the arbitrator shall be jointly chosen and the arbitrator shall have the ability to award costs of the arbitration. This clause shall not apply if the Tenant is in default under the terms of the Lease which include but are not limited to: (a) its obligations to pay Rent, Base Rent and/or Additional Rent; (b) non-repair or maintenance of the Leased Premises; (c) subleased the Leased Premises without the authorization of the Landlord, acting reasonably; (d) changed its use of the Leased Premises; or, (e) used the Leased Premises in any manner contrary to Article 7. (3) In the event that any clause herein should be unenforceable or be declared invalid for any reason whatsoever, such enforce ability or invalidity shall not affect the enforce ability or validity of the remaining portions of the covenants and such unenforceable or invalid portions shall be severable from the remainder of this Lease. (4) This Lease shall be construed and enforced in accordance with the laws of the Province of Ontario. Any proceeding shall be brought at the City of Woodstock in the County of Oxford, Ontario. Page 98 of 256 12 Landlord’s Initials __________ Tenant’s Initials __________ (5) The Tenant hereby agrees that it has had an opportunity to review the terms of this Lease and seek independent legal advice. (6) Should any provision of this Lease require judicial interpretation or arbitration, it is agreed that the court or arbitrator interpreting or construing the same shall not apply a presumption that the terms thereof shall be more strictly construed against one party by reason of the rule of construction that a document is to be construed more strictly against the party who itself or through its agent prepared the same, it be agreed that both parties have participated in the preparation hereof. (7) This Lease and its schedules constitutes the entire agreement between the Parties hereto pertaining to the subject matter hereof and supersedes all prior and contemporaneous agreements, understandings, negotiations and discussions, whether oral or written, of the parties and there are no warranties, representations or other agreements between the Parties in connection with the subject matter hereof, except as specifically set forth herein. No supplement, modification, waiver or termination of this Lease shall be binding unless executed in writing by the Parties. (8) The Tenant agrees that it has not relied upon any representation, promise or warranty of the Landlord with respect to the condition of the Leased Premises, Hangar or any representation or promise of the Landlord to repair, renovate or otherwise alter the Leased Premises in any manner prior to or after commencement of the Term. The Parties agree that the Leased Premises are being offered to the Tenant in an “as is” condition. The Tenant shall not call on or demand the Landlord to perform any repairs or renovations prior to or after it obtains possession. The Tenant acknowledges that it has performed its own due diligence in establishing the state of repair of the Leased Premises including the Hangar. In Witness of the foregoing covenants the Landlord and the Tenant have executed this Lease. __________________________________ Landlord Stephen Molnar, Mayor The Corporation of the Town of Tillsonburg __________________________________ Landlord Michelle Smibert, Clerk The Corporation of the Town of Tillsonburg We have authority to bind the Corporation. Per: ____________________ _________________________ Witness Name: Geoff Lee Tenant Page 99 of 256 13 Landlord’s Initials __________ Tenant’s Initials __________ Schedule “A” THE “LEASED PREMISES” Taxiway G1 Hangar G9 East Half of Hangar 28 x 60 ft Page 100 of 256 14 Landlord’s Initials __________ Tenant’s Initials __________ SCHEDULE “B” (Not Applicable / Existing Hangar) CONSTRUCTION REQUIREMENTS 1. The Tenant shall construct an airplane hangar building with approximate dimensions of XX feet wide by XX feet deep compromising a floor area of XXXX square feet. 2. The Tenant covenants and agrees, notwithstanding any other statute, reg ulation or provision regarding the federal government’s authority to regulate the aeronautics industry, to: (a) obtain from the Landlord an Airport Development Permit prior to construction; (b) to pay to the Landlord a flat fee of $600 to administer the Airport Development Permit; (c) to construct the airplane hangar, and any other building that may be permitted, to the standard of the Ontario Building Code, O. Reg. 332/12 as amended or replaced from time to time (the “OBC”) and to the satisfaction of the Landlord in its sole and absolute discretion, and; (d) to ensure all persons retained by the Tenant have appropriate health and safety policies, insurance and WSIB coverage. 3. The Tenant shall provide to the Landlord the following in order to obtain an Airport Development Permit and approval for use of the Leased Premises and hangar thereon: (a) prior to construction, submission of: 1. all applicable fees; 2. 2 copies of a site plan showing the proposed location of the hangar and dimensions to the adjacent buildings; 3. 2 copies of construction drawings (foundation plan, floor plan, building elevations, diaphragm/truss bracing, anchorage, construction details/finishes, etc.) stamped by a professional engineer; 4. 2 copies of the truss drawings stamped by a professional engineer; and 5. Commitment to General Reviews form completed by both the building owner and professional engineer; (b) prior to occupancy and acceptance: 1. inspection of the construction and acceptance of same by the Landlord in in respect of compliance with the OBC, the terms of this Airport Lease and all policies and rules regulating the Tillsonburg Airport; and 2. submission of all site reports (footing inspection, framing inspection, occupancy inspection) and an occupancy report from the professional engineer; and, (c) final approval: 1. provide a final report (verifying outstanding items not completed at occupancy have been completed/corrected) from the professional engineer if applicable. 4. The parties covenant and agree that the Tenant is not required to obtain a building permit from the Township of Southwest Oxford for construction of buildings on the Tillsonbur g Airport. 5. The Tenant covenants and agrees that failure to comply with the provisions of this schedule shall be an event of default of this Lease and in the absence of remedying such default, shall permit the Landlord to terminate this Lease and seek any and all othe r recourse against the tenant in such instance. Page 101 of 256 15 Landlord’s Initials __________ Tenant’s Initials __________ SCHEDULE “C” (Not Applicable / Existing Hangar) CONSTRUCTION SCHEDULE Provided by the Tenant prior to execution of the lease agreement and approved by the Landlord. Preliminary Construction Schedule: Start of Construction Insert date End of Construction Insert date Note: Tenant has expressed that a detailed construction schedule will be provided once contractor and Tenant have finalized. Page 102 of 256 Page 1 of 2 Subject: Hangar Land Lease Agreement Taxiway G1 – Lot #4 Report Number: OPD 21-20 Department: Operations and Development Submitted by: Dan Locke, Manager of Public Works Meeting Type: Council Meeting Meeting Date: Monday, May 10, 2021 RECOMMENDATION THAT Council receives report OPD 21-20 Hangar Land Lease Agreement Taxiway G1 – Lot #4 as information; AND THAT a By-Law to authorize a Land Lease Agreement for Taxiway G1 Lot 4 with Ewart McLaughlin, and to repeal By-Law 2020-044, be brought forward for consideration. BACKGROUND On April 14th, 2020 council approved a lease agreement with Mr. Russel Catton for the construction of the hangar and By-law 2020-044 was executed. Mr. Catton’s hangar was constructed during 2020. On April 8th, 2021 the hangar owner Mr. Catton contacted the Town to inform us of a change that he requires to be made to the lease agreement with respects to the ownership of the hangar. Mr. Catton has indicated that he has sold the hangar to Mr. Ewart McLaughlin. The new lease agreement is attached with Mr. McLaughlin is attached. DISCUSSION Staff recommends that the previous lease agreement with Mr. Catton be repealed and a new lease agreement is executed with the new owner Mr. McLaughlin. CONSULTATION The Corporate Services Department was consulted for this report. Page 103 of 256 OPD 21-20 Page 2 of 2 FINANCIAL IMPACT/FUNDING SOURCE No change. COMMUNITY STRATEGIC PLAN (CSP) LINKAGE 1. Excellence in Local Government ☐ Demonstrate strong leadership in Town initiatives ☐ Streamline communication and effectively collaborate within local government ☒ Demonstrate accountability 2. Economic Sustainability ☐ Support new and existing businesses and provide a variety of employment opportunities ☐ Provide diverse retail services in the downtown core ☐ Provide appropriate education and training opportunities in line with Tillsonburg’s economy 3. Demographic Balance ☐ Make Tillsonburg an attractive place to live for youth and young professionals ☐ Provide opportunities for families to thrive ☐ Support the aging population and an active senior citizenship 4. Culture and Community ☐ Promote Tillsonburg as a unique and welcoming community ☐ Provide a variety of leisure and cultural opportunities to suit all interests ☐ Improve mobility and promote environmentally sustainable living ATTACHMENTS Appendix A – Signed Lease Agreement Page 104 of 256 TILLSONBURG AIRPORT HANGAR LEASE This Lease is made this 13 day of April, 2021 (the "Effective Date"). BETWEEN THE CORPORATION OF THE TOWN OF TILLSONBURG -and- Ewart Mclaughlin 163988 Brownsville Rd Tillsonburg, ON N4G 4G8 (the "Landlord") (the "Tenant") WHEREAS the Landlord owns all and singular that certain parcel or tract of land and premises situated, lying and being in the Township of South West Oxford in the County of Oxford, being compromised of: PT LT 3-4 CON 7 DEREHAM; LT 5-6 CON 7 DEREHAM; PT LT 7 CON 7 DEREHAM PT 1, 2, 3, 4 & 5, 41 R2877, PT 2 & 3, 41 R2714, PT 1, 2 & 3, 41 R4343, PT 1, 2, 3 & 4, 41 R4545; SIT 406551; SOUTH-WEST OXFORD; PIN: 00016-0089 (LT); LRO #41; municipal address being 244411 Airport Road, Tillsonburg, ON N4G 4H1; referred to herein as the "Property", the "Airport" or the "Tillsonburg Airport" upon which is located the Tillsonburg Airport which is owned and operated by the Landlord . In consideration of the covenants, agreements, warranties and payments herein set forth and provided for, the sum of two dollars ($2.00) paid by each party to the other and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged , the Parties hereto respectively covenant and agree as follows: 1. LEASED PREMISES ( 1) The Leased Premises shall consist of a portion of the Tillsonburg Airport identified as Taxiway G1 Lot 4 on the plan attached as Schedule "A", being the area upon which the Tenant's airplane hangar shall be located plus one (1) metre of land extended beyond the exterior perimeter of the Tenant's airplane hangar building (the "Leased Premises"). (2) Notwithstanding the above, the Landlord reserves the right to assign an alternate lot to the Tenant on thirty (30) days' written notice at any time prior to the commencement of construction of the Tenant's hangar. (3) The Landlord covenants and agrees to the construction by the Tenant of an airplane hangar on the Leased Premises being a Hangar, (the "Hangar'') subject to the provisions of Schedule "B". The Tenant shall complete the construction of the Hangar at its sole cost and expense. (4) The Landlord covenants and agrees that the Hangar on the Leased Premises is not owned by the Landlord but is owned by the Tenant. Landlord's Initials ___ _ Tenant's InitialL Page 105 of 256 2 2. GRANT OF LEASE (1) The Landlord leases the Leased Premises to the Tenant: (a) at the Rent set forth in Section 3; (b) for the Term set forth in Section 4; and (c) subject to the conditions and in accordance with the covenants, obligations and agreements herein including schedules. (2) The Landlord covenants that it has the right to grant the leasehold interest in the Leased Premises free from encumbrances except as disclosed on title . 3. RENT (1) Rent means the amounts payable by the Tenant to the Landlord pursuant to this Section and includes Additional Rent. (2) The Tenant covenants to pay to the Landlord, during the Term of this Lease rent as follows (the "Base Rent"): for every year of the Term, the total sum of $1,080.00 per annum (based upon $0.30 per square foot of Hangar building area) plus H.S.T., and any other applicable services tax which may accrue on account of the Landlord collecting rent, payable yearly in advance. Base Rent shall commence on the first day of the Term . If the first day of the Term is not January 1st then Base Rent for the first year of the term shall be prorated until December 31 of the initial year. Base Rent shall then be due on 1st day of the year commencing on January 1st, 2022 and every 1s1 day of January thereafter. The Parties further agree that the Landlord may , in their sole and absolute discretion, increase the Base Rent annually in accordance with the Town of Tillsonburg Rates and Fees Bylaw, as amended . If the square footage of the Hangar on the Leased Premises expands then the Base Rent shall accordingly increase in proportion to the additional square footage . (3) The Tenant further covenants to pay all other sums required by th is Lease to be paid by it and agrees that all amounts payable by the Tenant to the Landlord or to any other party pursuant to the provisions of this Lease shall be deemed to be additional rent ("Additional Rent") whether or not specifically designated as such in this Lease . (4) The Landlord and the Tenant agree that it is their mutual intention that this Lease shall be a completely carefree net lease for the Landlord and that the Landlord shall not, during the Term of this Lease, be required to make any payments in respect the Leased Premises other than charges of a kind personal to the Landlord (such as income and estate taxes and mortgage payments) and to effect the said intention of the parties the Tenant promises : (a) to pay as Add itional Rent: business taxes, real estate taxes and licenses if applicable; (b) to pay all annual fees in accordance with the Town of Tillson burg Rates and Fees Bylaw, as amended, as Additional Rent for such expenses incurred by the Landlord for the maintenance and servicing of the Airport; and, (c) to pay the Landlord a one-time capital recovery charge , based on actuals, for the Landlord to construct the associated hangar apron, if applicable; and, (d) to pay for or provide servicing and maintaining the Leased Premises and the Hangar and shall include the following : (i) Landlord's Initials ---- all utilities and services including, but not lim ited to, electricity, water, sewage, natural gas and propane . The Tenant acknow ledges that connection fees for utilities and services are entirely at the Tenant's cost. Further, the Tenant acknowledges that nothing in this Lease , including in this article, is a warranty, covenant or representation by the Landlord to provide connections, utilities or services to the Leased Premises or that Tenant's Initials ~ Page 106 of 256 3 the services or utilities can be extended to the Leased Premises; (ii) snow removal and landscaping on the Leased Premises including cutting the grass and weed control of the Leased Premises including the one (1) metre area around the perimeter of the Hangar; (iii) all repair, service and maintenance to the Hangar including reasonable wear and tear; and, (iv) to pay airport infrastructure fees in accordance with the Town of Tillsonburg Rates and Fees Bylaw, as amended. (5) The Tenant hereby agrees to indemnify and protect the Landlord from any liability accruing to the Landlord in respect of the expenses payable by the Tenant as provided for herein . (i) The Tenant on behalf of itself/himself/herself/themselves, its/his/her/their heirs, executors, administrators and assigns, including its/his/her/their successors in title , hereby covenants and agrees to indemnify and save harmless the Landlord from all actions , cause of actions, suits, claims , demands , damages , losses, costs , charges and expenses of every nature and kind whatsoever by whomsoever make brought or prosecuted , including legal fees, which the Landlord may incur or have to pay, which may arise either directly or indirectly by reason of any activity, actions, performance , negligence or non-performance of the Tenant, its emp loyees, servants, agents , contractors, subcontractors, architect, landscape architect, engineer, surveyor, planner, consultant, project manager or any other person the Tenant is responsible for at law during the duration of th is Agreement; in executing the Works under this Agreement; by reason of installation of any Works required under this Agreement; by the failure of the Tenant to complete the installation of the Works required under this Agreement; because of or on account of the ownership, construction, use existence, or maintenance of the property described in the Agreement; by the exercise of the Tenant's powers under this Agreement ; the construction, maintenance or the improper or inadequate construction , installation and/or maintenance of the Works ; any act or omission of said parties while undertaking the Works ; or by reason of the neglect of the Tenant or its employees, servants , agents , contractors, subcontractors or others for whom the Tenant is responsible at law. (ii) Without limiting the generality of the foregoing, the Tenant agrees to indemnify and save harmless the Landlord for any issues related to the alteration of any grade or existing level construction, the maintenance or repair of any taxiway within the Airport, or by reason of the failure , neglect or omission of the Tenant to do anything agreed to be done pursuant to this Agreement or by reason of any act or omission of the Tenant , including failure of the Tenant to comply with the Construction Act. (6) Additional Rent shall be payable yearly in advance on the same dates stipulated for payment of Base Rent in Section 3 (2). (7) All payments to be made by the Tenant pursuant to this Lease are to be in Canadian funds by bank draft, money order or cheque payable to the Landlord and shall be delivered to the Landlord at the Landlord 's address for service set out in Section 17 or to such other place as the Landlord may from time to time direct in writing. (8) All Rent in arrears and all sums paid by the Landlord for expenses incurred which should have been paid by the Tenant shall bear interest from the date payment was due , or made , or expense incurred at a rate per annum equal to the prime commercial lending rate of the Landlord 's bank plus two (2) per cent. Landlord's Initials ___ _ Tenant's Initials k_ Page 107 of 256 4 (9) The Tenant acknowledges and agrees that the payments of Rent and Additional Rent provided for in this Lease shall be made without any deduction for any reason whatsoever unless expressly allowed by the terms of this Lease or agreed to by the Landlord in writing and no partial payment by the Tenant which is accepted by the Landlord shall be considered as other than a partial payment on account of Rent owing and shall not prejudice the Landlord's right to recover any Rent owing . 4. TERMS AND POSSESSION (1) The Tenant shall have possession of the Leased Premises for a period of twenty years, nine months (the "Term"), commencing on the 13 day of April, 2021 and ending on the 151 day of January, 2042. (2) The Tenant shall pay any and all connection costs for hydro, gas, water, heating, air- conditioning and for all other services and utilities as may be provided to the Leased Premises. The Tenant shall arrange with the local authority for connection of gas , electricity and water in the name of the Tenant. Nothing in this paragraph or lease is a warranty or representation by the Landlord that any utilities or services are extended to the Leased Premises or can be extended to the Leased Premises . (3) Subject to the Landlord 's rights under this Lease, and as long as the Tenant is in good standing, the Landlord covenants that the Tenant shall have quiet enjoyment of the Leased Premises during the Term of this Lease without any interruption or disturbance from the Landlord or any other person or persons lawfully claiming through the Landlord. 5. ABATEMENT OF RENT DURING CONSTRUCTION PERIOD (1) So long as the Lease has been fully executed, the Tenant has provided the Landlord with proof of the Tenants insurance, and the Tenant has paid the first and last month's Rent to be held as a deposit, the Landlord shall provide the Tenant with possession of the Leased Premises for a period of up to six (6) months commencing on the Effective Date for the purposes of constructing the Hangar on the Leased Premises. All terms of the Lease shall be applicable from the Effective Date save and except for the payment of Rent, Base Rent and Additional Rent which shall be payable as of the first day of the month of occupancy of the Hangar or the expiry of the six (6) month construction period whichever occurs first. (2) In the event the Tenant has not completed construction of the Hangar within the six (6) month construction period, the Landlord, in its sole and absolute discretion, may extend the construction period upon written request of the Tenant or terminate this Lease of which then the Tenant's deposit provided in Section 5 (1) would be forfeited. 6. ASSIGNMENT (1) The Tenant shall not assign this Lease or sublet the whole or any part of the Leased Premises unless they first obtain the consent of the Landlord in writing, which consent shall not unreasonably be withheld and provided the sub-Tenant and/or assignee signs a written acknowledgement that he/she will be bound by the terms , conditions and rules as provided for in this Lease. The Tenant hereby waives its right to the benefit of any present or future Act of the Legislature of Ontario which would permit the Tenant to assign this Lease or sublet the Leased Premises without the Landlord's consent. (2) The consent of the Landlord to any assignment or subletting shall not operate as a waiver of the necessity for consent to any subsequent assignment or subletting. (3) Any consent given by the Landlord to any assignment or other disposition of the Tenant's interest in this Lease or in the Leased Premises shall not relieve the Tenant from its obligations under this lease, including the obligation to pay Rent, Base Rent and Additional Rent as provided for herein. Landlord's Initials ___ _ Page 108 of 256 5 (4) If all or more than 50% of the shares in the Tenant should be sold, assigned or transferred in any manner to a person other than the Tenant, then such transferee shall be bound by the terms and conditions of this Lease. 7. USE (1) During the Term of this Lease the Leased Premises shall not be used for any purpose other than as an aircraft hangar for the storage, repair and operation of airplanes, without the express consent of the Landlord given in writing. The Tenant shall not construct a new hangar or any other building on the Leased Premises except in accordance to the terms of this Lease . (2) The Tenant shall not do or permit to be done at the Leased Premises anything which may: (a) contravene any Airport use, standards, or tenant policy as established by the Landlord from time to time; {b) cause damage to the Leased Premises; (c) cause injury or annoyance to occupants of neighbouring premises; (d) make void or voidable any insurance upon the Leased Premises; (e) constitute a breach of any by-law, status, order or regulation of any municipal, provincial or other competent authority relating to the Tillsonburg Airport, the Leased Premises including any septic bed or other property , equ ipment or appurtenances; and, (f) create an environmental hazard . The Tenant shall not store, allowed to be stored or do anything that creates hazardous waste or toxic material as defined by the Environmental Protection Act or any related or successor legislation . If an order is made by any level of government, including all agencies, crown corporations , municipal bodies, or a court is made as a result of the Tenant's, or its servants, directors, employees, invitees, customers or agents, actions or inaction under this Article or Article 7(2)(e) above or as a result of the septic bed system used by the Tenant then the Tenant shall satisfy the terms of such order including, but not limited to, paying all costs of the work required and shall indemnify and save the Landlord harmless from any costs, including legal costs, if the Landlord suffers any damages or pays any costs associated with such order. (3) The Tenant shall : (a) (b) (c) (d) (e) (f) (g) Landlord's Initials not interfere in the use of the Airport or any other use of the Property. The Tenant acknowledges that there are other uses of the Property and it shall not interfere in any other use of the Property. The Tenant further acknowledges that there are other Tenants and users of the Airport and it shall not unreasonably interfere in the use or operation of the Airport in any manner nor shall it do, or allow to be done by any of its invitees, customers, employees or agents, anything that would cause or constitute a nuisance, safety violation or hazard to any other Tenant or any user of the Airport who are acting reasonably; comply with all federal and provincial transportation guidelines, regulat ions, rules, by-laws, statutes , directives and any other such matter that governs the flight, use or operation of aircraft; not block or obstruct the taxiways or runway and permit the ingress and egress to adjacent hangars , aprons and parking areas ; not conduct any major repairs to any motor vehicle of any kind other than an aircraft or any vehicle or machinery ancillary to or connected with aircraft; not perform aircraft repair or maintenance outside of the Leased Premises; not start any aircraft in the Hangar; not store any items on the Leased Premises, surrounding Property or in the Hangar other than aircraft and related aircraft items except as specifically permitted in this ----Ton"'t'' lnitia~ Page 109 of 256 6 agreement; (h) not store any flammable products inside the Hangar or on the Leased Premises with the exception of fuel or necessary aircraft related products; (i) notify the Landlord of any public activities and/or events no less than th irty (30) days before such activity and/or event with approval by the Landlord, in its sole and absolute d iscretion and such approval not to be unreasonably withheld; U) comply with all rules and regulations of the A irport and ensure the compl iance of all the Tenant's contractors , employees , agents, customers and invitees ; and , (k) provide proof of documentation showing current and proper insurance coverage of any aircraft stored inside the Hangar. (4) The Tenant covenants and agrees that the Landlord may require the adjustment in the Airport leases and as such may demand the Tenant move the Hangar and the location of the Leased Premises. The Landlord shall compensate the Tenant for any expenses in moving the Hangar as agreed between the Parties. (5) The Tenant shall be permitted to construct and maintain one (1) aircraft hangar (the "Works") on the Leased Prem ises as follows: (a) the dimensions of the Hangar shall be 60 feet by 60 feet for a total floor area of 3 ,600 square feet; (b) the style of the Hangar shall be e ither a pole barn style building or a metal frame bu ilding; (c) the s iding, siding colour , roof colour, hanger number, and height of the building w ill be maintained in accordance with current A irport standards as approved by the Landlord ; (d) the hangar apron shall be constructed of a hard surface (i.e . asphalt or concrete) with a m inimum 300mm (12 ") structural sub-base to the sat isfaction of the Landlord; (e) any construction or renovation shall comply with the construction requirements of the Landlord in its sole and absolute discretion including the construction requirements detailed in Schedule "B" to this Lease and all applicable building code standards and by-laws of the municipal ity in which the Leased Prem ises are located and any federal or provinc ial statutes, rules or regu lations ; (f) prior to the commencement of construction , the Tenant shall submit, at its so le cos t, a site plan and drainage/grading plan which shall include, but not limited to , the information required in this Article 7(5) of this Lease and the proposed floor elevation , wh ich all shall be subject to the approval of the Landlord ; (g) the Tenant agrees to maintain the lot grading during and after construction and erection of the Hangar and shall comp ly with the lot grading and drainage requirements of the Landlord at the sole cost of the Tenant; (h) obtain all necessary permits , as applicable, at the expense of the Tenant; and , (i) the Tenant shall be responsible for and pay the cost of all repair , renovation, and maintenance and nothing in this Lease shall render the Land lord responsible for any such costs. (6) The Landlord acknowledges that it has granted access to the Tenant for the Tenant to maneuver its ai rcraft from the Hangar to the adjacent taxiway and runway of the A irport . Further, the Landlord hereby grants to the Tenant, its successors and assigns , free and uninterrupted access in, over, upon, across or through the Hangar apron area, defined as 6 metres wide and 26 metres from the front of the Hangar to the adjacent taxiway. The Landlord grants to the Tenant the right to enter upon the Hangar apron area at all times and to pass and re-pass thereon as may be required by the Tenant, and its licensees , successors , assigns, servants , agents, employees and contractors includ ing all necessary vehicles , equ ipment and machinery, from time to time, for the purposes of installing, maintaining, replac ing , and reconstructing a suitable surface treatment to the Hangar apron as approved by the Landlord in its sole and absolute d iscretion. Any cost of installing , Landlord 's Initials ___ _ Ten ant's In iti a ~kL Page 110 of 256 7 removing, maintaining , replacing and/or reconstructing the Hangar apron shall be at the sole expense of the Tenant without contribution of the Landlord. The Tenant covenants that it shall not conduct such work to the Hangar apron without first obtaining the consent of the Landlord and such consent shall not be unreasonably withheld. The Tenant hereby releases the Landlord from any and every claim which may or might arise out of the proper exercise by the Tenant of any of the rights granted herein. 8. CONSTRUCTION IMPLEMENTATION SCHEDULE (N/A Existing Hangar) (1) The Tenant hereby undertakes to complete the work herein in accordance w ith the timeframes set out in the Schedule "C " {the "Construction Schedule"). The Tenant shall submit a proposed construction schedule which shall be subject to amendments and approval by the Landlord and attached hereto as Schedule "C". A variance to the timeframes will only be allowed if approved in writing by the Landlord. Failure to comply may result in the Tenant being in default of this Agreement and the Landlord may seek remedy pursuant to this Agreement. (2) The Landlord approved work shall be carried out by the Tenant in a proper and professional manner so as to do as little damage or disturbance as poss ible to the Airport lands or the Airport's infrastructure. The Tenant shall repair and make good all damage and disturbance that may be caused to the Airport lands or the A irport's infrastructure, to the satisfaction of the Landlord, acting reasonably, at the sole expense of the Tenant. (3) During construction, the works to be carried out by the Tenant, shall be maintained in all respects in a state of good repa ir by the Tenant, including keeping the site in a sound, neat, safe and clean condition to the satisfaction of the Landlord. If the site is not kept in a state of good repair, upon seven (7) business days written notice to the Tenant (or such shorter time as may be required in the case of an emergency or other urgent matters or as otherwise provided herein), the Landlord shall have the right to do any work necessary to fulfill this condition and all costs incurred by the Landlord shall be recovered from the Tenant and may be recovered as Additional Rent. 9. REPAIR AND MAINTENANCE ( 1) The Tenant covenants that during the term of this Lease and any renewal thereof, the Tenant shall keep the Leased Premises and Hangar in good condition including all alterations and additions made thereto, and shall, with or without notice, promptly make all needed repairs and all necessary replacements as would a prudent owner. The Tenant shall be responsible for all wear and tear to the Hangar and shall affect all repairs as necessary. Save and accept the Landlord's , or its agent's, contractor's and employee 's negligence or intentional actions, at no time is the Landlord responsible for any repairs or damage to the Hangar or the Leased Premises. (2) The Tenant shall permit the Landlord or a person authorized by the Landlord to enter the Leased Premises including the Hangar to examine the condition thereof and view the state of repair at reasonable times: (a) (d) and if upon such examination repairs are found to be necessary , written notice of the repairs required shall be given to the Tenant by or on behalf of the Landlord and the Tenant shall make the necessary repairs within the time specified in the notice; and, if the Tenant refuses or neglects to keep the Leased Premises including the Hangar in good repair the Landlord may, but shall not be obliged to, make any necessary repairs, and shall be permitted to enter the Leased Premises and Hangar, including by its servants or agents, for the purpose of effecting the repairs without be ing liable to the Tenant for any loss, damage or inconvenience to the Landlord's Initials ___ _ Tenant's Initials~ Page 111 of 256 8 Tenant in connection with the Landlord's entry and repairs . If the Landlord makes such repairs the Tenant shall pay the cost of them immediately as Additional Rent. (3) Subject to any renewal, upon the expiry of the Term or other determination of this Lease the Tenant agrees to surrender peaceably the Leased Premises to the Landlord in a state of good repair and subject to the conditions contained in this Article 9(3). The Tenant may remove the Hangar provided the Tenant places the Leased Premises back into a similar condition as it was in prior to the construction of the Hangar even if the construction of the Hangar predated this Lease. At any time during the Term , expiry of the Term, if an Act of Default occurs or upon termination of this Lease if the Tenant is in arrears of any rent whatsoever the Tenant agrees that the Landlord shall be permitted to register such lien on the Hangar under the Personal Property Security Act and possession of the Hangar will not be obtained by the Tenant until the lien is paid in full with all accrued interest and legal fees . (4) The Tenant shall immediately give written notice to the Landlord of any substantial damage that occurs to the Leased Premises including the Hangar from any cause. (5) The Tenant hereby agrees that at no time is the Landlord responsible for any damage, including damage to property or personal injury, as a result of the Tenant's use of the Leased Premises, Airport or Property and the Tenant hereby waives any cause of action in law, equity or by statute as against the Landlord for any loss. The Tenant acknowledges that it shall not institute any claim or make any demand against the Landlord, or anyone that may claim indemnity from the Landlord, for any personal injury or damage to property, including aircraft, as a result of the Tenant's use (including storage) of the Hangar, Airport or Property . The Tenant acknowledges that the use of the Airport, Hangar or Property is at its own risk . (6) The Tenant hereby forever releases the Landlord from any and all claims in law, equity or by statute as a result of any intentional or negligent acts of any other Tenant and/or user of the Property and/or Airport, or their agents , contractors, invitees, customers or employees that may cause death, personal injury or property loss to the Tenant or its agents, customers, employees, contractors or invitees . 10. ALTERATIONS AND ADDITIONS (1) If the Tenant, during the Term of this Lease or any renewal of the Lease, desires to make any alterations or additions to the Leased Premises, including but not limited to ; erecting partft ions, attaching equipment, and installing necessary furnishings or additional equipment of the Tenant's business but not including erecting a new hangar or any other accessory building, the Tenant may do so at his own expense provided that any and all alterations or additions to the Leased Premises made by the Tenant must comply with any requirement of the Landlord including Schedule "B" and all applicable building code standards and by-laws of the municipality in which the Leased Premises are located and any federal or provincial statutes, rules or regulations . (2) The Tenant shall pay Rent at the rate prescribed in paragraph 3 above based upon the area of the Hangar subsequent to any addition or alteration. (3) The Tenant shall be responsible for and pay the cost of any alterations, additions, installations or improvements that any governing authority, municipal, provincial or otherwise, may require to be made in, on or to the Leased Premises. (3) No sign, advertisement or notice shall be inscribed, painted or affixed by the Tenant, or any other person on the Tenant's behalf, on any part of the outside of the Hangar unless it is located along the facade of the Hangar's front and provided it complies with the Landlord's signage requirements and with all applicable laws, by-laws and regulations and is in good workmanlike manner. No other sign, advertisement or notice shall be erected Landlord's Initials ----Tenant's Initials ~1 _ Page 112 of 256 9 unless it has been approved in every respect by the Landlord in writing. (4) The Tenant agrees, at its own expense and by whatever means may be necessary, immediately to obtain the release or discharge of any encumbrance that may be registered against the Landlord's property in connection with any additions or alterations to the Leased Premises made by the Tenant or in connection with any other activity of the Tenant. (5) The Tenant shall, at his own expense, if requested by the Landlord, remove any or all additions or improvements made by the Tenant to the Leased Premises during the Term and shall repair all damage caused by the installation or the removal or both. (6) The Tenant shall not bring onto the Leased Premises or any part of the Leased Premises any machinery, equipment or any other thing that might in the opinion of the Landlord, by reason of its hazardous nature, weight, size or use, damage the Leased Premises or the Property. If the Leased Premises or Property are damaged the Tenant shall restore the Leased Premises or Property immediately or pay to the Landlord the cost of restoring the Leased Premises or Property. 11. INSURANCE (1) The Tenant covenants to keep the Landlord indemnified and save harmless the Landlord at all times against all claims, suits , procedures, actions and demands (including but not limited to all legal costs) whatsoever and howsoever arising by any person, entity or corporation whether in respect of damage, loss or death to person or property, arising out of or occasioned by the maintenance, use or occupancy of the Leased Premises, Airport and Property or the subletting or assignment of same or any part thereof. And the Tenant further covenants to indemnify the Landlord with respect to any encumbrance on or damage to the Leased Premises occasioned by or arising from the act, default, or negligence of the Tenant, its officers, agents, servants, employees, contractors , customers , invitees or licensees . The Tenant agrees that the foregoing indemnity shall survive the termination of this Lease notwithstanding any provisions of the Lease to the contrary . (2) The Tenant shall carry insurance in its own name insuring against the risk of damage to the Tenant's property and the Hangar within the Leased Premises caused by fire or other perils. (3) The Tenant shall carry such general liability and property damage insurance including personal injury and property damage coverage with at least two million ($2 ,000,000 .00) dollars in limits of each occurrence with respect to the Leased Prem ises and Tenant's occupation of the Leased Premises. Such insurance policy shall contain no airport site exclusion. (4) All insurance policies in this Section 11 including this Article shall name the Landlord, where applicable, as an insured and loss payee and the policy shall include a cross-l iability endorsement. All policies shall be applicable as primary insurance, taking precedence over any other insurance protection owned by the Landlord. The Tenant shall insure that each insurance policy contains a waiver of subrogation rights which the insurer may have against the Landlord and the persons for whom is legally respons ible . (5) Upon demand of the Landlord, the Tenant shall provide a copy of any and all policies of insurance including renewals and terms of such policies to the Landlord . If any policy of insurance is canceled the Tenant shall inform the Landlord without delay of such cancellation and shall obtain a replacement policy without delay on the same terms as set out in this Section 11 . Under no circumstances shall delivery of and review by the Landlord of any certificate set forth or any insurance policy or any other proof of existence of the Landlord 's Initials ___ _ 7 1/ Tenant's Initials ~ Page 113 of 256 10 insurance coverage release the Tenant of its obligations to take out insurance in strict compliance with the present provisions or constitute a waiver in favour of the Tenant of any of the Landlord's rights. 12. ACTS OF DEFAULT AND LANDLORD'S REMEDIES (1) An Act of Default has occurred when: (a) the Tenant has failed to pay Rent for a period of 45 consecutive days from the date that payment was required to be paid to the Landlord; (b) the Tenant has breached its covenants or failed to perform any of its obligations under this Lease for a period of 45 consecutive days and: (i) the Landlord has given ten (10) days' notice specifying the nature of the default and the steps required to correct it; and, (ii) the Tenant has failed to correct the default as required by the notice ; (c) the Tenant has: (i) become bankrupt or insolvent or made an ass ignment for the benefit of creditors; (ii) had its property seized or attached in satisfaction of a judgment; (iii) had a receiver appointed; (iv) committed any act or neglected to do anything with the result that a Construction Lien or other encumbrance is registered against the Landlord's property; or, (v) taken action with a view to dissolution or liquidation; (d) any required insurance policy is cancelled or not renewed by reason of the use or occupation of the Leased Premises, or by reason of non-payment of premiums; (e) the Leased Premises : (i) has become vacant or remain unoccupied for a period of 180 consecutive days. For the purposes of this section the Parties agree that the terms "vacant and "unoccupied" shall mean no use or utilization of the Hangar and/or no storage of necessary tools, implements or equipment in the Hangar; or, (ii) is used by any other person or persons , or for any other purpose than as provided for in this Lease without the written consent of the Landlord; (f) failure to install or remedy faulty work, if, in the opinion of the Landlord the Tenant: i. is not proceeding or causing to be proceeded the works required in connection with this Agreement within thirty (30) days' of notice given; or ii. is improperly performing the works ; or iii. has neglected or abandoned before the completion, or unreasonably delayed the same, so that conditions of this Agreement are being violated or carelessly executed or being carried out in bad faith; or iv . has neglected or refused to renew or again perform such work as may be rejected by the Landlord as defective or unsuitable; or v. has defau lted performance of the terms and conditions of this agreement; then, in any such instance, the Landlord shall promptly notify the Tenant, in writing, of such default or neglect and if such notification be without effect within ten ( 10) business days Landlord's Initials Tenant's Initials£ Page 114 of 256 11 after such notice, the Landlord shall thereupon have full authority and power to purchase materials and employ workers and machines for the proper completion of the works at the cost and expense of the Tenant. The cost of such work shall be calculated by the Landlord whose decision shall be final and be paid to the Landlord by the Tenant on demand. Should payment not be received following the issuance of an invoice from the Landlord, the Landlord shall collect same as Additional Rent in addition to any other remedy available to the Landlord . It is further understood and agreed between the parties hereto that such entry upon the Premise shall be as an agent for the Tenant and shall not be deemed, for any purposes whatsoever, as an acceptance of the works by the Landlord. (2) When an Act of Default on the part of the Tenant has occurred: (a) the current year's Rent together with the next years' Rent shall become due and payable immediately; and, (b) the Landlord shall have the right to terminate this Lease and to re-enter the Leased Premises and deal with them as it may choose. (3) If, because an Act of Default has occurred, the Landlord exercises its right to terminate this Lease and re-enter the Leased Premises prior to the end of the Term, the Tenant shall nevertheless be liable for payment of Rent and all other amounts payable by the Tenant in accordance with the provisions of the Lease until the Landlord has re-let the Leased Premises or otherwise dealt with the Leased Premises in such manner that the cessation of payments by the Tenant will not result in loss to the Landlord and the Tenant agrees to be liable to the Landlord, until the end of the Term of this Lease for payment of any difference between the amount of Rent hereby agreed to be pa id for the Term hereby granted and the Rent any new Tenant pays to the Landlord . (4) If when an Act of Default has occurred, the Landlord chooses not to terminate the Lease and re-enter the Leased Premises , the Landlord shall have the right to take any and all necessary steps to rectify any or all Acts of Default of the Tenant and to charge the costs of such rectification to the Tenant and to recover the costs as Rent. (5) If, when an Act of Default has occurred, the Landlord chooses to waive its right to exercise the remedies available to it under this Lease or at law the waiver shall not constitute condonation of the Act of Default , nor shall the waiver be pleaded as an estoppel against the Landlord to prevent his exercising his remedies with respect to a subsequent Act of Default. No covenant, term, or condition of this Lease shall be deemed to have been waived by the Landlord unless the waiver is in writing and signed by the Landlord. 13. TERMINATION UPON NOTICE AND AT END OF TERM (1) If the Leased Premises and/or Property are subject to an Agreement of Purchase and Sale : (a) The Landlord shall have the right to terminate this Lease, notwithstanding that the Term has not expired, by giving ninety (90) days' notice (the "Notice") in writing to the Tenant and , at the Tenant's option , the Landlord shall pay to the Tenant the fair market value for the Hangar or the Tenant agrees to remove the Hangar and comply with Articles 9(3) and 10(5) of this Lease . Upon expiry of the Notice the Tenant shall provide vacant possession of the Leased Premises provided the Landlord pays to the Tenant a bonus of $500.00. For the purposes of this Article and Articles 13(3) and 13(4) fair market value shall be determined as of the date of the issuing of the Notice. (2) If the Tenant remains in possession of the Leased Premises after termination of this Lease as aforesaid and if the Landlord then accepts Rent for the Leased Premises from the Tenant, it is agreed that such overholding by the Tenant and acceptance of Rent by the Tenant's Initialk Landlord's Initials ---- Page 115 of 256 12 Landlord shall create a monthly tenancy only but the tenancy shall remain subject to all the terms and conditions of this Lease except those regarding the Term. The Parties agree that if the Term is not renewed then upon expiry of the Term or if the Tenant is an overholding tenant then either Party may terminate the lease upon sixty (60) days written notice to the other party and the Tenant shall comply with Articles 9(3) and 10(5) of this Lease. (3) Other than a termination of this Lease in accordance with Article 13(1) of this Lease, the Landlord shall, at any time and notwithstanding that the Term has not expired, have the unqualified right to terminate this Lease upon one year's prior written notification (the "Notice") if the Leased Premises are required for any reason or purpose of the Landlord in which event the Landlord shall pay to the Tenant the fair market value for the Hangar, if erected by the Tenant, unless the Tenant agrees to remove the Hangar and comply with Articles 6(3) and 7(5) of this Lease, and the Tenant shall provide such vacant possession upon the expiry of the Notice provided the Landlord pays to the Tenant a bonus of $500.00. (4) The Parties agree that it is their mutual intention that at the end of the Term of this Lease the lease shall be renewed upon such conditions and terms as agreed between the Parties. The Parties further agree that although it is their mutual intention to renew the lease nevertheless either party may decide not to renew the lease for any reason . The Parties acknowledge that upon such renewal all terms and conditions shall be negotiated between the Parties. If the Parties do not renew this Lease then the Parties agree that the Landlord shall be granted the Right of First Refusal to purchase the Hangar (the "Option"). The Tenant covenants that it will not sell the Hangar, or any part thereof, to any person, firm or corporation, without first providing the Landlord to exercise its Option as set out in the terms of this paragraph. Upon the Tenant receiving a bona fide offer in writing (the "Third Party Offer") the Tenant shall deliver to the Airport Office, 244411 Airport Road, Township of South-West Oxford , Ontario, a copy of the Third Party Offer and the Landlord shall have twenty business days (the "Notice Period") from the date of receipt of the Third Party Offer to exercise the Option to match the Third Party Offer. If the Landlord exercises its option in the Notice Period then it must inform the Tenant at the Property in writing that it will purchase the Tenant's interest in the Hangar on the same terms and conditions, or more favourable terms to the Tenant at the Landlord's discretion , as contained in the Third Party Offer (the "Landlord's Offer''). If the Landlord exercises its Option in the Notice Period then the Tenant must sell the Hangar to the Landlord upon the terms and conditions as contained in the Landlord's Offer. If the Landlord does not exercise its option in the Notice Period then the Tenant shall be at liberty to accept the Third Party Offer provided that there are no modifications to the Third Party Offer. If any modifications are made to the Third Party Offer then the Landlord shall be permitted to exercise its option pursuant to the terms of this paragraph. For the purpose of this paragraph, if the Tenant is a corporation, the word "sell", in addition to its ordinary meaning, shall be deemed to mean and include a sale or disposition of the corporate shareholding of the Tenant by the person or persons who, at the date of the commencement of the lease holds or hold a majority of the corporate shares. Subject to the conditions contained in Article 4 of this Agreement, the Parties agree that prior to the expiry of this Lease if the Tenant seeks to assign this Lease to a third party then the Landlord will agree to examine a proposal to extend the term of this Lease however nothing in this paragraph shall require the Landlord to accept any amendment of the term or new term. 14. ACKNOWLEDGMENT BY TENANT (1) The Tenant agrees that it will at any time or times during the Term , upon being given at least forty-eight (48) hours prior written notice, execute and deliver to the Landlord a statement in writing certifying: (a) Landlord's Initials ---- that this Lease is unmodified and is in full force and effect (or if modified stating the modifications and confirming that the Lease is in full force and Tenmt'' Initial ~ "· Page 116 of 256 13 effect as modified); (b) the amount of Rent being paid; (c) the dates to which Rent has been paid; (d) other charges payable under this Lease which have been paid; (e) particulars of any prepayment of Rent or security deposits ; and, (f) particulars of any sub tenancies. 15. SUBORDINATION AND POSTPONEMENT (1) This Lease and all the rights of the Tenant under this Lease are subject and subordinate to any and all charges against the land, buildings or improvements of which the Leased Premises form part, whether the charge is in the nature of a mortgage, trust deed , lien or any other form of charge arising from the financing or re-financing, including extensions or renewals, of the Landlord 's interest in the Property . (2) Upon the request of the Landlord the Tenant will execute any form required to subordinate this Lease and the Tenant's rights to any such charge, and will, if required, attorn to the holder of the charge . (3) No subordination by the Tenant shall have the effect of permitting the holder of any charge to disturb the occupation and possession of the Leased Premises by the Tenant as long as the Tenant performs his obligations under this Lease. 16. RULES AND REGULATIONS The Tenant agrees on behalf of itself and all persons entering the Leased Premises with the Tenant's authority or permission to abide by such reasonable rules, standards and regulations of the Airport and/or Property which shall form part of this Lease and as the Landlord may make and/or amend from time to time . 17. NOTICE (1) Any notice required or permitted to be given by one party to the other pursuant to the terms of this Lease may be given To the Landlord at: Tillsonburg Regional Airport Attn : Airport Administrator 244411 Airport Rd South-West Oxford, On N4G 4H1 Fax: 519-842-3445 To the Tenant at the Leased Premises or at: Ewart Mclaughlin 163988 Brownsville Rd Tillsonburg , ON N4G 4G8 519-521-7836 (2) The above addresses may be changed at any time by giving ten (10) days written notice. (3) Any notice given by one party to the other in accordance with the provisions of this Lease shall be deemed conclusively to have been received on the date delivered if the notice is Landlo,d's Initials Tonant's Initials ~ Page 117 of 256 14 served personally or seventy-two (72) hours after mailing if the notice is mailed. 18. REGISTRATION The Tenant shall not at any time register notice of or a copy of this Lease on title to the Property of which the Leased Premises form part without consent of the Landlord. 19. INTERPRETATION (1) The words importing the singular number only shall include the plural, and vice versa, and words importing the masculine, feminine or neutral gender shall include the other genders, and words importing persons shall include firms and corporations and vice versa . (2) Unless the context otherwise requires, the word "Landlord " and the word "Tenant" wherever used herein shall be construed to include the executors, administrators, successors and assigns of the Landlord and Tenant, respectively . (3) When there are two or more Tenants bound by the same covenants herein contained , their obligations shall be joint and several. 20. MISCELLANEOUS (1) Unless otherwise stipulated, parking, if applicable, in the common parking area shall be in common and unreserved . (2) If a dispute should arise between the Parties in the interpretation of this Agreement then both parties agree that such dispute shall be referred to binding arbitration and be bound by the result of such arbitration. The terms, form and procedure of the arbitration shall be in accordance with the Arbitration Act or any successor legislation. The parties further agree that the arbitrator shall be jointly chosen and the arbitrator shall have the ability to award costs of the arbitration. This clause shall not apply if the Tenant is in default under the terms of the Lease which include but are not limited to: (a) its obligations to pay Rent, Base Rent and/or Additional Rent; (b) non-repair or maintenance of the Leased Premises; (c) subleased the Leased Premises without the authorization of the Landlord, acting reasonably; (d) changed its use of the Leased Premises; or, (e) used the Leased Premises in any manner contrary to Article 7. (3) In the event that any clause herein should be unenforceable or be declared invalid for any reason whatsoever, such enforce ability or invalidity shall not affect the enforce ability or valid ity of the remaining portions of the covenants and such unenforceable or inva lid portions shall be severable from the remainder of this Lease . (4) This Lease shall be construed and enforced in accordance with the laws of the Province of Ontario. Any proceeding shall be brought at the City of Woodstock in the County of Oxford, Ontario. (5) The Tenant hereby agrees that it has had an opportunity to rev iew the terms of this Lease and seek independent legal advice. (6) Should any provision of this Lease require judicial interpretation or arbitration, it is agreed that the court or arbitrator interpreting or construing the same shall not apply a presumption Landlord's Initials Tenant's Initials /A- Page 118 of 256 15 that the terms thereof shall be more strictly construed against one party by reason of the rule of construction that a document is to be construed more strictly against the party who itself or through its agent prepared the same, it be agreed that both parties have participated in the preparation hereof. (7) Th is Lease and it's schedules constitutes the entire agreement between the Parties hereto pertaining to the subject matter hereof and supersedes all prior and contemporaneous agreements, understandings , negotiations and discussions , whether oral or w ritten, of the parties and there are no warranties, representations or other agreements between the Parties in connection with the subject matter hereof, except as specifically set forth he rein . No supplement, modification , waiver or term ination of this Lease shall be binding unless executed in writing by the Parties. (8) The Tenant agrees that it has not relied upon any representat ion , promise or warranty of the Landlord with respect to the condition of the Leased Premises, Hangar or any representation or promise of the Landlord to repa ir, renovate or otherw ise alter the Leased Premises in any manner prior to or after commencement of the Term . The Parties agree that the Leased Premises are being offered to the Tenant in an "as is " cond it ion . The Tenant shall not call on or demand the Landlo rd to perform any repairs or renovations prior to or after it obtains possession. The Tenant acknowledges that it has performed its own due diligence in establishing the state of repair of the Leased Premises including the Hangar. In Witness of the foregoing covenants the Landlord and the Tenant have executed this Lease . c?f:M~M;r 1tness Land lord 's Initials ---- Landlord Stephen Mo lnar, Mayor The Corporation of the Town of T illson burg Land lord Michelle Smibert , C lerk The Corporation of the Town of Tillsonbu rg We have authority to bind the Corporation . Ewart Mclaughlin Tenant Ten ant's Initial~ Page 119 of 256 16 Landlord's Initials ____ _ Tenant's Initials A pf/\_ Page 120 of 256 Landlord's Initials ---- 17 Schedule "A" THE "LEASED PREMISES" Taxiway G1 Lot 4 Tenant's Initials .....,b--· Page 121 of 256 . ·· .-· .... __ ... ...-··· __ .. - .£ B ~Pt: ~-·~ . .:.1-~ .2 1 ~ i" !' •. ::~--: ~J·: . . 3 ... .. ~~ ~ i ~ -----~--------,-~ _I,!-·•~ U!.'I I ~n"f?.I ... I ~ ~. 18 n i l l"':E P::t.: 3.•:~.t. ~If Lt. H ~K:~Ji 1 .fl .;.A-, :~ '0 :.=.-, :.~::~ )" (.J" ••• .~·· . ..... · __ ..;-···-· .r_ ... ~ ~ I · . ~ ~ " ! I !' I 1 I ·.;I •.. f l r.; '-· ~ ~ ~1;_,.;:-;---------. ...._ _______ --1------+--------~--------H --·-·-I'-··--·--·-·-·-·-1-----"Pi ;!~~-""°'""' ---------------------------------. \. '-· --r>......__ .. _ ' ... ..... - T0\1/N 0 . .F TILLSONUllRG OPI RA TJ ONS SE RV ICES E NGJN EE Rl:\"G DEPART~ l'E:'.\iT .:::.::·: u t~o .. -.o·,.,,.,..,. 51_1 1-c 2c ... I _L:j;J-t-.b . .J I'\(:: ~/·J ~,.,1 :_h t~L:.· ~i· / --,--:-r:: c;;;::: -->_.---!lWi-·"i r ."r --h -- ~ ...... ,,,_,=-rt·-1 .}1t:.; ::iJ'.•---t-.r ... ~:1-:.·.r·:.. ::. ;;:1.:<' n:·i:.:·TL':: =-f:::'f:x:::r: .:O ?:.x :o; :.!:1.:l .:. rr ·~::rr <: =R ;;;:;~:r: -:<:;·.-.-" u· '-. i.':-l'tl?' (F"'l:":-'IE" :p;·.;::,:.o::r. .;,:;o-r..:f". :'.i . _:{~.: C·:J<.OT:: ~~«.:.::C, c;::(.);: ::.. :;n-1·· C·:J-.OTO: f" t!l::;H~ Fl((:f: ae:·;·.·.ri:-~ --I'- Page 122 of 256 19 SCHEDULE "B" CONSTRUCTION REQUIREMENTS (N/A Existing Hangar) 1. The Tenant shall construct an airplane hangar building with approximate dimensions of 60 feet wide by 60 feet deep compromising a floor area of 3,600 square feet. 2 . The Tenant covenants and agrees, notwithstanding any other statute, regulation or provision regarding the federal government's authority to regulate the aeronautics industry, to: (a) obtain from the Landlord an Airport Development Permit prior to construction; (b) to pay to the Landlord a flat fee of $600 to administer the Airport Development Permit; (c) to construct the airplane hangar, and any other building that may be permitted, to the standard of the Ontario Building Code, 0. Reg . 332/12 as amended or replaced from time to time (the "OBC") and to the satisfaction of the Landlord in its sole and absolute discretion, and; (d) to ensure all persons retained by the Tenant have appropriate health and safety policies, insurance and WSIB coverage . 3. The Tenant shall provide to the Landlord the following in order to obtain an Airport Development Permit and approval for use of the Leased Premises and hangar thereon: (a) prior to construction, submission of: 1. all applicable fees; 2. 2 copies of a site plan showing the proposed location of the hangar and dimensions to the adjacent buildings; 3. 2 copies of construction drawings (foundation plan, floor plan, building elevations, diaphragm/truss bracing, anchorage, construction details/finishes, etc.) stamped by a professional engineer; 4. 2 copies of the truss drawings stamped by a professional engineer; and 5. Commitment to General Reviews form completed by both the building owner and professional engineer; (b) prior to occupancy and acceptance: (c) Landlord's Initials 1. inspection of the construction and acceptance of same by the Landlord in in respect of compliance with the OBC, the terms of this Airport Lease and all policies and rules regulating the Tillsonburg Airport; and 2. submission of all site reports (footing inspection, framing inspection, occupancy inspection) and an occupancy report from the professional engineer; and, final approval: ---- Page 123 of 256 20 1. provide a final report (verifying outstanding items not completed at occupancy have been completed/corrected) from the professional engineer if applicable . 4. The parties covenant and agree that the Tenant is not required to obtain a building permit from the Township of Southwest Oxford for construction of buildings on the Tillson burg Airport. 5. The Tenant covenants and agrees that failure to comply with the provisions of this schedule shall be an event of default of this Lease and in the absence of remedying such default, shall permit the Landlord to terminate this Lease and seek any and all other recourse against the tenant in such instance. Landlord's Initials ___ _ Tenant'• lnitiafa A- Page 124 of 256 21 SCHEDULE "C" (N/A Existing Hangar) CONSTRUCTION SCHEDULE Provided by the Tenant prior to execution of the lease agreement and approved by the Landlord. Preliminary Construction Schedule: Start of Construction N/A End of Construction N/A Note : Tenant has expressed that a detailed construction schedule will be provided once contractor and Tenant have finalized . Landlord's Initials ----Tonant'' Initials ~· Page 125 of 256 Page 1 of 4 Subject: Cemetery By-Law Final Draft Update Report Number: RCP 21-12 Department: Recreation, Culture and Parks Submitted by: Christopher Baird, Director of Recreation, Culture and Parks Meeting Type: Council Meeting Meeting Date: Monday, May 10, 2021 RECOMMENDATION THAT report RCP 21-12 Cemetery By-Law Final Draft Update, be received as information; AND THAT Council agrees with the recommendations provided by the Parks, Beautification and Cemeteries Advisory Committee; AND THAT the attached By-Law to govern the operations of the Tillsonburg Cemetery, and to repeal By-Law 3640, be brought forward for approval at the May 25, 2021 Council meeting. BACKGROUND At the Regular Council Meeting held on January 25, 2021, the new Cemetery Bylaw was presented to Council for discussion and adoption. Council had a few questions regarding the placement of shrubs and ornaments around gravestones. Prior to the Bylaw receiving third and final reading, the following Motion was approved: Resolution # 2021-057 Moved By: Councillor Parker Seconded By: Councillor Luciani THAT a By-Law to govern the operations of the Tillsonburg Cemetery and to repeal By-Law 3640, be read for a first and second reading and that the by-law be brought forward with proposed amendments regarding Page 126 of 256 RCP 21-12 Page 2 of 4 the placement of shrubs and ornaments around gravestones, and that options be provided to Council. DISCUSSION As directed by Council, the new Cemetery Bylaw was re-tabled at the April 1, 2021 Parks, Beautification and Cemeteries Advisory Committee meeting. The Committee was asked to review the specific items raised by Council. Those results and recommendations are as follows: (Section 10.4) Boulder Memorials – shall be discouraged in favour of flat tablet style markers that are far better for seasonal and long-term maintenance. (Section 12) Care of Lots: no person shall plant trees, shrubs, flowers – After discussion, the Committee agreed that this could be addressed with additional signage provided at various points in the Cemetery. Consolidation and clarification of Sections 12.3 to 12.6 will be completed. (Section 12.10) Boarders, fences etc. are not permitted – agreement by committee; Maurice emphasized how important is to train staff in sensitivity when discussing these rules. (Section 12.11 and 12.12) Solar lights not permitted. (Section 13.10) Potted plants for duration of specific times – The Committee agreed that it is important to include natural flowers as long as they are maintained. Artificial flowers can also be considered, but all shall be placed no earlier than May 1st and must be removed no later than October 31 annually. General Comments for Council’s future consideration –“Green Burials”, Columbaria for cremains and designating an area of the Cemetery as a Flat Marker site only which produces a more park-like environment that is visually appealing and keeps maintenance considerable less. These can each be further reviewed at the next update of the Cemetery Master Plan. The following Motion was tabled and approved: Proposed Resolution #4 Moved by: Susan Saelens Seconded by: Ken Butcher THAT the Parks, Beautification and Cemeteries Committee recommend that Council approve amendments to the bylaw. Page 127 of 256 RCP 21-12 Page 3 of 4 AND that a combination of fresh and artificial flowers be approved to be placed after May 1st and removed on October 31 annually. AND that the Committee recommends investigating the future promotion of flat markers and green burial concepts. Carried. CONSULTATION This report has been prepared in consultation with staff in the Parks and Cemetery’s Team and Clerks Department. The Parks, Beautification and Cemeteries Advisory Committee has provided initial review and further recommendations. FINANCIAL IMPACT/FUNDING SOURCE There are no financial impacts associated with the adoption of the new Cemetery By-Law. COMMUNITY STRATEGIC PLAN (CSP) LINKAGE 1. Excellence in Local Government ☒ Demonstrate strong leadership in Town initiatives ☐ Streamline communication and effectively collaborate within local government ☐ Demonstrate accountability 2. Economic Sustainability ☐ Support new and existing businesses and provide a variety of employment opportunities ☐ Provide diverse retail services in the downtown core ☐ Provide appropriate education and training opportunities in line with Tillsonburg’s economy 3. Demographic Balance ☒ Make Tillsonburg an attractive place to live for youth and young professionals ☐ Provide opportunities for families to thrive ☒ Support the aging population and an active senior citizenship 4. Culture and Community ☐ Promote Tillsonburg as a unique and welcoming community ☐ Provide a variety of leisure and cultural opportunities to suit all interests Page 128 of 256 RCP 21-12 Page 4 of 4 ☐ Improve mobility and promote environmentally sustainable living ATTACHMENT Attachment A – Mark up version – Final Draft of New Cemetery By-Law Page 129 of 256 THE CORPORATION OF THE TOWN OF TILLSONBURG BY-LAW 2021-___ A BY-LAW governing the operations of the Tillsonburg Cemetery under the jurisdiction of the Town of Tillsonburg, in particular, governing the rights, entitlements and restrictions with respect to interment rights, in accordance with the Funeral, Burial and Cremation Services Act, 2002, S.O. 2001, c.33 and to repeal By-Law 3640. WHEREAS The Corporation of the Town of Tillsonburg owns and operates the municipal cemetery known as the Tillsonburg Cem etery, located at 191493 Simcoe Street, Tillsonburg, Ontario; AND WHEREAS the Funeral, Burial, Cremation Services Act, 2002, S.O. 2001, c.33 regulates the operations of cemeteries in Ontario; AND WHEREAS the Council of The Corporation of the Town of Tillsonburg deems it desirable to enact a By-Law to regulate the operation of the Tillsonburg Cemetery; BE IT THEREFORE ENACTED by the Council of the Corporation of the Town of Tillsonburg as follows: 1. DEFINITIONS 1.1. ACT and FBCSA means the Funeral, Burial and Cremation Services Act, 2002, S.O. 2002, c.33 and all amendments thereto together with all Regulations prescribed thereunder. 1.2. BODY means the body of a deceased person. 1.3. BURIAL means the opening and closing of an in-ground lot or plot for the disposition of human remains or cremated human remains. 1.4. BURIAL PERMIT means a permit for the burial of human remains issued by the Division Registrar. 1.5. BY-LAWS mean the rules and regulations that govern the operation of the Cemetery. 1.6. BRONZE PLAQUE means an ornament of bronze affixed to a columbarium niche. 1.7. CARE AND MAINTENANCE FUND means the trust fund in which a percentage of the purchase price of all Interment Rights and set amounts for Page 130 of 256 By-Law 2021-___ Page 2 of 33 monument and marker installations is contributed; and wherein the interest earned from such fund is used to provide care and maintenance of lots, plots, markers, monuments and structures at the Cemetery. 1.8. CEMETERY means the Tillsonburg Cemetery located at 191-193 Simcoe Street, Tillsonburg, Ontario. 1.9. CEMETERY MANAGER means the Director of RCP or his/her designate appointed to oversee the Operations of the Department. 1.10. CEMETERY SUPERVISOR means the person, or designate who maintains the cemetery grounds; opens and closes graves and niches; and represents the Town for all interments/inurnments. 1.11. CEMETERY OPERATOR means The Corporation of the Town of Tillsonburg who is the owner of the Tillsonburg Cemetery. The town offices are located at 200 Broadway, Suite 204, Tillsonburg, Ontario. 1.12. CEMETERY PRICE LIST means a list of the rates for the supplies and services of the Cemetery as described in the Town’s most current Tariff of Fees By-Law. 1.13. COLUMBARIUM means a structure designed for inurnment of cremated human remains in sealed compartments. 1.14. CONTRACT means the contract that is required to be signed by a representative of the Cemetery Operator and all purchasers of interments rights and which details the obligations of both parties and acceptance of the cemetery By-Laws. 1.15. CREMATED REMAINS means the residue after cremation of the body and of the casket or container in which it was received. 1.16. DEFINED FLOWER BED means a flowerbed free of weeds and grass and created in accordance with the cemetery’s rules and regulations. 1.17. DESIGNATE means the person authorized by the Cemetery Supervisor and/or Cemetery Manager to act on their behalf on a temporary basis. 1.18. FOUNDATION means the below-ground concrete structure upon which rests the base stone of a monument. Page 131 of 256 By-Law 2021-___ Page 3 of 33 1.19. GRAVE (also known as lot) means an in-ground burial space intended for the interment of a child, adult or cremated human remains. 1.20. HUMAN REMAINS means a dead human body or the remains of a cremated human body. 1.21. INTERMENT means a burial of human remains and includes the placing of human remains in a lot. 1.22. INTERMENT RIGHTS means the right to require or direct the interment or inurnment of human remains in a grave, lot, niche and direct the associated memorialization. 1.23. INTERMENT RIGHTS CERTIFICATE means the document issued by the Cemetery Operator to the purchaser once the interment rights have been paid in full, identifying ownership of the interment rights. 1.24. INTERMENT RIGHTS HOLDER means the person who holds the interment rights to inter human remains in a specific lot whether the person be the purchaser of the rights, the person named in the Interment Rights Certificate or such other person to whom the interment rights have been assigned and shall be listed in the records of the Cemetery. 1.25. INURNMENT means the placing of cremated human remains in a niche. 1.26. LOT means an area of land in a cemetery containing, or set aside to contain, human remains and includes a niche in the Columbarium. 1.27. MARKER means any permanent memorial structure that is set flush and level with the ground, and used to mark the location of a burial lot. 1.28. MONUMENT means any permanent memorial projecting above the ground installed within the designated space to mark the location of a burial or lot. 1.29. NICHE means a sealed compartment in a Columbarium, designed for the inurnment of cremated human remains. 1.30. PLOT means a parcel of land, sold as a single unit, containing multiple lots. 1.31. PUBLIC REGISTER means the register that is required to be made available to the public and contains the information as prescribed under the FBCSA, Ontario Regulation 30/11. 1.32. REGISTRAR means the Registrar appointed under the FBCSA. Page 132 of 256 By-Law 2021-___ Page 4 of 33 1.33. REGULAR INTERMENT means the interment of human remains which have not been cremated. 1.34. REGULATIONS means the regulations made pursuant to the Funeral, Burial and Cremation Services Act, 2002. 1.35. TRANSFEREE means a person wherein the interment rights with respect to a lot(s) or niche(s), have been either transferred or resold to such person. 1.36. TREASURER means the Treasurer of The Corporation of the Town of Tillsonburg. 1.37. URN means any container used to hold cremated human remains. 1.38. VAULT means a burial chamber (underground). 2. GENERAL INFORMATION 2.1. The Cemetery Operator reserves full and complete control and management of the land, buildings, plantings, roads, utilities, books and records of the cemetery, and complete authority to administer this By-Law regarding all cemetery operations. 2.2. Hours of Operation: (a) Municipal Office hours are Monday to Friday, 8:30 a.m. to 4:30 p.m. (b) Cemetery Office hours are 9 am to 1 pm Monday to Friday. (c) Normal interment or inurnment hours are Monday to Friday, 9:00 a.m. to 3:00 p.m. (d) Visiting hours are daily from dawn to dusk. Interments/Inurnments Outside of Normal Hours of Operation: (a) Interments/inurnments may be requested to take place after 4 pm., Monday to Friday, however additional charges will apply. These charges are identified in the Cemetery Price List. (b) Interments/inurnments may be requested to take place on a Saturday between 9 am and 4 pm, however additional charges will apply. These charges are identified in the Cemetery Price List. Page 133 of 256 By-Law 2021-___ Page 5 of 33 2.3. General Conduct: The Cemetery Operator reserves the full control over the cemetery operations and management of land within the cemetery grounds. (See Section 16 for “Rules for Visitors”). 2.4. The Cemetery Operator is committed to protecting the privacy of its Interment Rights Holders. We collect, use and disclose personal information as required by governing federal and provincial legislation. We do not rent, sell, or trade personal information lists. Individuals may request their personal information in writing at any time to ensure that it is correct and current or to edit it. 2.5. The Cemetery Operator reserves the right, at its cost, to correct any error that may be made by it in making interments/inurnments, in the description of the lot/niche, or the transfer or conveyance of any interment rights. The Cemetery Operator may, at its sole discretion, either, cancel such grant and substitute other interment rights, or lot of equal value and similar location, as far as is reasonably possible; or refund all money paid on account for such purchase. Notice will be given personally to the Interment Rights Holder. If necessary, it may be mailed to the Interment Rights Holder or their legal representative, at their last appearing address in the record books of th e cemetery. In the event any such error may involve the disinterment of remains, the Cemetery Operator shall first obtain the approval of any regulatory authority and the Interment Rights Holder. 2.6. By-Law: The Cemetery Operator shall be governed by this By-Law and all procedures will comply with the Funeral, Burial and Cremation Services Act, 2002, which may be amended periodically. To the extent that an y particular provision of this By-Law is in conflict with the provisions of the Funeral, Burial and Cremation Services Act, 2002, the provisions of the Funeral, Burial and Cremation Services Act, 2002 shall govern and this By-Law shall be deemed to have been amended to conform thereto in all respects. 2.7. By-Law Amendments: All By-Law amendments must be: (a) Published once in a newspaper with general circulation in the locality in which the cemetery is located; Page 134 of 256 By-Law 2021-___ Page 6 of 33 (b) Conspicuously posted on a sign at the entrance of the cemetery; and (c) Delivered to each supplier of markers who has delivered a marker to the cemetery during the previous year, if the By-Law or By-Law amendment pertains to markers or their installations. All By-Laws and By-Law amendments are subject to the approval of the Registrar, Bereavement Authority of Ontario (BAO). 2.8. Liability: The Cemetery Operator will not be held liable for any loss or damage, without limitation (including damage by the elements, Acts of God, or vandals) to any lot, plot, columbarium niche, monument, marker, or other article that has been placed in relation to an interment right save and except for direct loss or damage caused by gross negligence of the cemetery. 2.9. Public Register: A public register will be maintained and made available to the public during regular office hours. 2.10. Pets and Other Animals: Only human remains shall be interred in the cemetery and in no case shall the bodies of any lower animal be placed in any grave in the cemetery. 2.11. Right to Re-Survey: The Cemetery Operator has the right at any time to re- survey, enlarge, diminish, re-plot, change or remove plantings, grade, close pathways or roads, alter in shape or size, or otherwise change all or any part of the cemetery, subject to approval of the appropriate authorities. 3. FINANCIAL 3.1. All fees and charges shall be payable in accordance with the Cemetery Price List which shall be set annually by Council upon recommendation of the Cemetery Manager, who will forward same to the Cemetery Operator. 3.2. Payments for all purchases and services pertaining to the Cemetery shall be paid to the Cemetery Operator as follows: - All interment rights, purchases and services shall be paid in full at the time of purchase or service; - Interments/inurnments shall be paid in full before a burial can take place. Page 135 of 256 By-Law 2021-___ Page 7 of 33 Payments shall be submitted by cash, cheque or debit. Cheques shall be made payable to the “Town of Tillsonburg” (Cemetery Operator). 3.3. All revenue and other monies belonging or pertaining to the Cemetery shall be received by the Treasurer. 3.4. As required by Sections 166 and 168 of Regulation 30/11, a percentage of the purchase price of all interment rights, and a prescribed amount for monuments and markers is contributed into the care and maintenance fund. Income from this fund is used to provide only general care and maintenance of the cemetery. Contributions to the care and maintenance fund are not refundable except when interment rights are cancelled within the thirty (30) day cooling off period. 3.5. The Treasurer shall keep such books, accounts and records as are necessary for properly recording and exhibiting all financial matters pertaining to the Cemeteries as may be prescribed. 3.6. The Treasurer shall maintain, invest, and administer the Care and Maintenance Fund in accordance with the provisions of the Act and the regulations made thereunder. 3.7. The Cemetery Manager shall submit a yearly annual budget to Council setting out operating and capital expenses for approval of Council. In determining the budget, the Cemetery Manager shall not be bound to expend the whole of operating or capital revenues in any year or years but may accumulate and hold or subsequently expend the same or any part thereof, or invest the same or any part thereof. 4. SALE OF INTERMENT RIGHTS 4.1. Purchasers of interment rights acquire only the right to direct the burial of human remains, and the installation of monuments, markers and inscriptions, subject to the conditions set out in the cemetery by‐laws. No interment, inurnment, or installation of any monument, marker, inscription, or memorialization is permitted until the interment rights have been paid in full. An Interment Rights Certificate will be issued to the Interment Rights Page 136 of 256 By-Law 2021-___ Page 8 of 33 Holder(s) when payment has been made in full. (See Section 3.2 of this By- Law for rules on payments). The purchase of interment rights is not a purchase of Real Estate or real property. An Interment Rights Holder wishing to resell their interment rights may advise the Cemetery Operator of their intention prior to seeking a third party buyer for their interment rights. (See Section 5 for Resale of Interment Rights). 4.2. The Cemetery Operator has for sale the following interment rights: Regular Lots Cremation Lots Columbarium Niches 4.3. All prices for cemetery lots and services shall be set out in the Cemetery Price List. Prices for lot(s) shall include the applicable portion for deposit to the Cemetery’s Care and Maintenance Fund. (See Section 3.2 for payments regarding interment rights). 4.4. The monies received for interment rights shall be held by the Treasurer for a period of thirty (30) days as prescribed by the Act. 4.5. The Cemetery Operator shall, after the thirtieth (30th) day but before sixty (60) days, transfer the monies received for interment rights into the Cemetery Care and Maintenance Fund and Operating Fund. 4.6. The Cemetery Operator shall provide each Interment Rights Holder at the time of sale with: (a) a copy of the Interment Rights Certificate; (b) a copy of the Contract for Purchase of Interment Rights; (c) a copy of the Cemetery By-Law; (d) a copy of the current Cemetery Price List; and (e) a copy of the Consumer Information Guide. 4.7. In order for the Contract for Purchase of Interment Rights to be valid, it must be signed and dated by both the Purchaser and the duly authorized representative of the Cemetery Operator. 4.8. The Interment Rights Certificate shall specify: Page 137 of 256 By-Law 2021-___ Page 9 of 33 (a) the name of the Interment Rights Holder, (b) the size of the lot (c) the location of the lot; (d) the date of purchase (e) the amount paid for the lot (f) the amount to be deposited in the Care and Maintenance Fund (g) the amount of tax; (h) the amount refundable; (i) a statement regarding transfer/resale restrictions of said interment rights; and shall be subject to the provisions of the Funeral, Burial and Cremation Services Act, 2002, and the Ontario Regulations in effect thereunder and to the approved By-Laws of the Cemetery Operator which may be in effect from time to time. 4.9. The purchaser of interment rights shall be provided with a Contract, at the time the Contract is made, which shall indicate: (a) the name, address and telephone number of the Operator; (b) the Operator's licence number as provided by the Registrar; (c) the Contract reference number; (d) the date interment rights were purchased; (e) the name, address and telephone number of the purchaser; (f) the name, address and telephone number of the Interment Rights Holder; (g) the location and dimensions of the lot(s) being purchased; (h) the number and type of interments/inurnments permitted in each lot/niche; (i) the purchase price including an itemized breakdown of cemetery supplies and services charges and all applicable taxes; (j) the amount being set aside for the Care and Maintenance Fund; (k) the existence of a By-Law that governs the operation of the Cemetery and includes restrictions on interment rights in the Cemetery (l) any limitations or restrictions on exercising the interment rights; and (m)any limitations with respect to markers, lot decorations and private structures. Page 138 of 256 By-Law 2021-___ Page 10 of 33 4.10. A Contract for the provision of licensed supplies or services is not enforceable by the Operator unless, (a) the Contract is written, signed by both parties and complies with the regulations; (b) the Contract sets out the purchaser's cancellation rights under the Act; (c) the Contract sets out all the supplies and services to be provided and the price charged for each of them; (d) the Operator delivers a signed copy of the Contract to the purchaser in the prescribed manner; and (e) in the case of a Contract for the purchase of interment rights, the Operator delivers to the purchaser, (i) a copy of the By-Laws of the Cemetery and written notice as to whether the By-Laws of the Cemetery permit the purchaser to resell the interment rights to a third party, and (ii) a description of the location of the lot that is purchased. 4.11. The Cemetery Operator shall not reserve lots for future purchase. 4.12. A bronze plaque is required to be purchased at the time of purchase of a niche in a Columbarium. (See Section 9 for “Columbarium Regulations”). 4.13. The Interment Rights Holder shall notify the Cemetery Operator in writing within thirty (30) days of any changes in their mailing address. 5. CANCELLATION OR RESALE OF INTERMENT RIGHTS 5.1. Cancellation of Interment Rights within 30 Day Cooling-Off Period: The purchaser of interment rights has the right to cancel an interment rights contract within thirty (30) days of signing the interment rights contract (“30 - day cooling-off period”) by providing written notice of the cancellation to the Cemetery Operator. The Cemetery Operator will refund all monies paid by the purchaser within thirty (30) days from the date of the request for cancellation less sums chargeable under the contract or pursuant to the FBCSA in respect of interment services provided within the 30 day period at Page 139 of 256 By-Law 2021-___ Page 11 of 33 the request and with the consent of the Interment Rights Holder or his or her assign or representative. 5.2. Notice of Resale and Transfer of Interment Rights: The Cemetery Operator permits an Interment Rights Holder to sell or transfer their interment right s to a third party, at no more than the current price listed on the Cemetery Price List, as long as the sale or transfer is conducted through the Cemetery Operator and the purchaser meets the qualifications and requirements as outlined in this By-Law. 5.3. Resale of Interment Rights after 30 Day Cooling‐Off Period: Unless the interment rights have been exercised the purchaser retains the right to re ‐sell the interment rights. Once payment for the interment rights has been made in full, and an Interment Rights Certificate has been issued, the Interment Rights Holder(s), as recorded on the cemetery records, has right to re ‐sell the interment rights. Any resale of the interment right shall be in accordance with the requirements of the cemetery by‐laws and in keeping with the FBCSA. If any portion of the interment rights in relation to a specific lot have been exercised, the purchaser, or the Interment Rights Holder(s) is not entitled to re‐sell the interment rights in relation to that specific lot. 5.4. Requirements for Resale of Interment Rights: (a) The Interment Rights Holder(s) intending to sell their rights shall provide the following documents to the Cemetery Operator so that the operator can confirm the ownership of the rights and provide the third party purchaser with the required certificate etc.: (1) an Interment Rights Certificate endorsed by the current rights holder; (2) a written statement of the number of lots that have been used in the plot and the number of lots that remain available; (3) any other documentation in the Interment Rights Holder(s) possession relating to the rights. (b) The third party purchaser will be provided with the following documents by the Cemetery Operator: (1) an Interment Rights Certificate endorsed by the current rights holder; Page 140 of 256 By-Law 2021-___ Page 12 of 33 (2) a copy of the cemetery’s current by‐laws; (3) a copy of the cemetery’s current price list; (4) a written statement of the number of lots that have been used in a plot and the number of lots that remain available; and (5) any other documentation in the Interment Rights Holder(s) possession relating to the rights. (c) The Cemetery Operator will require: (1) the following Resale Endorsements completed and signed: - Rights Holder(s) Endorsement of Resale; - Acknowledgement of Transferee(s); and - Cemetery Operator Acknowledgement and Acceptance of the Resale. (2) confirmation that the person selling the interment rights is the person registered on the cemetery records and that they have the right to re‐ sell the interment rights; (3) a statement of any money owing to the Cemetery Operator in respect to the interment rights. 5.5. Once the endorsed certificate and all required information has been received by the Cemetery Operator from the rights holder(s), the Cemetery Operator will issue a new Interment Rights Certificate to the third party purchaser. 5.6. Upon completion of Section 5.4 and 5.5, the third party purchaser or transferee(s) shall be considered the current Interment Rights Holder(s), and the resale or transfer of the interment rights shall be considered final in accordance with the cemetery by‐laws and the FBCSA. 5.7. The Cemetery Operator shall charge an administration fee for the resale or transfer of interments rights in accordance with the current Cemetery Price List. The administration fee is due at the time of resale or transfer. 5.8. Repurchase of Interment Rights: The Cemetery Operator does not prohibit the resale of an interment rights and may repurchase the interment rights from the Rights Holder(s) if the Cemetery Operator so desires and may Page 141 of 256 By-Law 2021-___ Page 13 of 33 negotiate a purchase price so long as the seller acknowledges being aware of the Cemetery Operators current price list amount for interment rights. The Cemetery Operator shall not repurchase the interment rights of any lot or plot wherein the rights have been exercised. Also, the Cemetery Operator shall not repurchase the interment rights of any lot or plot wherein a monument/ marker is installed on said lot or plot, unless the Rights Holder removes such monument/marker at their own expense prior to the repurchase. 6. TRANSFER OF LOTS 6.1. For the purposes of this section, ‘Transfer’ means a gift, a bequest or devolution under a will, but not a resale of interment rights. The Cemetery reserves the right to require the production of a notarial copy of the Will or Certificate of Appointment of Estate of Trustee or other evidence sufficient to prove ownership or authority to deal with the interment rights. 6.2. To ensure the correctness of records of ownership and interments/inurnments, no transfer of any lot/niche or interest therein shall be binding upon the Cemetery until a Transfer Form and such other particulars as may be necessary for proper identification is completed and given to the Cemetery Manager. Upon receipt of the Transfer Form and other documentation if required, and payment of a fee, the transfer shall be made and a new Interment Rights Certificate issued to the Transferee along with a copy of the Cemetery By-Law and price list. 6.3. In the case of a transfer, the Cemetery Caretaker or designate must confirm that all lots transferred are usable prior to an interment taking place. 7. INTERMENTS/INURNMENTS 7.1. The Interment Rights Holder(s) must complete an Order for Interment Form prior to a burial taking place. Should the Interment Rights Holder be deceased, the Order for Interment Form shall be completed by the person Page 142 of 256 By-Law 2021-___ Page 14 of 33 authorized to act on behalf of the Interment Rights Holder, ie. Personal Family Representative, Estate Trustee, Executor, Lawyer or Next of Kin. 7.2. When interment rights are held jointly by two or more persons, an Order for Interment Form will be accepted from either or any of them or their authorized representative. 7.3. Verbal orders for interments/inurnments shall be accompanied by a completed Order for Interment Form prior to an interment/inurnment taking place. 7.4. The Cemetery shall not be responsible for any errors on the Order for Interment Form and shall not be responsible for any errors or misunderstandings that may arise on verbal orders. 7.5. An Authorization Form shall be completed for a request for an interment/ inurnment in the event that the interment rights for a lot/niche are not recorded under the deceased’s name. 7.6. A burial permit issued by the Registrar General or equivalent document showing that the death has been registered with the province must be provided to the Cemetery Supervisor or designate prior to a burial taking place. A Certificate of Cremation must be submitted to the Cemetery Supervisor or designate prior to an interment/inurnment of cremated remains taking place. 7.7. In accordance with the FBCSA the purchaser of interment rights must enter into a cemetery contract, providing such information as may be required by the Cemetery Operator for the completion of the contract and the public register prior to each interment/inurnment. 7.8. Persons requesting an interment/inurnment shall be held responsible for all charges incurred. The interment/inurnment fees include the opening and closing of a lot/niche. Rates may be adjusted from time to time without prior notice by the Cemetery Operator. (See Section 3.2 for payments regarding interments/inurnments). 7.9. Any person(s) who wishes to make arrangements for an interment/inurnment shall give the Cemetery Operator notice of each interment/inurnment at least Page 143 of 256 By-Law 2021-___ Page 15 of 33 sixteen (16) working hours (2 business days) in advance for summer interments/inurnments (Apr 1 - Nov 30), except under special circumstances. The Cemetery Operator shall be given notice of each interment/inurnment at least twenty-four (24) working hours (3 business days) in advance for winter interments (Dec 1 - Mar 31), except under special circumstances. The Cemetery Operator cannot be responsible for having lots prepared for funerals unless such notice is given by such person(s). 7.10. Every effort will be made to complete a burial on the assigned day and time. If due to inclement weather conditions, health and safety concerns, or conditions beyond the Cemetery Operator’s control, a burial cannot be made at the scheduled time, the burial shall be completed as soon as possible at a later time. 7.11. No interment/inurnment shall be made on Sunday or Statutory Holidays, except upon receipt of a Doctor’s Certificate stating that a burial must be made within twenty-four (24) hours of the death in accordance with the regulation of the Ontario Ministry of Health for control of communicable diseases. 7.12. The opening and closing of graves and niches may only be conducted by Cemetery Caretaker, or those designated to do work on behalf of the Cemetery Operator. 7.13. Cremated remains shall not be permitted to be scattered on a grave. 7.14. Not more than one (1) regular interment shall be permitted in a regular or memorial lot. One regular interment and one cremation interment are permitted in any regular or memorial lot; or up to four cremation interments may be permitted in any regular or memorial lot. 7.15. Remains to be buried in a lot must be enclosed in a casket, sealed securely, and of sufficient strength to permit the burial with the container remaining in tact. The casket must be of a size to permit a burial within the size of the lot. (See Section 7.18 for information regarding vaults). 7.16. Vaults are highly recommended for all regular interments in the cemetery. The Municipality requires vaults for Section 5 and Section 6 of the Cemetery, Page 144 of 256 By-Law 2021-___ Page 16 of 33 however Sections 1 to 4 are declared “no vault” sections. If vaults are to be used for Sections 1 to 4, the Funeral Directors m ay be required to keep vault sizes to standard or oversize as the placement of jumbo vaults or any vaults larger than oversize may jeopardize a future burial in an adjacent lot. 7.17. Urn vaults with exterior dimensions larger than 18” in length x 18” in width x 18” in height shall not be permitted in the Cemetery. 7.18. An urn may be placed inside a casket to be interred; however, a fee will be required for one (1) regular interment and one (1) cremation interment at the same time as determined by the Cemetery Price List will be required. 7.19. When regular interments are required, the funeral home which is conducting the burial shall be responsible for the supply and operation of lowering devices and artificial grass, whether owned by the funeral home or leased from a supplier by the funeral home. 7.20. The Cemetery Supervisor or designate shall be in attendance at each interment/ inurnment. 7.21. The Cemetery Operator will exercise all due care when making interments and disinterment’s, but it is not responsible for damage to any casket, urn or other container sustained during interment or disinterment. 8. DISINTERMENTS 8.1. Human remains may be disinterred from a lot provided that the written consent (authorization) of the Interment Rights Holder has been received by the cemetery operator and the prior notification of the medical officer of health. A certificate from the local medical officer of health must be received at the cemetery office before the removal of casketed human remains may take place. A certificate from the local medical officer of health is not required for the removal of cremated remains. 8.2. In special circumstances the removal of human remains may also be ordered by certain public officials without the consent of the Interment Rights Holder and/or next of kin(s). Page 145 of 256 By-Law 2021-___ Page 17 of 33 8.3. Any person(s) who wishes to make arrangements for a disinterment shall give three (3) days’ written notice to the Cemetery Operator so that arrangements can be confirmed with the South-West Public Health Unit. 8.4. The human remains of persons who have died from contagious diseases may be removed only with the consent of the local medical officer of health or other public official having authority. 8.5. When a disinterment is to take place, the Cemetery Supervisor or designate is responsible to open the grave and the Funeral Director retained for the purpose of the disinterment is responsible to disinter the body. 9. COLUMBARIUM REGULATIONS 9.1. No inurnment shall be made without permission from the Interment Rights Holder or a person authorized to act on the Holder’s behalf. 9.2. No inurnment shall be permitted until all payments due to the Cemetery have been made. 9.3. Niches will be opened only by the Cemetery Supervisor or those designated to do work on behalf of the Cemetery Operator and sealed by them after an inurnment is made. 9.4. No person other than the Cemetery Supervisor or those designated to do work on behalf of the Cemetery Operations shall remove or alter niche fronts. 9.5. Two (2) cremated remains are allowed to be placed in each niche as long as they comply with the dimensions of the niche. 9.6. Any urn which cannot be contained within the niche shall not be inurned. 9.7. Flowers, wreaths and designs placed against or near any part of the Columbarium will be removed. No glass vases or other breakable items should be placed around the Columbarium. Nothing is to be attached to the face of the Columbarium other than the bronze plaque purchased for each niche. 9.8. Any cut flowers/artificial flowers for those inurned in the Columbarium shall be placed in the appropriate plaque. Page 146 of 256 By-Law 2021-___ Page 18 of 33 9.9. In the event of damage to the columbarium, a niche or the facing thereof caused by someone other than an Interments Right Holder or a contractor or other individual acting under his or her instructions, the Cemetery shall repair or replace the damaged property with material of like kind and quality, but if the material of like kind and quality is not obtainable, the Cemetery may select other material which is as similar as possible to the material which has been damaged and destroyed and which is capable of performing the same function. The Cemetery shall not be responsible for any delay beyond its reasonable control in obtaining the material and completing the required repairs or replacement. 10. MEMORIALS 10.1. No memorial or other structure shall be erected or permitted on a lot until the Care and Maintenance fee has been paid in full. 10.2. In cases where the internments right holder has authorized a third party (e.g. a monument supplier) to act on their behalf, a permission form must be received prior to any work being completed. The permission form must include the signature of the internments right holder (or authorized representative – i.e. executor of an estate) as well as size of the memorial to be installed. 10.3. The Cemetery Operator reserves the right to determine the maximum size of monuments/markers, their composition, their number and their location on each lot with the following conditions: (a) all monuments/markers must be of a size that would not interfere with any future interments. (b) not more than one (1) upright monument and one (1) marker shall be permitted on a single grave where permitted. (c) all monuments and markers shall be constructed of natural stone (i.e. granite) or bronze that is affixed to natural stone. (d) Monument Dimension Guide (Schedule A) Page 147 of 256 By-Law 2021-___ Page 19 of 33 i. all upright monuments shall be placed in the established monument row of the lot unless otherwise indicated by the Cemetery Operator. ii. all tablets must have a base underneath that is of greater width and thickness than the tablet (except in cases of boulders or benches) and a height of no less than four inches (4”). iii. on a single lot, the width of the monument (inclusive of any base), shall not exceed thirty inches (30”) in width. If the monument exceeds thirty eight inches (38”) in height, inclusive of any base, then the tablet must be a minimum of eight inches (8”) thick. iv. on multiple lots (i.e. two, three, etc), the width of the monument (inclusive of base or any sub structure), shall not exceed 2/3rds of the total width of the plot. If the memorial exceeds thirty eight inches (38”) in height (inclusive of base) then any tablet must be a minimum of eight inches (8”) thick. v. All monument tablets shall have a minimum thickness of six inches (6”) at the bottom (bed) of the tablet where it meets the top of the base. vi. no monument (inclusive of base or any other sub structure) shall exceed forty eight inches (48”) in height vii. no monument (inclusive of base) shall exceed twenty inches (20”) in thickness when located in an established monument row. viii. in cases where there is no established monument row (in older sections) the Cemetery Operator will determine if a memorial can safely be installed and will determine the maximum size and placement at that time. (e) Flat Marker Dimension Guide (Schedule B) i. all markers will be installed by the Cemetery Operator at the expense of the Interment Rights Holder or entity authorized to act on the Holder’s behalf (e.g. a monument supplier). ii. all concrete pertaining to flat markers (i.e. a concrete border around a marker) will be completed by the Cemetery Operator at their discretion Page 148 of 256 By-Law 2021-___ Page 20 of 33 (once all information has been received) and at the expense of the Interment Rights Holder or entity authorized to act on the Holder’s behalf. iii. at the time a marker is delivered to the cemetery, the Cemetery Operator must be presented in writing (by the Interment Rights Holder or an entity authorized to act on the Holder’s behalf) the size of the marker as well as any information pertaining to the location of the installation. iv. markers must be delivered during established cemetery business hours and in a location designated by the Cemetery Operator. v. a flat marker may be placed in the established monument row of a lot provided there is no upright monument or marker already erected in the established monument row on said lot. vi. a secondary flat marker may be placed directly in front of the monument/marker in a lot that contains an existing upright monument or marker in the established monument row. vii. if there is no established monument row then the Cemetery Operator will determine the location of the marker placement. viii. the minimum thickness (top to bottom) for all flat markers in any section (including footstones) is four inches (4”). ix. on a single lot, a flat marker shall not exceed thirty inches (30”) in width, inclusive of any concrete or granite border. x. on multiple lots (i.e. two, three, etc), a flat marker shall not exceed 2/3rds of the total width of the plot, inclusive of any concrete or granite border. xi. a flat marker placed in the established monument row of a lot shall not exceed twenty inches (20”) in depth (front to back) inclusive of any cement or granite border. xii. a flat marker placed outside of the established monument row of a lot shall not exceed sixteen inches (16”) in depth (front to back) inclusive of any cement or granite border. xiii. only one (1) flat marker is permitted to be installed in the area designated for “Cremation” and “Baby plots” and shall not exceed thirty inches (30”) in width and twenty inches (20”) in depth (front to back) inclusive of any concrete or granite border. Page 149 of 256 By-Law 2021-___ Page 21 of 33 xiv. all markers, in any area, are to be flat (flush) on top and set level with the ground so that a lawn mower can pass safely over them. 10.4. Boulder memorials are discouraged in favour of flat markers, however will be permitted and must adhere to all monument sizing established with the following additions: (a) Only boulders that are made of granite will be allowed. (b) All boulders must have a cut bottom (bed) with a flat surface. (c) All boulders must be thicker (front to back) at the bottom than at the top of the boulder. (d) Boulders sitting on their own (with no base) must have a minimum thickness (front to back) of ten inches (10”) at the bottom where it meets the concrete foundation. 10.5. Granite Benches will be permitted and must adhere to all monument sizing unless otherwise approved by the Cemetery Operator. 10.6. Above grade inurnments will be permitted within memorials but must adhere to all monument sizing established. Urns must be secured in a fashion that will prevent theft or damage and must be approved by the Cemetery Operator. 10.7. No monument shall be delivered to the cemetery for installation until the monument foundation has been completed, and the monument/marker retailer has been notified by the Cemetery Operator. 10.8. In the event that a monument located on a lot prevents a regular interment from taking place (older sections of the cemetery), only cremated remains will be permitted to be interred on such lot unless the Interment Rights Holder is prepared to remove, at its own expense, such monument/foundation to permit a regular interment to take place. 10.9. No cornerstones shall be permitted to be installed on any grave. 10.10. No monument, footstone, marker or memorial of any description shall be placed, moved or removed without permission from the Cemetery Operator. 10.11. When any monument, gravestone or memorial, of any kind, is to be removed, or any inscription made, the Cemetery Operator shall be notified. Page 150 of 256 By-Law 2021-___ Page 22 of 33 10.12. Minor scraping of the monument base of an upright monument due to grass/lawn maintenance is considered to be normal wear. 10.13. The Cemetery Operator will take reasonable precautions to protect the property of Interment Rights Holders, but assumes no liability for the loss of, or damage to, any monument, marker, or other structure, or part thereof. 10.14. The Cemetery Operator does not accept any responsibility or liability for a picture, photograph or monument should a picture or photograph become lost, faded, cracked, damaged or need to be removed. 10.15. Any monument or marker that is deemed a risk to public safety by the Cemetery Operator will result in actions taken in accordance with the Funeral, Burial and Cremation Services Act and Cemeteries Act so as to make the memorial safe. 10.16. The Cemetery Operator reserves the right to remove at its sole dis cretion any marker, monument, or inscription which is not in keeping with the dignity and decorum of the cemetery as determined by the Cemetery Operator. 10.17. Any contractor performing work at the cemetery at the request of any person who damages any lot, upright monument, marker or other structure, or otherwise does any injury in the cemetery, shall be personally responsible for such damage or injury and in addition thereto, his/her employers shall be liable. 10.18. All work done by monument/marker dealers should be done during regular office hours of the Cemetery, unless special permission is obtained from the Cemetery Operator. 11. FOUNDATION WORK 11.1. A concrete foundation shall be required for all upright monuments. 11.2. All foundations for monuments shall be built by, or con tracted to be built for, the Cemetery Operator at the expense of the Interment Rights Holder. 11.3. Foundation work shall be completed at least two times per year (Spring and Fall). However, in light of efficiencies, the Cemetery Operator reserves the right to cancel foundation work should an insufficient number of foundation Page 151 of 256 By-Law 2021-___ Page 23 of 33 orders be received. Foundations are completed from the May 1 to October 31 of each year. 11.4. The foundation shall be built in the designated space and in the exact dimensions of the monument base. If incorrect dimensions have been given on the Foundation Order Form, signed by the Interment Rights Holder or a person authorized to act on the Holder’s behalf, and/or the monument supplier, the foundation will be removed and rebuilt or modified by t he Cemetery Caretaker or those designated to do work on behalf of the Cemetery Operator at the expense of the Interment Rights Holder or person acting on behalf of the Holder. 11.5. Foundations will be a minimum of 1.23 metres (4 feet) deep, and they shall be set at the direction of the Cemetery Manager. Foundations must be cured for a minimum of forty-eight (48) hours before placing the monument. 11.6. The charges for the construction of foundations are identified in the Cemetery Price List. 12. CARE OF LOTS 12.1. Income from the Care and Maintenance Fund shall be expended to maintain secure and preserve the cemetery grounds. Such expenses may include, but are not limited to expenses arising from:  Re‐levelling and sodding or seeding of lots  Maintenance of cemetery roads, sewers and water systems  Maintenance of perimeter walls and fences  Maintenance of cemetery landscaping  Maintenance of columbarium  Repairs and general upkeep of cemetery maintenance buildings and equipment 12.2. The Cemetery Operator reserves the right to regulate the articles placed on lots or plots, including those that pose a threat to the safety of all Interment Rights Holders, visitors to the cemetery, Cemetery Contractor or his/her assistant or those designated to do work on behalf of the Cemetery Operator; Page 152 of 256 By-Law 2021-___ Page 24 of 33 prevents the Cemetery Operator from performing general cemetery operations; or are not in keeping with the respect and dignity of the cemetery. Prohibited articles will be removed and disposed of without notification. 12.3. No person shall plant trees, flower beds or shrubs in the cemetery except with the approval of the Cemetery Operator. 12.4. All lots and plots shall be maintained and kept properly graded, sodded and mown by the Cemetery Supervisor or designate. 12.5. Trees or shrubs (dwarf or ornamental type) are permitted on lots and plots when planted on the monument line under the direction of the Cemetery Supervisor provided that the shrubs/trees, etc. are maintained. The height of such shrubs/trees shall at no time exceed .91 metres (3 feet) above adjacent ground level. If, the planted shrubs/trees are not well maintained (ie. not trimmed, watered, etc.) the Cemetery Supervisor or designate assistant has the authority to remove any such neglected shrubs and trees. 12.6. The diameter of such shrubs and/or ornamental trees at their widest point, including foliage shall at no time obstruct adjacent lots. 12.7. If any trees or shrubs situated in the boundaries of any lot shall have, become by means of their roots, limbs or branches or in any way, detrimental to the adjacent lots, drains, roads or walks, or prejudicial to the appearance of the ground or inconvenient to the public, the Cemetery Supervisor or designate may remove such trees or shrubs or parts thereof. 12.8. No Person other than the Cemetery Supervisor or designate shall cut or remove any sod or in any other way change the surface of the burial lot in the Cemetery. In the event of any such change, the Cemetery Operator may restore the lot to its original grade at the expense of the Holder. 12.9. No unauthorized person shall move grave markers in the cemetery. 12.10. Borders, fences, railing, cut-stone coping and hedges in or around lots are not permitted. except that borders to protect flowers can only be installed by permission of the Cemetery Manager. The borders around flower beds shall not exceed the width of the monument/marker base located at the head of a grave and must not exceed 50.8 cm (20 inches) distance from the Page 153 of 256 By-Law 2021-___ Page 25 of 33 monument/marker base. The Cemetery Operator shall not be responsible for such borders installed or for damage to such borders by lawn mowing or trimming equipment. 12.11. All moon rays/solar lights and other free standing articles shall be placed in a defined flower bed to allow the Cemetery Supervisor or designate to perform general cemetery operations in an effective and efficient manner. (See Section 1.16 for definition of defined flower bed). 12.12. Moon rays/solar lights and other free standing articles shall not be permitted. where there is a flat marker and shall be removed by the Cemetery Supervisor or designate. 12.13. Flat markers with a vase affixed thereto, shall be permitted in the Cemetery, however, the vase shall only be allowed to be raised one (1) week before and one (1) week after Decoration Day (3rd Sunday in August). The vase must be lowered during the remainder of the year f or maintenance purposes. 12.14. Nails, wires, glass or breakable pottery/ornamental containers/articles, or any other material that creates a hazard to workers and to visitors when neglected or broken shall not be permitted in the cemetery. The Cemetery Supervisor or designate shall have the authority to remove any neglected containers/articles deemed to be creating a hazard. 12.15. Candles, incense and flammable articles shall not be permitted in the cemetery. 12.16. The Cemetery Operator shall not be responsible for loss or damage to any articles left upon any lot or plot. 12.17. Rubbish shall not be thrown on roads, walks, or any part of the grounds or buildings. Receptacles are provided at convenient locations within the premises for the deposit of weed, decayed flowers, plants, etc. 12.18. When necessary, the Cemetery Supervisor or designate shall lay wooden planks on the burial lots and paths to protect the surface from damage of heavy equipment when undertaking required work within the cemetery. Page 154 of 256 By-Law 2021-___ Page 26 of 33 13. CARE OF LOTS - FLOWERS 13.1. A flower bed should not be created if it is unable to be maintained. All flower beds are required to be maintained. If a flower bed is created and then unable to be maintained, the flower bed will be removed. The Cemetery Supervisor or designate shall have the right to remove a flower bed if it is not being maintained. The Cemetery Operator, or designate is not responsible for any watering or maintenance of live plants and flowers or artificial decorations. 13.2. Flower beds shall be permitted in front of upright monuments and markers located at the head of lots, but must not exceed 50.8 cm (20 inches) distance from the monument/marker base. Beds are not to exceed the monument/marker width and where there is no monument, flower beds can only be planted by permission of, and under the direction of the Cemetery Supervisor. Planting of borders around lots is prohibited. 13.3. Flower beds/plants/shrubs, etc. shall not be permitted behind the monument as the rights to this area may belong to other individuals or the Cemetery Operator. Exceptions may apply to those who hold the rights to consecutive lots only upon written approval by the Cemetery Supervisor. 13.4. Flowers, flower beds, or shrubs, etc. shall be prohibited on lots designated for flat markers (memorial lots/urn garden). 13.5. Flowers placed on a grave for a funeral shall be removed by the Cemetery Supervisor or designate after a reasonable time to protect the sod and maintain the tidy appearance of the cemetery. 13.6. In the event that a flower bed located on a lot impedes a regular interment, the Cemetery Supervisor or designate shall have the right to remove such flower bed. It is the responsibility of the lot owner to replace such flower bed if desired. 13.7. Any shrubs or flowers not attended to by June 1st of each year may be cleaned up/removed by the Cemetery Supervisor or designate. All annual flowers must be removed or cleaned up and flower vases must be removed by November 1st of each year. Page 155 of 256 By-Law 2021-___ Page 27 of 33 13.8. No glass containers shall be used for flowers. 13.9. Seasonal Artificial flowers, artificial wreaths without glass covers, etc. are permitted to be placed on a lot after November 1st of each year. Artificial wreaths must be securely fastened to the monument, or where there is not a monument, mounted on a stand of at least 76.20 cm (30 inches) high securely anchored to the ground. 13.10. To preserve the proper appearance of the grounds, artificial wreaths, flower arrangements and potted plants are permitted from May 1st – October 31rd of each year. Natural winter wreathes or toppers are permitted November 1st – March 31rd. The Cemetery Supervisor or designate will remove and dispose of them 13.11. The Cemetery Supervisor or designate reserves the right to remove all flowers, potted plants, wreaths and baskets of flowers (natural or artificial) when they become withered or unsightly, or for any other reasons such removals are in the best interest of the Cemetery. 14. TREE DEDICATION PROGRAM 14.1. A person wishing to participate in the Tree Dedication Program must complete a ‘Tree Planting Dedication Program’ Form and pay the required fee in accordance with the Cemetery Price List at the time of purchase. 14.2. The Tree Dedication Program includes the planting of one (1) tree and the installation of a natural field stone (engraved), at the discretion of the Cemetery Supervisor. 14.3. The tree shall be planted and the marker installed by the Cemetery Supervisor or designate. 14.4. The Tree Dedication Program includes the cost to replace a tree, if necessary, at the discretion of the Cemetery Supervisor. 14.5. Trees for this program shall only be planted in the spring and fall of every year. Page 156 of 256 By-Law 2021-___ Page 28 of 33 15. CONTRACTOR PROVISIONS 15.1. This by‐law applies to all contractors and all work carried out by contractors within the cemetery grounds. 15.2. Any contractor who damages any lot, upright monument, marker or other structure, or otherwise does any injury in the Cemetery, shall be personally responsible for such damage or injury and in addition thereto, his/her employers shall be liable. 15.3. Contractors, monument dealers and suppliers shall not enter the cemetery in the evening, weekends or statutory holidays, unless approval has been granted by the Cemetery Operator. 15.4. No work will be performed at the cemetery except during the regular business hours of the cemetery, unless approval has been granted by the Cemetery Operator. 15.5. Contractors shall temporarily cease all operations if they are working within 100 metres of a funeral until the conclusion of the service. The Cemetery Operator reserves the right to temporarily cease co ntractor operations at their sole discretion if the noise of the work being performed by the contractor is deemed to be a disturbance to any funeral or public gathering within the cemetery. 15.6. Contractors, monument dealers and suppliers shall lay wooden planks on the burial lots and paths over which heavy materials are to be moved in order to protect the surface from damage. 15.7. Any contractor who has been requested by an Interment Rights Holder to perform any type of work is required to contact the Cemetery Super visor for permission to perform such work. 15.8. Contractors performing work at the cemetery for or at the request of any person must provide to the Cemetery Supervisor proof of liability insurance and W.S.I.B. coverage and must comply with all applicable workplace safety and environmental legislation. 15.9. Where the Cemetery Supervisor has received a request by an Interment Rights Holder to perform miscellaneous/custom work (ie. removal of shrubs, Page 157 of 256 By-Law 2021-___ Page 29 of 33 etc.), this work shall be recorded by the Cemetery Manager or his/her designate and the Rights Holder will be invoiced for the work completed as set out in the Cemetery Price List (i.e. materials supplied and the amount of time spent by the Cemetery Caretaker or designate to conduct the work). 16. RULES FOR VISITORS 16.1. All visitors should conduct themselves in a quiet manner that shall not disturb any service being held. 16.2. Any person disturbing the quiet and good order of the cemetery by noise or other improper conduct or who violates these rules, shall be expelled from the grounds. 16.3. The Cemetery Supervisor and/or designate are empowered to preserve order and decorum in the Cemetery. 16.4. No person may damage, destroy, remove or deface any property within the cemetery. 16.5. Any person who, in the cemetery, damages or moves any tree, plant, marker, fence, structure or other thing usually erected, planted or placed in a cemetery is liable to the Town and any Interment Rights Holder who, as a result, incurs damage. The amount of damages shall be the amount required to restore the cemetery to the state that it was in before anything was damaged or moved by the person liable. 16.6. No parades other than funeral possessions shall be admitted to or be organized within the cemetery. 16.7. Children under the age of twelve (12) are welcome on the cemetery grounds when accompanied by an adult, who shall be responsible for their good conduct. 16.8. Visitors shall not run or walk over the lots or climb upon the monuments. 16.9. Vehicles within the cemetery shall be driven at a moderate rate of speed and shall not leave the roadways. 16.10. All-terrain vehicles or snowmobiles shall be prohibited on the cemetery grounds. Page 158 of 256 By-Law 2021-___ Page 30 of 33 16.11. Proprietors of vehicles and other drivers shall be held responsible for any damage done by their vehicles within the cemetery. 16.12. Discharging of firearms, other than in regular volleys at burial services shall be prohibited in and around the cemetery. 16.13. Only leashed dogs and pets, involved in the interment service or subsequent visitations, will be permitted on the cemetery lands by permission of the Cemetery Supervisor or designate. 16.14. All other dogs and pets are not permitted in the cemetery boundaries. 16.15. Any complaints by Interment Rights Holders or visitors should be made to the Cemetery Supervisor and not the workers on the grounds and controversies with workers or other on the grounds are to be avoided. 16.16. No tips or gratuities are to be given to the cemetery workers by visitors or Interment Rights Holders, nor shall any be accepted by the cemetery workers. 16.17. No signs, notices, or advertising of any kind shall be allowed within the cemetery or within the immediate boundaries of the cemetery except those placed by the Cemetery Operator. 16.18. No picnic party shall be permitted in the cemetery. 17. EFFECTIVE DATE 17.1. In accordance with the Funeral, Burial, and Cremation Services Act, 2002, the provisions of this By-Law shall come into force and take effect the latter of January 1, 2021 and the date of approval of this By-Law by the Registrar of the FBCSA. Page 159 of 256 By-Law 2021-___ Page 31 of 33 18. THAT By-Law 3640 be repealed in its entirety upon approval of this By-Law. READ A FIRST AND SECOND TIME THIS ___th day of ________, 2021. READ A THIRD AND FINAL TIME AND PASSED THIS ___th day of ______, 2021. ____________________________ MAYOR – Stephen Molnar ____________________________ CLERK - Michelle Smibert Page 160 of 256 By-Law 2021-___ Page 32 of 33 Schedule A: Monument Dimension Guide Page 161 of 256 By-Law 2021-___ Page 33 of 33 Schedule B: Flat Marker Dimension Guide Page 162 of 256 The Corporation of the Town of Tillsonburg Accessibility Advisory Committee April 6, 2021 2:00 p.m. Electronic Meeting MINUTES Present: Cindy Allen, Jeff Huber, Councillor Pete Luciani, Margaret McCrimmon, Peter Staley, Mike Cerna and Michael Kadey. Regrets: Erin Getty and Mark Dickson. Also Present: Amelia Jaggard, Deputy Clerk Emily Xuereb, Deputy Chief Building Official 1. Call to Order The meeting was called to order at 2:01 p.m. 2. Adoption of Agenda Proposed Resolution #1 Moved by: Margaret McCrimmon Seconded by: Jeff Huber THAT the Agenda as prepared for the Accessibility Advisory Committee meeting of April 6, 2021, be adopted. Carried. 3. Minutes of the Previous Meeting Change date to reflect December 1, 2020. Chair Allen noted that the crossing guard at South Ridge Public School indicated Town staff placed the stickers at the cross walk near the school. 4. Disclosures of Pecuniary Interest and the General Nature Thereof No disclosures of pecuniary interest were declared. 5. Presentations/Delegations 5.1. Wayfinding Signage Cephas Panschow, Development Commissioner and Karen Keller, Economic Development and Marketing Coordinator were present to provide the Committee an overview of the wayfinding signage project. Page 163 of 256 Opportunity was provided for comments and questions from Committee members. The Committee provided feedback and suggestions on the proposed project. There was concern noted in regards to a proposed entrance sign and its proximity to the Broadway/North Street E intersection, as this intersection sees a lot of pedestrian traffic, including student use. 6. General Business & Reports 6.1. Kinsmen Pedestrian Bridge Staff will be reporting to Council with additional steps or information to help advance this project. The rubber mats have been removed and stored. 6.2. Accessibility Status Update 2020 Staff to share sidewalk connectivity implementation work approved for 2021. Staff noted that the Customer Service Centre façade update includes automatic doors and that there will be increased space between sets of doors. 6.3. Transit Update Chair Allen provided an updated from the Transit Advisory Committee. There has been discussion regarding concrete platforms at bus stops. A “where’s my bus” app is in the works. Town will be considering expanding the T:GO route to the Northeast of Town. 6.4. Optimist Park Playground Optimist Park Playground is being replaced this month. 6.5. Curb cuts downtown There was discussion regarding recent car accidents at curb cuts. There was consensus that this was not due to curb cuts. 6.6. Training opportunities Staff to share accessibility training resources from AccessForward.ca. 6.7. Oxford County Joint Accessibility Advisory Committee meeting – November 8, 2021 Agenda items can be submitted to Amelia. 7. Next Meeting Tuesday, June 8, 2021 at 2:00 p.m. Page 164 of 256 8. Adjournment Proposed Resolution #2 Moved by: Mike Cerna Seconded by: Pete Luciani THAT the April 6, 2021, Accessibility Advisory Committee meeting be adjourned at 3:10 p.m. Carried. Page 165 of 256 The Corporation of the Town of Tillsonburg Physician Recruitment & Retention Committee April 29, 2021 12:00 p.m. Electronic Meeting MINUTES Present: Deputy Mayor Beres, Mayor Stephen Molnar, Councillor Penny Esseltine, Dr. Jamie Cluett, Lesley Ross, Mike Bastow, Dr. Matt Johnson, Ashley Edwards , Dr. Brian Holowachuk Staff: Kyle Pratt, CAO; Laura Pickersgill, Executive Assistant Guests: Melanie Everets -Rodrigues, Stephanie Nevins, Curtis Tighe, Kristy Van Kooten-Bossence, Lisa Gilvesy Regrets: Sandy Jansen, Dr. Howard Lamb, Dr. Abdalla 1. Call to Order The meeting was called to order 12:03 p.m. 2. Introduction of Guests The guests provided a brief background on themselves. 3. Adoption of Agenda Resolution #1 Moved by: Councillor Esseltine Seconded by: Mayor Molnar THAT the Agenda as prepared for the Physician Recruitment and Retention Committee meeting of April 29, 2021, be adopted. Carried 4. Minutes of the Previous Meeting Resolution #2 Moved by: Councillor Esseltine Seconded by: Dr. Jamie Cluett THAT the Minutes of the Physician Recruitment and Retention Committee Meeting of November 3, 2020, be approved. Carried Page 166 of 256 5. Disclosures of Pecuniary Interest and the General Nature Thereof There were no disclosures of pecuniary interest declared. 6. General Business & Reports 6.1 Oxford County Physician Discussion- Lisa Gilvesy Lisa Gilvesy provided an overview of the Oxford County Physician Recruitment Committee’s need for a Tillsonburg Town Staff representative on their Committee. Lisa Gilvesy is the representative from the Tillsonburg Economic Development Advisory Committee for the Town of Tillsonburg. Lisa will send the formal request from the Oxford County Committee to CAO Pratt for official appointment of a staff representative. It was noted that the Oxford County Committee is hiring a recruitment firm to assist with physician recruitment as well this firm is providing an overview of what is available in terms of space in each municipality for physician offices. It was noted that the County Committee gets funding allocated every year and it is important to determine what the needs for each FHO in Tillsonburg are. Mel Getty represents as a Tillsonburg community member on the County Committee, however, he is no longer a member of the Tillsonburg Econom ic Development Advisory Committee. Lisa Gilvesy left the meeting at 12:22 p.m. 6.2 Collaboration Discussion with Ingersoll Physician Recruitment Committee Melanie Everets -Rodrigues provided an overview of the Ingersoll Physician Recruitment Committee’s ongoing initiatives and mandate. It was suggested that there could be opportunities for the Town of Tillsonburg and Town of Ingersoll’s Physician Recruitment Committee to collaborate on. It was decided that the Committees will remain separate however the updat e and flow of information between the two Committees has been valuable. There was a discussion on what the inventory of family physicians is in the Town of Tillsonburg. It was noted that there is not an updated inventory complete at this time, however, as part of Dr. Johnson’s FHO there is a need to recruit two more family physicians. It was noted that the FHO that Dr. Lamb is part of is not currently in need of another physician. It was suggested that referrals be sent to each other when a physician is looking to locate either to the Town of Tillsonburg or Town of Ingersoll. 6.3 Student Recruitment- Standing Agenda Item TDMH has general practitioners, emergency room physicians and hospitalists who are associate professors at the University of Western Ontario. These physicians host medical students and resident clinical rotations at TDMH. Page 167 of 256 TDMH has posted for family physicians, emergency room physicians and hospitalists on the newly developed Western Family Medicine Resident Council’s job portal. 7. New B usiness 8. Roundtable A general surgeon will be joining TDMH this summer to replace a retiring surgeon. TDMH will have two general surgeons and are recruiting for a third. It was requested that the Town be notified when a physician retires. 9. Next Meeting Tuesday, August 3 12-1 p.m. 10. Adjournment Resolution #3 Moved by: Dr. Jamie Cluett Seconded by: Mayor Molnar THAT the April 29, 2021 Physician Recruitment and Retention Committee meeting be adjourned at 12:48 p.m. Carried Page 168 of 256 The Corporation of the Town of Tillsonburg Town Hall Steering Committee Meeting April 14, 2021 11:30 a.m. Electronic Meeting MINUTES Present: Councillor Esseltine, Councillor Luciani, John Veldman, Andrew Gilvesy, Rick Strouth, Mayor Stephen Molnar, Jess e Goossens Staff: Laura Pickersgill, Executive Assistant; Kyle Pratt, CAO; Chris Baird, Director of Recreation, Culture & Parks; Geno Vanhaelewyn, Chief Building Official; Cephas Panschow, Development Commissioner Regrets: Sheena Pawliwec, Director of Finance Guest: Carlos Reyes, Director of Operations & Development 1. Call to Order The meeting was called to order at 11:35 a.m. 2. Adoption of Agenda Resolution #1 Moved by: Councillor Esseltine Seconded by: Councillor Luciani THAT the agenda as prepared for the Town Hall Steering Committee meeting of April 14, 2021, be adopted. Carried 3. Disclosures of Pecuniary Interest and the General Nature Thereof There were no disclosures of pecuniary interest declared. 4. Adoption of Previous Minutes Resolution #2 Moved by: Rick Strouth Seconded by: Councillor Esseltine THAT the Minutes as prepared for the Town Hall Steering Committee meeting of March 18, 2021, be adopted. Carried 5. Closed Session Resolution #3 Moved by: Andrew Gilvesy Page 169 of 256 Seconded by: Rick Strouth THAT the Town Hall Steering Committee moves into closed session to discuss: a trade secret or scientific, technical, commercial, financial or labour relations information, supplied in confidence to the municipality or local board, which, if disclosed, could reasonably be expected to prejudice significantly the competitive position or interfere significantly with the contractual or other negotiations of a person, group of persons, or organization. Carried 6. General Business & Reports 6.1 Space Needs Study- Operations- Car los Reyes Carlos provided an overview of the space needs study results from the consultant. It was noted that this would be a four phase project. Phase one is the addition of the salt facility, phase two is the fleet addition, phase three would be the admin and roads renovation and phase four 4 would be the hydro, parks and water renovation. The consultant indicated that by including the proposed additions there would still be plenty of room to accommodate these staff members and parking needs. The project would result at an addition of approximately 40,000 square feet of new construction at a cost of $300 per square foot which results in approximate project estimate of $10-$12 million. Carlos noted that the General Manager of Hydro operations was involved in this process and is agreeable to this proposed layout. It was noted that there is only one bay and storage area for THI in this concept which has been noted as sufficient by the General Manager. Staff would like to have a report to Council in one to two months time to allow Council to provide direction on how to proceed. The salt facility and fleet addition phases have already been pre-approved by Council. There should not be any concerns regarding zoning under the Planning Act that would prevent this concept from moving forward. 6.2 Employee Survey Results- Kyle Pratt Kyle provided an overview of the employee survey results and noted that there have been some additional changes made since the release of these results with individuals categorized under the wrong section (administrative vs. operational) Kyle noted that COVID -19 has had a huge impact and has allow ed many staff to work remotely. Kyle mentioned that the City of Brantford has announced they are not going forward with a Town Hall but rather are going to follow a remote work first model with hub still available for residents to access services in-person. It was noted that the private sector has been following the remote work model for much longer and the public sector is just now following suit. Page 170 of 256 Cephas outlined that based on the survey results and those who indicated they could work from home that it would roughly reduce the footprint required in office space by one-third. It was noted that this will result in significant cost savings. It was suggested that staff keep an eye on manufacturing buildings that come up for sale that could be used to meet the Town’s operational staff needs rather than expanding the existing building at 20 Spruce Street. Staff will move forward with sending these results to the space needs study consultant to have the existing study updated. It was cautioned that staff be aware of potential legislation changing in the future regarding hybrid work models and 40 hours work weeks as well as considering future growth of the Town and future staffing requirements. It was suggested that the question about employee productivity be directed to managers rather than having the staff answer as that may alter the results by staff answering the question based on their ‘best behaviour’ answer. Kyle noted that already in this past year while working remotely managers are keeping track of employees with reduced productivity and have been bringing them back into the office to work instead. Mayor Molnar left the meeting at 12:49 p.m. Staff will have the space needs consultant update the scope of work based on the survey results. This scope will be circulated by email to this Committee and then staff will proceed with having the consultant officially update the space needs study based on these results. 7. Round Table 8. Next Meeting To be determined 9. Adjournment Resolution #4 Moved by: Jesse Goossens Seconded by: Councillor Luciani THAT the April 14, 2021 Town Hall Steering Committee meeting be adjourned at 1:05 p.m. Carried Page 171 of 256 THE CORPORATION OF THE TOWN OF TILLSONBURG BY-LAW 2021-___ A BY-LAW to authorize the use of internet and telephone voting for the 2022 Municipal Election. WHEREAS Section 42(1)(b) of the Municipal Elections Act, 1996, SO 1996, c 32 provides that the Council of a Municipality may, by by-law, authorize the use of alternative voting methods that do not require electors to attend a voting place in order to vote; and, WHEREAS the Council of the Corporation of the Town of Tillsonburg deems it desirable to utilize such methods during the 2022 Municipal Elections which will take place on Monday, October 24, 2022. BE IT THEREFORE ENACTED by the Council of the Corporation of the Town of Tillsonburg as follows: 1. That the use of internet and telephone voting in the 2022 Municipal Elections is hereby authorized in accordance with Section 42(1)(b) of the Municipal Elections Act, 1996; 2. That By-Law 4091 be repealed. 3. That this by-law shall come into force and take effect on the date it is passed. READ A FIRST AND SECOND TIME THIS 10th day of MAY, 2021. READ A THIRD AND FINAL TIME AND PASSED THIS 10th day of MAY, 2021. _____________________________ MAYOR – Stephen Molnar ______________________________ CLERK – Michelle Smibert Page 172 of 256 THE CORPORATION OF THE TOWN OF TILLSONBURG BY-LAW 2021-___ A BY-LAW to authorize an agreement of purchase and sale with Peter Leliveld and Ruth Leliveld. WHEREAS the Town of Tillsonburg is desirous of entering into an agreement of purchase and sale for lands described as the North part of the Alleyway between Charles Street and Nelson Street, and to be described by a new reference plan. BE IT THEREFORE ENACTED by the Council of the Corporation of the Town of Tillsonburg as follows: 1. That the authorization is hereby given for the sale of those lands described as the North part of the Alleyway between Charles Street and Nelson Street, and to be described by a new reference plan, subject to those terms and provisions outlined within the offer of purchase and sale as attached hereto as Schedule A; 2. That the agreement of purchase and sale attached hereto as Schedule A forms part of this By-Law. 3. That this by-law shall come into force and take effect on the date it is passed. READ A FIRST AND SECOND TIME THIS 10th day of MAY, 2021. READ A THIRD AND FINAL TIME AND PASSED THIS 10th day of MAY, 2021. ___________________________ MAYOR – Stephen Molnar ______________________________ CLERK – Michelle Smibert Page 173 of 256 ·····-----·-·-----·---------···--·--··------··--··-·------·----·--·-----------··---···--··---··------·------·--··--·······-·--···--·--··-··--·-·-··-·--·-----··-----------··--·-·-·----------·-··-·-·-·---·--··----·---~~-~_':_ __ l __ i_··- AGREEMENT OF PURCHASE AND SALE (the "Agreement" or "APS") BETWEEN: THE CORPORATION OF THE TOWN OF TILLSONBURG (the "Vendor') -and- Peter Leliveld Ruth Leliveld . (the "Purchaser") WHEREAS the Vendor is the owner, in fee simple, of the lands and premises described in Schedule "A" (the "Property"); · NOW THEREFORE IN CONSIDERATION of the mutual covenants and premises in this Agreement, the parties agree as follows: 1. 2. SECTION I -GENERAL The Purchaser agrees to purchase the Property and the Vendor agrees to sell the Property according to the terms of this Agreement. In consideration of the agreement referred to in the preceding paragraph, the Purchaser shall pay to theVendoraPurchase Price of · · · $9000.00 l) Dollars. The estimated area of the Property is. Total 56.49m . --: , .. Nine Thousand Dollars The Purchase Price shall be paid as follows: (a) (b) ,(;\\'.f:%iii'&'tt~f~tl OU i~H~~~~~;i;i~i g~~a ~" ......... .,,, ' 1 '§}:9'.o:· , ;'""-_ . ___ , ~~{j: D"oll~ts ($.00) deposit is payable by the Purchaser by certified cheque upon Acceptance of this Agreement, to be held on an interest free basis by the Solicitor for the Vendor as· a deposit pending completion of this transaction on account of the Purchase Price on completion, or if this Agreement is not completed through no fault of the Purchaser, the deposit shall be returned to the Purchaser; and the balahce of the Purchase Price, subject to adjustments, shall· be paid to the Vendor on the Completion Date, by certified cheque or bank draft SECTION II -PURCHASE OF PROPERTY 4. Irrevocable Date (a) (b) This APS shall be irrevocable and ·open for acceptance by the Vendor until 6:00 p.m. on the 14th day of May, 2021 ("Acceptance"), and when accepted shall constitute a binding contract of purchase and sale, otherwise the APS shall be null arid void and all deposit monies paid shall be returned to the Purchaser without deduction. Acceptance shall ·mean the date upon which the Mayor and Clerk of the Town of Tillsonburg, or such other persons as the Vendor may authorize from time to time, 'sign and .execute this APS subsequent to the requirement that the Council of The Corporation of the Town of Tillsonburg has passed a resolution or by-law authorizing and approving the sale of the Property to the -Purchaser pursuant to the terms of this APS. 1· 0 Buyer's Initials$. 1\-.k f . Seller's Initials __ _ Page 174 of 256 (c) The parties agree and acknowledge that negotiation of this APS is not a valid and binding agreement until accepted by the Council of The Corporation of the Town of Tillsonburg. The Chief Administrative Officer of the Town of Tillsonburg, or his or her designate, shall negotiate the terms of this APS in good faith. However, the negotiation of the terms of this APS by the Chief Administrative Officer of the Town of Tillsonburg, or his or her designate, in no ways binds The Corporation of the Town of Tillsonburg until such time as this APS is authorized and approved by the Council of The Corporation of the Town of Tillsonburg. 5. Council Approval (a) This transaction is subject to compliance with Section 270 of the Municipal Act, 2001 , S.O . 2001 , c. 25 as amended and the approval of the Council of The Corporation of the Town of Tillsonburg in its sole and absolute discretion by resolution or by-law. 6 . Deed/Transfer 7. 8. (a) The Vendor agrees to deed or transfer the Property to the Purchaser subject to the terms of this Agreement. Completion Date ~ (a) The closing of this transaction shall take place on June 15 , 2021 , or such other date as mutually agreed upon (the "Completion Date") at which time possess ion of the Property in "as is, where is" condition shall be given to the Purchaser other than as provided in this APS. The Vendor acknowledges that it has the right and authority to sell the Property. Documents , Reports and Information ~­ ~ y (a) The Vendor will produce and deliver to the Purchaser by I June 3 , 2021 i any documents, reports or information in its possession in respect to the Property . The Purchaser agrees to return all of the above documentation to the Vendor if this transaction is not completed . SECTION 111-CONDITIONS, REPRESENTATIONS AND WARRANTIES 9 . "As Is " Condition (a) The Purchaser acknowledges that it is acquiring the Property in an "as is " condition and that it must satisfy itself by May 14, 2021 regarding the condition of the Property including , but not limited to, all existing physical conditions of this Property, e nvironm e ntal conditions, fitn e ss for any purpose, s uitab ili ty for construction , soil bearing capacity for any building proposed , and the availability of municipal services and utilities necessary for the Purchaser's proposed use of the Property. The Purchaser acknowledges that the Vendor shall not be responsible for any physical deficiencies of the Property or for any past , present or future environmental liabilities a nd h ereby waives any claims against the Vendor in respect of any e nvironm e nta l li ab iliti es on th e Property. The Purchaser agrees to sign a release and indemnity in fa vour of the V e ndor on or before closing with respect to m atte rs set out in th e preceding sentence. If the Purchaser is for any reason whatsoever dissatisfi ed with the Property, it shall deliver written notice to that effect to the Vendor by no later than the time specified herein , and this Agreement shall be terminated and the deposit shall b e returned to the Purchaser without interest or deduction . If the V endor is notified th at th e condition of th e Prope rty is not satisfactory, the n th e Purchaser shall , prior to re ce iving it s d eposit monies back a nd prior to being e ntitl ed to a full re lease from the Vendor with respect to this Agreement, restore the Property to its original condition as it existed prior to such testing or inspection by the Purchaser, at the Purchaser's sole expense . If the Purchaser fails to deliver written notice to the Ve ndor within the time specified herein regarding this condition , this condition s hall be deem e d to hav e been w ai v ed by th e Purchaser. 10. Oth e r Condition s (a) This APS a nd completion of this transaction is subject to the conditions set out in Schedules "A " a nd "B". 11 . Inv estigation by the Purc hase r Buye r's Initials b' ~Y--Sell e r's Initials __ _ Page 175 of 256 (a) The Purchaser acknowledges having inspected the Property prior to executing the APS and understands that upon Acceptance by the Vendor, and subject to any conditions herein, there shall be a binding agreement of purchase and sale between the Purchaser and the Vendor. It shall be the Purchaser's responsibility to provide, at its own expense, any soil bearing capacity tests or environmental inspection , as may be required or desired, and the Vendor shall grant the Purchaser access for such testing or inspection at all reasonable times , on reasonable notice, for the purpose of conducting reasonable inspections. 12 . Future Use (a) The Vendor and the Purchaser agree that there is no condition, express or implied , representation or warranty of any kind that the future intended use of the Property by the Purchaser is or will be lawful except as may be specifically stipulated elsewhere in this Agreement. 13. Provision of Plans (a) The Purchaser agrees and covenants that prior to the issuance of a building permit, the Purchaser shall provide to the Town of Tillsonburg a plan showing the location of the building(s) and outside storage, the front elevation of the building(s), the exterior building materials, the landscaping treatment and the screening of outside storage. The provisions of this paragraph shall survive closing. 14. Reasonable Assistance (a) The Vendor agrees to provide reasonable assistance and co-operation to the Purchaser in obtaining the necessary approvals for the development of the Property subject to the Purchaser's compliance with all relevant building codes , by-laws, land use controls, any other statutory requirements and payment of the fees provided for in the Town of Tillsonburg 's current fees by-law. 15 . Development Covenants and Restrictions (a) The Property shall be subject to the development covenants and restrictions more particularly set out in Schedule "D" attached to this /\PS , which shall survive the completion of this transaction and run with the Property. The development covenants and restrictions shall be registered on title by the Vendor. In the event that the said covenants and restrictions are not registered on title to the Property on or before closing , the Purchaser covenants and agrees to consent to the registration of the covenants and restrictions after closing . 16 . Property Not for Resale (a) The Purchaser covenants that it is purchasing the Property for the purpose of consolidating the parcel with the Purchaser's adjoining property and not for the purpose of resale of vacant land. SECTION IV -PRIOR TO COMPLETION DATE 17. Purchaser May Inspect th e Property (a) The Purchaser, its agents and contractors shall be permitted to inspect the Property and any buildings as frequently as is reasonably necessary between the date of Acceptance and the Completion Date at reasonable times and upon reasonable notice to the Vendor. 18 . In surance (a) Pending closing, the Vendor shall hold all insurance policies and the proceeds thereof in trust for the parties as th eir interest may appear and in the event of damage to the Property. The Purchaser may e lect to eith er receive th e proceeds of the insurance and complet e the purchase or to cance l the APS and have all th e depos it mon ies pai d to th e Ve ndor return ed tog eth e r with a ll interest ea rn e d th e reon without deduction . SECTION V -COMPLETING THE TRANSACTION 19. Dee d/Tra nsfer Buyer's Initials pi. Rl -Seller's Initials __ _ Page 176 of 256 (a) The Deed or Transfer of the Property will be prepared by the Vendor at the expense of the Purchaser in a form acceptable to the solicitors for the Purchaser and the Purchaser will pay all Land Transfer Tax, Harmonized Sales Tax and other costs in connection with the registration of it. 20 . Electronic Registration (a) The parties agree that the transaction shall be completed by electronic registration pursuant to Part Ill of the Land Registration Reform Act, R.S.O. 1990 , c.L.4 as amended . The parties acknowledge and agree that the delivery and release of documents may , at the discretion of the lawyer: a) not occur contemporaneously with the registration of the transfer/deed and other registrable documentation , and b) be subject to conditions whereby the lawyer receiving documents and/or money will be required to hold them in trust and not release them except in accordance with the terms of a written agreement between the lawyers entered into in the form of the Document Registration Agreement adopted by the Jo int LSUC-OBOA Committee on Elective Registration of Title Documents. 21. Survey or Reference Plan (a) The parties acknowledge that a survey , at the Purchaser's expense, is required and a Reference Plan may be registered on title and may be used to provide a registrable description of the Property and any easements . 22. Letters and Reports from Officials of the Vendor (a) On or before the requisition date, the Vendor agrees to provide to the Purchaser, if requested , at the Vendor's expense , letters or reports from the Building and Zoning Department of the Town of Tillsonburg and the Fire Ch ief of the Town of Tillsonburg regarding the status of compliance with all codes , by-laws , rules and regulations with respect to the Property and any buildings located thereon . 23. Examination of Title (a) Title to the Property shall be good and marketable and free from all encumbrances except for any service easements or rights-of-way to be reserved in favour of the Vendor and for any easements or rights-of-way registered on title and any minor e ncroachments shown on the survey or Reference Plan del ivered to the Purchaser. Any required easement shall be in the form set out in Schedule "C". (b) The Purchaser is allowed until May 21, 2021 to examine the t itle to the Property . If on or before this date the Purchaser furnishes the Vendor in writing with any valid objections: to the title ; to any undisclosed outstanding work orders ; to undisclosed non -complia nce with the municipal by-laws or covenants and restrictions which run with the land and cannot be resolv ed before the Completion Date; as to any objection of which the Vendor shall be unable to remedy or correct by the Completion Date and which the Purchaser will not waive , then this APS shall , notwithstanding any intermediate acts or negotiations , be terminated and the deposit shall be returned to the Purchaser without deduction and the Vendor and the Purchaser shall not be liable for any costs, damages , compensation or expenses. 24 . Vendor to Discharge all Encumbrances (a) The Vendor agrees to obtain and register at its own expense , on or before the Completion Date, a discharge of all liens , encumbrances , agreements and mortgages now registered aga in st th e Prope rty and not assumed by the Purchaser. The V endor furth er covenants a nd ag rees to d ischarge, on or before the Completion Date , any a nd all li ens, ch atte l mortg ages, ass ignm ents or any oth er security interes t gi v en by the V endor against its personal Property. 25. Adjustments (a) The Ve ndor agrees th at a ll depos its , if a ny , held by th e Ve ndor not including interest th ereo n sha ll be credited to th e Purchaser in th e St ateme nt of Adju stm ents prepared for the Completion Date. (b) Any rents , mortgage , inte rest, taxes , lo cal improvements, w ater and assessment rates sh all be app ortion ed and allowed to the Completion Date, th e day itse lf to be appo rtion ed to the Purchaser. Buye r's Initi als ft .. f~ " Seller's Initial s --- Page 177 of 256 26. Deliveries by the Vendor To The Purchaser on Closing (a) The Vendor covenants and agrees to deliver to the Purchaser on the Completion Date , all such deliveries to be a condition of the Purchaser's obligation to close this transaction , the following : (i) a deed/transfer of the Property; (ii) any survey or reference plan of the Property in the possession of the Vendor; (iii) a Statutory Declaration by an authorized officer of the Vendor stating that accurateness and truthfulness of all of the representations and warranties; (iv) a Statutory Declaration by an authorized officer of the Vendor as to possession of the Property in a form acceptable to the solicitors for the Purchaser; (v) a Statutory Declaration by an authorized officer of the Vendor that it is not now, and upon completion will not be , a "non-resident person " w ithin the meaning and for the purpose of Section 116 of the Income Ta x Act, R.S.C ., 1985, c. 1 (5th Supp.) as amended ; (vi) certified copies of all appropriate certificates , by-laws and other documents of Vendor authorizing the transaction herein ; and · (vii) such further documentation and assurances as the Purchaser may reasonably require to complete the transaction contemplated by the APS . 27 . Harmonized Sales Tax (a) The parties hereto acknowledge and agree that the transaction contemplated herein is s ubject to the Harmonized Sales Tax (HST) under the Exc ise Tax Act, R.S.C ., 1985, c. E-15 (the "Act") and that the Purchase Price does not include HST. The Vendor shall provide the Purchaser with its HST Business Number. The Purchaser shall pay to the Vendor any HST imposed under the Act payable in connection with the t ransfer of the Property to the Purchaser, or as it may direct, unless the Purchaser or its nominee , or its assignee , provid e s: (i) a certificate on or before the Completion Date conta ining a representation and warranty to the Vendor that: (1 ) it is registered for the purpose of the HST on the Completion Date and specifying the HST re gistration number; (2) it will self-asse ss th e HST on its G ST/HST re turn or file th e p re scribed form pursuant to subsection 228(4) of the Act in connection with the purchase of the Property; (3) the Property transferred pursuant to this APS is being pu rchased by th e Purch aser, or its nominee or a ssignee , as principal for its own account a nd is not be in g purch ased by th e Purch ase r a s age nt, trustee or oth e rwi se on be ha lf of or for a noth er person , a nd do e s not constitute a supply of residential complex made to an individual for the purpose of paragraph 2 21 (2)(b) of the Act ; (4) an indemnity , indemnifying and saving ha rml ess th e Vendor from any HST pay abl e on thi s transa ction and pe nalty a nd inte res t re lating to HST; a nd (5 ) a notarial tru e copy of its HST registration confirmation. S ECT ION VI -MISC ELLAN EOUS 28 . Entire Agreement (a) Th e re is no representation , w arranty , coll ate ra l a gree m e nt or condition affecting this Ag ree m e nt of th e Pro pe rty oth e r th a n expressed he re in . · Buye r's Initi a l s~ 'I S ell e r's Initial s --- Page 178 of 256 29. Tender (a) Any tender of documents or moneys hereunder may be made upon the solicitor acting for the party upon whom tender is desired, and it shall be sufficient that a negotiable, certified cheque or bank draft may be tendered instead of cash . 30. Time of Essence (a) Time shall be of the essence of this Agreement. 31. Planning Act (a) This Agreement shall be effective only if the provisions of Section 50 of the Planning Act, R.S .O . 1990, c.P.13, as amended are complied with. 32. Notices (a) All notices in this Agreement shall be in writing and shall be deemed to have been given if delivered by hand or mailed by ordinary mail , postage prepaid, addressed to the solicitor for the person to whom such notice is intended to be given at the following addressed: Solicitors for the Vendor: Duncan, Linton LLP ATTENTION: Steven Ross 45 Erb Street West Waterloo, ON N2J 4B5 Fax: (519) 886-8651 with a copy delivered to : The Corporation of the Town of Tillsonburg ATTENTION: Development Commissioner 204-200 Broadway Tillsonburg, ON N4G 5A7 . Fax: 519-842-9431 Solicitors for the Purchaser: Brad Hause White Coad If mailed , such notices must also be given by facsimile transmission on the date it was so mailed. If so given , such notices shall be deemed to have been received on the first business day following the date it was delivered or marked mailed out. 33. Successors and Assigns (a) The Purchaser shall be permitted to assign all of its right , title and interest in and to this APS with the Vendor's written approvalJ. which shall not be unreasonably withh e ld J. including assignment to a nother corporation with the same shareholders as th e Purchaser. Subj e ct · to th e res tri ctions in th e preceding sentence, th e Vendor agrees to engross the Transfer/Deed of Land as .directed by the Purchase on the completion Date as the Purchaser may elect, and the Vendor agrees to complete the transaction contemplated by this APS on the Completion Date with such assignee or nominee . The Purchaser is released from all liability hereunder, if it assigns its interest in this APS. This Agreeme nt shall be binding upon th e parti es hereto a nd th eir res pective s uccess ors and ass ig ns . 34. Schedules (a) Th e following Schedules shall form an integral part of this Agreement: (i)' Schedul e "A " Des c ription of th e Property ; (ii) · Schedule "B" Conditions; Buyer's Initials~ Seller's Initials __ _ Page 179 of 256 35 . Acceptance by Fax or Email (a) The Purchaser and Vendor acknowledge and agree that the communicat ion of this Agreement of Purchase and Sale may be transmitted by way of facsimile or electronic mail , and that they agree to accept such signatures and documents to be legal and binding upon them. 36 . Counterparts (a) This Agreement may be signed in any number of counterparts, each of which is considered to be an original , and all of which are considered to be the same documents . 37. Severability (a) If any provision of this Agreement , or the application thereof to any circumstances, shall be held to be invalid or unenforceable , then the remaining provisions of this Agreement , or the application thereof to other circumstances, shall not be affected , and shall be valid and enforceable. (./;J (.)/) Buyer's Initi a l s~ Se ll e r's Initial s __ _ Page 180 of 256 IN WITNESS WHEREOF the Purchaser has executed this Agreement: Dated at /r'/l.r d/tb ., rc1 , Ontario this 2 9 day of Ap !'i' / r J J 2021. ** Per: Name: Peter Leliveld Title: fui4: dJI Name: Ruth L~liveld Title: I/We have authority to bind the Corporation. The Vendor hereby accepts this Agreement according to its terms. Dated at Tillsonburg , Ontario this ___ day of ______ , 2021 . IN WITNESS WHEREOF the Vendor has executed this Agreement: Buyer's Initi a ls f~ ~l:-· The Corporation of the Town of Tillson burg Stephen Molnar Mayor Michelle Smibert Clerk We have a uthority to bind The Corporation of the Town of Tillsonburg . Se ll er's Initia ls --- Page 181 of 256 SCHEDULE "A" -LEGAL DESCRIPTION OF THE PROPERTY ALL AND SINGULAR that certain parcel or tract of land and premises situated, lying and being in the Town of Tillsonburg in the County of Oxford, being compromised of a portion of the Unnamed Alleyway between Charles Street and Nelson Street and to be described by a new reference plan: Buyer's Initi a l s~ Seller's Initials __ _ Page 182 of 256 Page 183 of 256 ...... ·-:-: i •: ·.···· 0 . (jl (Q ·~ . ,;· . . -,,,.-, ·. ~ ~b. 0 ·10 .o ···±·· ·:. ·~····· °' :.-..-: . . . O .:.· .. . z.·. ·.· ' .·:~· --·:-·: .. : . 0..... .· u ·. Page 184 of 256 .. SCHEDULE "B" -PURCHASER CONDITIONS 1. The transaction of purchase and sale contemplated hereiri shall be subject to the fulfillment of the following terms and conditions on or before , which terms and conditions are for the exclusive benefit of the Purchaser and may be waived in whole or in part by the Purchaser. If the conditions are not fulfilled or waived then the deposit shall be returned and Agreement arising from the offer shall be at an end and all parties released from their obligations : (a) ** Buye r's Initi a ls f(/ f(A., Sell e r's Initial s __ _ Page 185 of 256 SCHEDULE"C"-EASEMENT TERMS AND PROVISIONS OF THE EASEMENT: I. The Owner hereby grants, conveys and confirms to The Corporation of the Town of Tillsonburg (the "Town"), its successors and assigns, in perpetuity, the free, uninterrupted and undisturbed right and easement to enter upon the lands herein described at any time for the purposes of constn1cting, installing anEI maintaining all eiisting] municipal services of any kind (including water distribution pipes and sanitary and storm sewers) in, under, over and upon the said lands, and with the further and continuing right to the Town, its successors and assigns, and its servants, agents and workers to enter upon the lands at any time to construct, repair, correct, operate, replace and maintain at all times in good condition and repair the municipal services and for every such purpose the Town shall have access to the said lands at all times by its agents, sel"Vants, employees and workers. · 2. The Town covenants and agrees that, upon completion of any work undertaken hereunder, the Town will restore the areas of land upon which it has performed work to the same condition as that in which the lands were found prior to the commencement of the work. 3. The Owner covenants with the Town to keep the lands herein described free and clear of any trees, buildings, structures or other obstructions which may limit the use, operation, repair, replacement or maintenance of the easement and to use the lands herein described only in a manner and for purposes not inconsistent with the exercise of the rights created by this indenture and without limiting the generality of the foregoing, only as a yard, lawn, garden, flowerbed, roadway, driveway or parking area and the Owner agrees not to do or suffer to be done anything which might injure any of the works of the Town hereon. The term "building" as set out herein shall specifically include any window sills, chimney breasts, cornices, eaves or other architectural features projecting from the first floor of the building but shall not include window sills, chimney breasts, cornices, eaves or other architectural features projecting from the second floor of the building by less than two· (2) feet and such second floor projections shall be specifically authorized and allowed to encroach upon the lands herein described. 4. The Town·; by the acceptance and registration of the within easement, agrees to be bound by the terms and provisions contained herein. 5. The burden and benefit of this easement shall run with the lands herein described and shall extend to and be binding upon and enure to the benefit of the parties hereto and their respective heirs, executors, administrators, successors and assigns. 6. This is an easement in gross. 1. t~- Buver's Initials Seller's Initials Page 186 of 256 THE CORPORATION OF THE TOWN OF TILLSONBURG BY-LAW 2021-___ A BY-LAW to authorize an agreement of purchase and sale with Ray Jones, Teresa Jones, Tejaun Jones and Jeffrey Jaques. WHEREAS the Town of Tillsonburg is desirous of entering into an agreement of purchase and sale for lands described as the South part of the Alleway between Charles Street and Nelson Street, and to be described by a new reference plan. BE IT THEREFORE ENACTED by the Council of the Corporation of the Town of Tillsonburg as follows: 1. That the authorization is hereby given for the sale of those lands described as the South part of the Alleway between Charles Street and Nelson Street, and to be described by a new reference plan, subject to those terms and provisions outlined within the offer of purchase and sale as attached hereto as Schedule A; 2. That the agreement of purchase and sale attached hereto as Schedule A forms part of this By-Law. 3. That this by-law shall come into force and take effect on the date it is passed. READ A FIRST AND SECOND TIME THIS 10th day of MAY, 2021. READ A THIRD AND FINAL TIME AND PASSED THIS 10th day of MAY, 2021. ___________________________ MAYOR – Stephen Molnar ______________________________ CLERK – Michelle Smibert Page 187 of 256 AGREEMENT OF PURCHASE AND SALE (the "Agreement" or "APS") BETWEEN: THE CORPORATION OF THE TOWN OF TILLSON BURG (the "Vendor'') -and- Roy Anthony Jones, Teresa Violet Jones Tejaun Jones, Jeffrey Jaques (the "Purchaser") Page WHEREAS the Vendor is the owner, in fee simple, of the lands and premises described in Schedule "A" (the "Property"); NOW THEREFORE IN CONSIDERATION of the mutual covenants and premises in this Agreement, the parties agree as follows: SECTION I -GENERAL 1. The Purchaser agrees to purchase the Property and the Vendor agrees to sell the Property according to the terms of this Agreement. 2. In consideration of the agreement referred to in the preceding paragraph, the Purchaser shall · pay to the Vendo~ (3 i:ui::chase Price of i $9000.00 . ) Dollars. The estimated area of the Property is Total 56.43m . -• Nine Thousand Dollars 3. The Purchase Price shall be paid. as follows: (a) [Required deposit is 10% of the offered amount or $5,000.00, whichever is greater. If transaction is less than $5,000, deposit is 50% of amount] Dollars ($.00) deposit is payable by the Purchaser by certified cheque upon Acceptance of this Agreement, to be held on an interest free basis by the Solicitor for the Vendor as a deposit pending completion of this transaction on account of the Purchase Price on completion, or if this Agreement is not completed through no fault of the Purchaser, the deposit shall be returned to the Purchaser; and (b) the balance of the Purchase Price, subject to adjustments, shall be paid to the Vendor on the Completion Date, by certified cheque or bank draft. SECTION II -PURCHASE OF PROPERTY 4. Irrevocable Date (a) This APS shall be irrevocable and open for acceptance by the Vendor until 6:00 p.m. on the 14th day of May, 2021 ("Acceptance"), and when accepted shall constitute a binding contract of purchase and sale, otherwise the APS shall be null and void and all deposit monies paid shall be returned to the Purchaser without deduction. (b) Acceptance shall mean the date upon which the Mayor and Clerk of the Town of Tillsonburg, or such other persons as the Vendor may authorize from time to time, sign and execute this APS subsequent to the requirement that the Council of The Corporation of the Town of Tillsonburg has passed a resolution or by-law authorizing and approving the sale of the Property to the Purchaser pursuant to the terms of this APS. · Buyer's Initial¥ Seller's Initials --- Page 188 of 256 (c) The parties agree and acknowledge that negotiation of this APS is not a valid and binding agreement until accepted by the Council of The Corporation of the Town of Tillsonburg . The Chief Administrative Officer of the Town of Tillsonburg, or his or her designate, shall negotiate the terms of this APS in good faith. However, the negotiation of the terms of this APS by the Chief Administrative Officer of the Town of Tillsonburg , or his or her designate , in no ways binds The Corporation of the Town of Tillsonburg until such time as this APS is authorized and approved by the Council of The Corporation of the Town of Tillsonburg . 5. Council Approval (a) This transaction is subject to compliance with Section 270 of the Municipal Act, 2001 , S.O. 2001 , c. 25 as amended and the approval of the Council of The Corporation of the Town of Tillsonburg in its sole and absolute discretion by resolution or by-law. 6. Deed/Transfer 7. (a) The Vendor agrees to deed or transfer the Property to the Purchaser subject to the terms of this Agreement. Completion Date (a) The closing of this transact ion shall take place on June 15, 2021, or such other date as mutually agreed upon (the "Completion Date") at which time possession of the Property in "as is, where is" condition shall be given to the Purchaser other than as provided in this APS. The Vendor acknowledges that it has the right and authority to sell the Property. 8. Documents, Reports and Information \ ~~~ (a) The Vendor will produce and deliver to the Purchaser by Junea3;'2021 any documents, reports or information in its possession in respect to the Property. The Purchaser agrees to return all of the above documentation to the Vendor if this transaction is not completed . SECTION Ill -CONDITIONS, REPRESENTATIONS AND WARRANTIES 9. "As Is" Condition (a) The Purchaser acknowledges that it is acquiring the Property in an "as is " condition and that it must satisfy itself by May 14, 2021 regarding the condition of the Property including, but not limited to , all existing physical conditions of this Property, environmental conditions, fitness for any purpose, suitability for construction , soil bearing capacity for any building proposed , and the availability of municipal services and utilities necessary for the Purchaser's proposed use of the Property. The Purchaser acknowledges that the Vendor shall not be responsible for any physical deficiencies of the Property or for any past , present or future environmental liabilities and here by waives any claims against the Vendor in respect of any environmental li a biliti es on the Property. T he Purchaser agrees to sign a release a nd ind e mnity in favour of the Vendor on or before closing with respect to matters set out in the preceding sentence. If the Purchaser is for any reason whatsoever dissatisfied with the Property, it shall deliver written notice to that effect to the Vendor by no later than the time specified herein , and this Agreement shall be terminated and the deposit shall be returned to the Purchaser without interest or deduction. If the Vendor is notifi ed th at the condition of the Property is not satisfactory , then the Purchaser shall , prior to receiving its deposit monies back and prior to being entitled to a full release from the Vendor with respect to this Agreement, restore the Property to its original condition as it existed prior to such testing or inspect ion by the Purchaser, at the Purchaser's sole expense. If the Purchaser fails to deliver written notice to the Ve ndor within the time specified herei n regarding this condition, this condition shall be d ee m ed to have bee n w a ived by th e Purchaser. 10. Other Conditions (a) This APS and completion of this transaction is subject to the conditions set out in Schedules "A " a nd "B". 11 . Investig ation by th e P urch ase r ur\R,...,-- Buyer's Initials~.) Seller's Initials --- Page 189 of 256 (a) The Purchaser acknowledges having inspected the Property prior to executing the APS and understands that upon Acceptance by the Vendor, and subject to any conditions herein, there shall be a binding agreement of purchase and sale between the Purchaser and the Vendor. It shall be the Purchaser's responsibility to provide, at its own expense, any soil bearing capacity tests or environmental inspection, as may be required or desired, and the Vendor shall grant the Purchaser access for such testing or inspection at all reasonable times, on reasonable notice, for the purpose of conducting reasonable inspections. 12. Future Use (a) The Vendor and the Purchaser agree that there is no condition, express or implied, representation or warranty of any kind that the future intended use of the Property by the Purchaser is or will be lawful except as may be specifically stipulated elsewhere in this Agreement. 13. Provision of Plans (a) The Purchaser agrees and covenants that prior to the issuance of a building permit, the Purchaser shall provide to the Town of Tillsonburg a plan showing the location of the building(s) and outside storage, the front elevation of the building(s), the exterior building materials, the landscaping treatment and the screening of outside storage. The provisions of this paragraph shall survive closing. 14. Reasonable Assistance (a) The Vendor agrees to provide reasonable assistance and co-operation to the Purchaser in obtaining the necessary approvals for the development of the Property subject to the Purchaser's compliance with all relevant building codes, by-laws, land use controls, any other statutory requirements and payment of the fees provided for in the Town of Tillsonburg's current fees by-law. 15. Development Covenants and Restrictions (a) The Property shall be subject to the development covenants and restrictions more particularly set out in Schedule "D" attached to this APS, which shall survive the completion of this transaction and run •.vith the Property. The development covenants and restrictions shall be registered on title by the Vendor. In the event that the said covenants and restrictions are not registered on title to the Property on or before closing, the Purchaser covenants and agrees to consent to the registration of the covenants and restrictions after closing. 16. Property Not for Resale (a) The Purchaser covenants that it is purchasing the Property for the purpose of consolidating the parcel with the Purchaser's adjoining property and not for the purpose of resale of vacant land. SECTION IV -PRIOR TO COMPLETION DATE 17. Purchaser May Inspect the Property (a) The Purchaser, its agents and contractors shall be permitted to inspect the Property and any buildings as frequently as is reasonably necessary between the date of Acceptance and the Completion Date at reasonable times and upon reasonable notice to the Vendor. 18. Insurance (a) Pending closing, the Vendor shall hold all insurance policies and the proceeds thereof in trust for the parties as their interest may appear and in the event of damage to the Property. The Purchaser may elect to either receive the proceeds of the insurance and complete the purchase or to cancel the APS and have all the deposit monies paid to the Vendor returned together with all interest earned thereon without deduction. SECTION V -COMPLETING THE TRANSACTION 19. Deed/Transfer Buyer's Initials~$' Seller's Initials. __ _ Page 190 of 256 (a) The Deed or Transfer of the Property will be prepared by the Vendor at the expense of the Purchaser in a form acceptable to the solicitors for the Purchaser and the Purchaser will pay all Land Transfer Tax, Harmonized Sales Tax and other costs in connection with the registration of it. 20. Electronic Registration (a) The parties agree that the transaction shall be completed by electronic registration pursuant to Part Ill of the Land Registration Reform Act, R.S.O. 1990, c.L.4 as amended. The parties acknowledge and agree that the delivery and release of documents may, at the discretion of the lawyer: a) not occur contemporaneously with the registration of the transfer/deed and other registrable documentation, and b) be subject to conditions whereby the lawyer receiving documents and/or money will be required to hold them in trust and not release them except in accordance with the terms of a written agreement between the lawyers entered into in the form of the Document Registration Agreement adopted by the Joint LSUC-OBOA Committee on Elective Registration of Title Documents. 21. Survey or Reference Plan (a) The parties acknowledge that a survey, at the Purchaser's expense, is required and a Reference Plan may be registered on title and may be used to provide a registrable description of the Property and any easements. 22. Letters and Reports from Officials of the Vendor (a) On or before the requisition date, the Vendor agrees to provide to the Purchaser, if requested, at the Vendor's expense, letters or reports from the Building and Zoning Department of the Town of Tillsonburg and the Fire Chief of the Town of Tillsonburg regarding the status of compliance with all codes, by-laws, rules and regulations with respect to the Property and any buildings located thereon. 23. Examination of Title (a) Title to the Property shall be good and marketable and free from all encumbrances except for any service easements or rights-of-way to be reserved in favour of the Vendor and for any easements or rights-of-way registered on title and any minor encroachments shown on the survey or Reference Plan delivered to the Purchaser. Any required easement shall be in the form set out in Schedule "C". (b) The Purchaser is allowed until May 21, 2021 to examine the title to the Property. If on or before this date the Purchaser furnishes the Vendor in writing with any valid objections: to the title; to any undisclosed outstanding work orders; to undisclosed non-compliance with the municipal by-laws or covenants and restrictions which run with the land and cannot be resolved before the Completion Date; as to any objection of which the Vendor shall be unable to remedy or correct by the Completion Date and which the Purchaser will not waive, then this APS shall, notwithstanding any intermediate acts or negotiations, be terminated and the deposit shall be returned to the Purchaser without deduction and the Vendor and the Purchaser shall not be liable for any costs, damages, compensation or expenses. 24. Vendor to Discharge all Encumbrances (a) The Vendor agrees to obtain and register at its own expense, on or before the Completion Date, a discharge of all liens, encumbrances, agreements and mortgages now registered against the Property and not assumed by the Purchaser. The Vendor further covenants and agrees to discharge, on or before the Completion Date, any and all liens, chattel mortgages, assignments or any other security interest given by the Vendor against its personal Property. 25. Adjustments (a) The Vendor agrees that all deposits, if any, held by the Vendor not including interest thereon shall be credited to the Purchaser in the Statement of Adjustments prepared for the Completion Date. (b) Any rents, mortgage, interest, taxes, local improvements, water and assessment rates shall be apportioned and allowed to the Completion Date, the day itself to be apportioned to the Purchaser. °K\r'?! Buyer's Initials~ Seller's Initials --- Page 191 of 256 26. Deliveries by the Vendor To The Purchaser on Closing (a) The Vendor covenants and agrees to deliver to the Purchaser on the Completion Date, all such deliveries to be a condition of the Purchaser's obligation to close this transaction, the following: (i) a deed/transfer of the Property; (ii) any survey or reference plan of the Property in the possession of the Vendor; (iii) a Statutory Declaration by an authorized officer of the Vendor stating that accurateness and truthfulness of all of the representations and warranties; (iv) a Statutory Declaration by an authorized officer of the Vendor as to possession of the Property in a form acceptable to the solicitors for the Purchaser; (v) a Statutory Declaration by an authorized officer of the Vendor that it is not now, and upon completion will not be, a "non-resident person" within the meaning and for the purpose of Section 116 of the Income Tax Act, R.S.C., 1985, c. 1 (5th Supp.) as amended; (vi) certified copies of all appropriate certificates, by-laws and other documents of Vendor authorizing the transaction herein; and (vii) such further documentation and assurances as the Purchaser may reasonably require to complete the transaction contemplated by the APS. 27. Harmonized Sales Tax (a) The parties hereto acknowledge and agree that the transaction contemplated herein is subject to the Harmonized Sales Tax (HST) under the Excise Tax Act, R.S.C., 1985, c. E-15 (the "Act") and that the Purchase Price does not include HST. The Vendor shall provide the Purchaser with its HST Business Number. The Purchaser shall pay to the Vendor any HST imposed under the Act payable in connection with the transfer of the Property to the Purchaser, or as it may direct, unless the Purchaser or its nominee, or its assignee, provides: (i) a certificate on or before the Completion Date containing a representation and warranty to the Vendor that: (1) it is registered for the purpose of the HST on the Completion Date and specifying the HST registration number; (2) it will self-assess the HST on its GST/HST return or file the prescribed form pursuant to subsection 228(4) of the Act in connection with the purchase of the Property; (3) the Property transferred pursuant to this APS is being purchased by the Purchaser, or its nominee or assignee, as principal for its own account and is not being purchased by the Purchaser as agent, trustee or otherwise on behalf of or for another person, and does not constitute a supply of residential complex made to an individual for the purpose of paragraph 221 (2)(b) of the Act; (4) an indemnity, indemnifying and saving harmless the Vendor from any HST payable on this transaction and penalty and interest relating to HST; and (5) a notarial true copy of its HST registration confirmation. SECTION VI -MISCELLANEOUS 28. Entire Agreement (a) There is no representation, warranty, collateral agreement or condition affecting this Agreement of the Property other than expressed herein. Buyer's lnitial~~JtS '0 Seller's Initials --- Page 192 of 256 29. Tender (a) Any tender of documents or moneys hereunder may be made upon the solicitor acting for the party upon whom tender is desired, and it shall be sufficient that a negotiable, certified cheque or bank draft may be tendered instead of cash. 30. Time of Essence (a) Time shall be of the essence of this Agreement. 31. Planning Act (a) This Agreement shall be effective only if the provisions of Section 50 of the Planning Act, R.S.O. 1990, c.P.13, as amended are complied with. 32. Notices (a) All notices in this Agreement shall be in writing and shall be deemed to have been given if delivered by hand or mailed by ordinary mail, postage prepaid, addressed to the solicitor for the person to whom such notice is intended to be given at the following addressed: Solicitors for the Vendor: Duncan, Linton LLP ATTENTION: Steven Ross 45 Erb Street West Waterloo, ON N2J 485 Fax: (519) 886-8651 with a copy delivered to: The Corporation of the Town of Tillson burg ATTENTION: Development Commissioner 204-200 Broadway Tillsonburg, ON N4G 5A7 Fax: 519-842-9431 Solicitors for the Purchaser: Christie Harris Doyle & Prendergast If mailed, such notices must also be given by facsimile transmission on the date it was so mailed. If so given, such notices shall be deemed to have been received on the first business day following the date it was delivered or marked mailed out. 33. Successors and Assigns (a) The Purchaser shall be permitted to assign all of its right, title and interest in and to this APS with the Vendor's written approvall. which shall not be unreasonably withheldl. including assignment to another corporation with the same shareholders as the Purchaser. Subject to the restrictions in the preceding sentence, the Vendor agrees to engross the Transfer/Deed of Land as directed by the Purchase on the completion Date as the Purchaser may elect, and the Vendor agrees to complete the transaction contemplated by this APS on the Completion Date with such assignee or nominee. The Purchaser is released from all liability hereunder, if it assigns its interest in this APS. This Agreement shall be binding upon the parties hereto and their respective successors and assigns. 34. Schedules (a) The following Schedules shall form an integral part of this Agreement: (i) Schedule "A" Description of the Property; (ii) Schedule "B" Conditions; Buyer's lnitial~{Z.) Seller's Initials --- Page 193 of 256 35. Acceptance by Fax or Email (a) The Purchaser and Vendor acknowledge and agree that the communication of this Agreement of Purchase and Sale may be transmitted by way of facsimile or electronic mail, and that they agree to accept such signatures and documents to be legal and binding upon them. 36. Counterparts (a) This Agreement may be signed in any number of counterparts, each of which is considered to be an original, and all of which are considered to be the same documents. 37. Severability (a) If any provision of this Agreement, or the application thereof to any circumstances, shall be held to be invalid or unenforceable, then the remaining provisions of this Agreement, or the application thereof to other circumstances, shall not be affected, and shall be valid and enforceable. Buyer's Initials~ Seller's Initials --- Page 194 of 256 IN WITNESS WHEREOF the Purchaser has executed this Agreement: Dated at I' L '-..re N f3 v n.t;-, Ontario this 'Z. Cf pp.1·L day of_.1\-_____ , 2021. ** Per: Name: Roy Anthony Jones, Tejaun Jones , Title:l f ~ r},,Q!Led] \\fiZ1M Na~e : CJ Title : Teresa Violet Jones Jeffrey Jaques I/We have authority to bind the Corporation. The Vendor hereby accepts this Agreement according to its terms. Dated at Tillsonburg , Ontario this ___ day of ______ , 2021 . IN WITNESS WHEREOF the Vendor has executed this Agreement: . /" Buyer's Init ia ls~ The Corporation of the Town of Tillson burg Stephen Molnar Mayor Michelle Smibert Clerk We have authority to bind The Corporation of the Town of Tillsonburg. Seller's Initials __ _ Page 195 of 256 SCHEDULE "A" -LEGAL DESCRIPTION OF THE PROPERTY ALL AND SINGULAR that certain parcel or tract of land and premises situated, lying and being in the Town of Tillsonburg in the County of Oxford, being compromised of a portion of the Unnamed Alleyway between Charles Street and Nelson Street and to be described by a new reference plan: Buyer's Initials¥ Seller's Initials __ _ Page 196 of 256 J- ~ "' VJ ~ '1J ~ z ~ :f h 0 .v () ~ -- Page 197 of 256 . ·1 f!1 1f(/l.S . -if -'\ L.f /t-.1 ti. . i I I I I ! i . 1 \ ,. , . \ . ~----·-. Sketch . · . . NSl-70~ . . o'-Nt:.LU~G · ·'( BR\C\<. .. . s10R£ . ·· o~S . . cRt:.IS 0 ~ . ID -~· . cot-I s\E?· · . 'i. ·r- -b ~ . . . &. "i-/1) . 'l.'1.1 (?) . : . •) i o.. . I . . ' oo''. t:. . . . c·· 1 ~( • 33 . . . s ~. · s S . . S;; ·· Z z..~ . C)0f\~~ ... ·. ... ·- ... ·~ ~ ."'l ~ ,. .··~ . z. .. ·q__V .. .. ! ·~ '(~ . l.r)/ ·o··· -~ .· Page 198 of 256 SCHEDULE "B" -PURCHASER CONDITIONS 1. The transaction of purchase and sale contemplated herein shall be subject to the fulfillment of the following terms and conditions on or before , which terms and conditions are for the exclusive benefit of the Purchaser and may be waived in whole or in part by the Purchaser. If the conditions are not fulfilled or waived then the deposit shall be returned and Agreement arising from the offer shall be at an end and all parties released from their obligations: (a) ** l11 R; Buyer's Initials~ Seller's Initials --- Page 199 of 256 • SCHEDULE "C" -EASEMENT TERMS AND PROVISIONS OF THE EASEMENT: I. The Owner hereby grants, conveys and confirms to The Corporation of the Town of Tillsonburg (the "Town"), its successors and assigns, in perpetuity, the free , uninterrupted and undisturbed right and easement to enter upon the lands herein described at any time for the purposes of constnicting, installing anEl maintaining all existing municipal services of any kind (including water d istribution pipes and sanitary and storm sewers) in, under, over and upon the said lands, and with the further and conti nuing right to the Town, its successors and assigns, and its servants , agents and workers to enter upon the lands at any time to construct, repair, correct, operate , replace and maintain at all times in good condition and repair the municipal services and for every such purpose the Town shall have access to the said lands at all times by its agents , servants , employees and workers. 2. The Town covenants and agrees that, upon completion of any work undertaken hereunder, the Town will restore the areas of land upon which it has performed work to the same condition as that in which the lands were found prior to the commencement of the work. 3. The Owner covenants with the Town to keep the lands herein described free and clear of any trees , buildings, structures or other obstructions which may limit the use , operation , repai r, replacement or maintenance of the easement and to use the lands herein described only in a manner and for purposes not inconsistent with the exercise of the rights created by this indenture and without limiting the generality of the foregoing, only as a yard , lawn, garden , flowerbed , roadway, driveway or parking area and the Owner agrees not to do or suffer to be done anything which might injure any of the works of the Town hereon. The term "building" as set out herein shall specifically include any window sills, chimney breasts , cornices, eaves or other arch itectural features projecting from the first floor of the building but shall not include window sills, ch imney breasts , cornices , eaves or other architectural features projecting from the second floor of t he building by less than two (2) feet and such second floor projections shall be specifically authorized and allowed to encroach upon the lands herein described. 4. The Town , by the acceptance and registration of the within easement, agrees to be bound by the terms and provisions contained here in. 5. The burden and benefit of this easement shall run with the lands herein described and shall extend to and be binding upon and enure to the benefit of the parties hereto and their respective heirs , executors, administrators, successors and assigns. 6 . This is an easement in gross. Selle r's Initials Page 200 of 256 Page 1 of 2 THE CORPORATION OF THE TOWN OF TILLSONBURG BY-LAW 2021-___ A BY-LAW to enter into an airport hanger land lease agreement with Euclid Benoit for the West half of Hangar G9. WHEREAS a lease dated September 19, 2008 was signed between the Corporation of the Town of Tillsonburg and Benoit International Inc. for property legally described as Part of Lots 4, 5, 6 and 7 in the Township of South West Oxford known as Hanger G9, formally known as Hanger 13, at the Tillsonburg Regional Airport; AND WHEREAS an assignment of lease dated July 3, 2018 was signed between the Corporation of the Town of Tillsonburg and Benoit International Inc. and Euclid Benoit, to assign interest in the original lease dated September 19, 2008 , to Euclid Benoit, subject to the terms and conditions contained in the agreement; AND WHEREAS the Corporation of the Town of Tillsonburg received a request on March 4, 2021, from Euclid Benoit the current owner of Hangar G9, formerly known as Hangar 13, requesting to remain the owner of the West side of Hanger G9 and to sell the East side of Hanger G9 to Geoff Lee of 1467246 Ontario Inc. AND WHEREAS the Corporation of the Town of Tillsonburg is desirous of entering into an airport hanger land lease agreement with Euclid Benoit for the West half of Hangar G9 at the Tillsonburg Regional Airport; BE IT THEREFORE ENACTED by the Council of the Corporation of the Town of Tillsonburg as follows: 1. That the lease agreement attached hereto forms part of this by-law; 2. That the Mayor and Clerk be hereby authorized to execute the attached lease agreement on behalf of the Corporation of the Town of Tillsonburg. 3. That the lease dated September 19, 2008 signed between the Corporation of the Town of Tillsonburg and Benoit International Inc. for property legally described as Part of Lots 4, 5, 6 and 7 in the Township of South West Oxford known as Hanger G9, formally known as Hanger 13, at the Tillsonburg Regional Airport, is hereby null and void. 4. That the assignment of lease dated July 3, 2018 signed between the Corporation of the Town of Tillsonburg and Benoit International Inc. and Euclid Benoit, to assign Page 201 of 256 By-Law 2021-___ Page 2 of 2 interest in the original lease dated September 19, 2008 , to Euclid Benoit, subject to the terms and conditions contained in the agreement, is hereby null and void. 5. That this By-Law shall come into force and take effect on the date it is passed. READ A FIRST AND SECOND TIME THIS 10th day of MAY, 2021. READ A THIRD AND FINAL TIME AND PASSED THIS 10th day of MAY, 2021. _____________________________ MAYOR – Stephen Molnar ______________________________ CLERK – Michelle Smibert Page 202 of 256 Landlord’s Initials __________ Tenant’s Initials __________ TILLSONBURG AIRPORT HANGAR LEASE This Lease is made this 30 day of April, 2021 (the “Effective Date”). B E T W E E N THE CORPORATION OF THE TOWN OF TILLSONBURG (the “Landlord”) - and – Euclid Benoit 3525 Mossley Drive Mossley, Ontario N0L 1V0 (the “Tenant”) WHEREAS the Landlord owns all and singular that certain parcel or tract of land and premises situated, lying and being in the Township of South West Oxford in the County of Oxford, being compromised of: PT LT 3-4 CON 7 DEREHAM; LT 5-6 CON 7 DEREHAM; PT LT 7 CON 7 DEREHAM PT 1, 2, 3, 4 & 5, 41R2877, PT 2 & 3, 41R2714, PT 1, 2 & 3, 41R4343, PT 1, 2, 3 & 4, 41R4545; S/T 406551; SOUTH-WEST OXFORD; PIN: 00016-0089 (LT); LRO #41; municipal address being 244411 Airport Road, Tillsonburg, ON N4G 4H1; referred to herein as the “Property”, the “Airport” or the “Tillsonburg Airport” upon which is located the Tillsonburg Airport which is owned and operated by the Landlord. In consideration of the covenants, agreements, warranties and payments herein set forth and provided for, the sum of two dollars ($2.00) paid by each party to the other and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties hereto respectively covenant and agree as follows: 1. LEASED PREMISES (1) The Leased Premises shall consist of a portion of the Tillsonburg Airport identified as 50% of Hangar G9 (56 ft by 60 ft) on the plan attached as Schedule “A”, being the area upon which the Tenant’s airplane hangar shall be located plus one (1) metre of land extended beyond the exterior perimeter of the Tenant’s airplane hangar building (the “Leased Premises”). (2) Notwithstanding the above, the Landlord reserves the right to assign an alternate lot to the Tenant on thirty (30) days’ written notice at any time prior to the commencement of construction of the Tenant’s hangar. (3) The Landlord covenants and agrees to the construction by the Tenant of an airplane hangar on the Leased Premises being a Hangar, (the “Hangar”) subject to the provisions of Schedule “B”. The Tenant shall complete the construction of the Hangar at its sole cost and expense. (4) The Landlord covenants and agrees that the Hangar on the Leased Premises is not owned by the Landlord but is owned by the Tenant. 2. GRANT OF LEASE (1) The Landlord leases the Leased Premises to the Tenant: (a) at the Rent set forth in Section 3; (b) for the Term set forth in Section 4; and (c) subject to the conditions and in accordance with the covenants, obligations and agreements herein including schedules. (2) The Landlord covenants that it has the right to grant the leasehold interest in the Leased Premises free from encumbrances except as disclosed on title. 3. RENT (1) Rent means the amounts payable by the Tenant to the Landlord pursuant to this Section and includes Additional Rent. (2) The Tenant covenants to pay to the Landlord, during the Term of this Lease rent as follows Page 203 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 2 (the “Base Rent”): for every year of the Term, the total sum of $504.00 per annum (based upon $0.30 per square foot of Hangar building area) plus H.S.T., and any other applicable services tax which may accrue on account of the Landlord collecting rent, payable yearly in advance. Base Rent shall commence on the first day of the Term . If the first day of the Term is not January 1st then Base Rent for the first year of the term shall be prorated until December 31 of the initial year. Base Rent shall then be due on 1st day of the year commencing on January 1st, 2022 and every 1st day of January thereafter. The Parties further agree that the Landlord may, in their sole and absolute discretion, increase the Base Rent annually in accordance with the Town of Tillsonburg Rates and Fees Bylaw, as amended. If the square footage of the Hangar on the Leased Premises expands then the Base Rent shall accordingly increase in proportion to the additional square footage. Note existing Hangar is 56 ft. by 60 ft. shared by two parties equally. (3) The Tenant further covenants to pay all other sums required by this Lease to be paid by it and agrees that all amounts payable by the Tenant to the Landlord or to any other party pursuant to the provisions of this Lease shall be deemed to be additi onal rent (“Additional Rent”) whether or not specifically designated as such in this Lease. (4) The Landlord and the Tenant agree that it is their mutual intention that this Lease shall be a completely carefree net lease for the Landlord and that the Landlord shall not, during the Term of this Lease, be required to make any payments in respect the Leased Premises other than charges of a kind personal to the Landlord (such as income and estate taxes and mortgage payments) and to effect the said intention of the parties the Tenant promises: (a) to pay as Additional Rent: business taxes, real estate taxes and licenses if applicable; (b) to pay all annual fees in accordance with the Town of Tillsonburg Rates and Fees Bylaw, as amended, as Additional Rent for such expenses incurred by the Landlord for the maintenance and servicing of the Airport; and, (c) to pay the Landlord a one-time capital recovery charge, based on actuals, for the Landlord to construct the associated hangar apron, if applicable; and, (Not Applicable / Existing Hangar) (d) to pay for or provide servicing and maintaining the Leased Premises and the Hangar and shall include the following: (i) all utilities and services including, but not limited to, electricity, water, sewage, natural gas and propane. The Tenant acknowledges that connection fees for utilities and services are entirely at the Tenant’s cost. Further, the Tenant acknowledges that nothing in this Lease, including in this article, is a warranty, covenant or representation by the Landlord to provide connections, utilities or services to the Leased Premises or that the services or utilities can be extended to the Leased Premises; (ii) snow removal and landscaping on the Leased Premises including cutting the grass and weed control of the Leased Premises including the one (1) metre area around the perimeter of the Hangar; (iii) all repair, service and maintenance to the Hangar including reasonable wear and tear; and, (iv) to pay airport infrastructure fees in accordance with the Town of Tillsonburg Rates and Fees Bylaw, as amended. (Not Applicable / Existing Hangar) (5) The Tenant hereby agrees to indemnify and protect the Landlord from any liability accruing to the Landlord in respect of the expenses payable by the Tenant as provided for herein. (i) The Tenant on behalf of itself/himself/herself/themselves, its/his/her/their heirs, executors, administrators and assigns, including its/his/her/their successors in title, hereby covenants and agrees to indemnify and save harmless the Landlord from all actions, cause of actions, suits, claims, demands, damages, losses, costs, charges and expenses of every nature and kind whatsoever by whomsoever make brought or prosecuted, including legal fees, which the Landlord may incur or have to pay, which may arise either directly or indirectly by reason of any activity, actions, performance, negligence or non-performance of the Tenant, its employees, servants, agents, contractors, subcontractors, architect, landscape architect, engineer, surveyor, planner, consultant, project manager or any other person the Tenant is responsible for at law during the duration of this Agreement; in executing the W orks under this Agreement; by reason of installation of any Works required under this Agreement; by the failure of the Tenant to complete the installation of the Works required under this Agreement; because of or on account of the ownership, construction, use existence, or maintenance of the property described in the Agreement; by the exercise of the Tenant’s powers under this Agreement; the construction, maintenance or the improper or inadequate construction, installation and/or maintenance of the Works; any act or omission of said parties while undertaking the Works; or by reason of the neglect of the Tenant or its employees, servants, agents, contractors, Page 204 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 3 subcontractors or others for whom the Tenant is responsible at law. (ii) Without limiting the generality of the foregoing, the Tenant agrees to indemnify and save harmless the Landlord for any issues related to the alteration of any grade or existing level construction, the maintenance or repair of any taxiway within the Airport, or by reason of the failure, neglect or omission of the Tenant to do anything agreed to be done pursuant to this Agreement or by reason of any act or omission of the Tenant, including failure of the Tenant to comply with the Construction Act. (6) Additional Rent shall be payable yearly in advance on the same dates stipulated for payment of Base Rent in Section 3 (2). (7) All payments to be made by the Tenant pursuant to this Lease are to be in Canadian funds by bank draft, money order or cheque payable to the Landlord and shall be delivered to the Landlord at the Landlord’s address for service set out in Section 17 or to such other place as the Landlord may from time to time direct in writing. (8) All Rent in arrears and all sums paid by the Landlord for expenses incurred which should have been paid by the Tenant shall bear interest from the date payment was due, or made, or expense incurred at a rate per annum equal to the prime commercial lending rate of the Landlord’s bank plus two (2) per cent. (9) The Tenant acknowledges and agrees that the payments of Rent and Additional Rent provided for in this Lease shall be made without any deduction for any reason whatsoever unless expressly allowed by the terms of this Lease or agreed to by the Landlord in writing and no partial payment by the Tenant which is accepted by the Landlord shall be considered as other than a partial payment on account of Rent owing and shall not prejudice the Landlord’s right to recover any Rent owing. 4. TERMS AND POSSESSION (1) The Tenant shall have possession of the Leased Premises for a period of twenty years, eight months (the “Term”), commencing on the 30 day of April, 2021 and ending on the 1st day of January, 2042. (2) The Tenant shall pay any and all connection costs for hydro, gas, water, heating, air- conditioning and for all other services and utilities as may be provided to the Leased Premises. The Tenant shall arrange with the local authority for connection of gas, electricity and water in the name of the Tenant. Nothing in this paragraph or lease is a warranty or representation by the Landlord that any utilities or services are extended to the Leased Premises or can be extended to the Leased Premises. (3) Subject to the Landlord’s rights under this Lease, and as long as the Tenant is in good standing, the Landlord covenants that the Tenant shall have quiet enjoyment of the Leased Premises during the Term of this Lease without any interruption or disturbance from the Landlord or any other person or persons lawfully claiming through the Landlord. 5. ABATEMENT OF RENT DURING CONSTRUCTION PERIOD (Not Applicable / Existing Hangar) (1) So long as the Lease has been fully executed, the Tenant has provided the Landlord with proof of the Tenants insurance, and the Tenant has paid the first and last month’s Rent to be held as a deposit, the Landlord shall provide the Tenant with possession of the Leased Premises for a period of up to six (6) months commencing on the Effective Date for the purposes of constructing the Hangar on the Leased Premises. All terms of the Lease shall be applicable from the Effective Date save and except for the payment of Rent, Base Rent and Additional Rent which shall be payable as of the first day of the month of occupancy of the Hangar or the expiry of the six (6) month construction period whichever occurs first. (2) In the event the Tenant has not completed construction of the Hangar within the six (6) month construction period, the Landlord, in its sole and absolute discretion, may e xtend the construction period upon written request of the Tenant or terminate this Lease of which then the Tenant’s deposit provided in Section 5 (1) would be forfeited. 6. ASSIGNMENT (1) The Tenant shall not assign this Lease or sublet the whole or any part of the Leased Premises unless they first obtain the consent of the Landlord in writing, which consent shall not unreasonably be withheld and provided the sub-Tenant and/or assignee signs a written acknowledgement that he/she will be bound by the terms, conditions and rules as provided for in this Lease. The Tenant hereby waives its right to the benefit of any present or future Act of the Legislature of Ontario which would permit the Tenant to assign this Lease or sublet the Leased Premises without the Landlord’s consent. Page 205 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 4 (2) The consent of the Landlord to any assignment or subletting shall not operate as a waiver of the necessity for consent to any subsequent assignment or subletting. (3) Any consent given by the Landlord to any assignment or other disposition of the Tenant’s interest in this Lease or in the Leased Premises shall not relieve the Tenant from its obligations under this lease, including the obligation to pay Rent, Base Rent and Additional Rent as provided for herein. (4) If all or more than 50% of the shares in the Tenant should be sold, assigned or transferred in any manner to a person other than the Tenant, then such transferee shall be bound by the terms and conditions of this Lease. 7. USE (1) During the Term of this Lease the Leased Premises shall not be used for any purpose other than as an aircraft hangar for the storage, repair and operation of airplanes, without the express consent of the Landlord given in writing. The Tenant shall not construct a new hangar or any other building on the Leased Premises except in accordance to the terms of this Lease. (2) The Tenant shall not do or permit to be done at the Leased Premises anything which may: (a) contravene any Airport use, standards, or tenant policy as established by the Landlord from time to time; (b) cause damage to the Leased Premises; (c) cause injury or annoyance to occupants of neighbouring premises; (d) make void or voidable any insurance upon the Leased Premises; (e) constitute a breach of any by-law, status, order or regulation of any municipal, provincial or other competent authority rela ting to the Tillsonburg Airport, the Leased Premises including any septic bed or other property, equipment or appurtenances; and, (f) create an environmental hazard. The Tenant shall not store, allowed to be stored or do anything that creates hazardous waste or toxic material as defined by the Environmental Protection Act or any related or successor legislation. If an order is made by any level of government, including all agencies, crown corporations, municipal bodies, or a court is made as a result of the Tenant’s, or its servants, directors, employees, invitees, customers or agents, actions or inaction under this Article or Article 7(2)(e) above or as a result of the septic bed system used by the Tenant then the Tenant shall satisfy the terms of such order including, but not limited to, paying all costs of the work required and shall indemnify and save the Landlord harmless from any costs, including legal costs, if the Landlord suffers any damages or pays any costs associated with such order. (3) The Tenant shall: (a) not interfere in the use of the Airport or any other use of the Property. The Tenant acknowledges that there are other uses of the Property and it shall not interfere in any other use of the Property. The Tenant further acknowledges that there are other Tenants and users of the Airport and it shall not unreasonably interfere in the use or operation of the Airport in any manner nor shall it do, or allow to be done by any of its invitees, customers, employees or agents, anything that would cause or constitute a nuisance, safety violation or hazard to any other Tenant or any user of the Airport who are acting reasonably; (b) comply with all federal and provincial transportation guidelines, regulations, rules, by-laws, statutes, directives and any other such matter that governs the flight, use or operation of aircraft; (c) not block or obstruct the taxiways or runway and permit the ingress and egress to adjacent hangars, aprons and parking areas; (d) not conduct any major repairs to any motor vehicle of any kind other than an aircraft or any vehicle or machinery ancillary to or connected with aircraft; (e) not perform aircraft repair or maintenance outside of the Leased Premises; (f) not start any aircraft in the Hangar; (g) not store any items on the Leased Premises, surrounding Property or in the Hangar other than aircraft and related aircraft items except as specifically permitted in this agreement; (h) not store any flammable products inside the Hangar or on the Leased Premises with the exception of fuel or necessary aircraft related products; (i) notify the Landlord of any public activities and/or events no less than thirty (30) days before such activity and/or event with approval by the Landlord, in its sole and absolute discretion and such approval not to be unreasonably withheld; (j) comply with all rules and regulations of the Airport and ensure the compliance of all the Tenant’s contractors, employees, agents, customers and invitees; and, (k) provide proof of documentation showing current and proper insurance coverage of any aircraft stored inside the Hangar. (4) The Tenant covenants and agrees that the Landlord may require the adjustment in the Airport leases and as such may demand the Tenant move the Hangar and the location of Page 206 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 5 the Leased Premises. The Landlord shall compensate the Tenant for any expenses in moving the Hangar as agreed between the Parties. (5) The Tenant shall be permitted to construct and maintain one (1) aircraft hangar (the “Works”) on the Leased Premises as follows: (Not Applicable / Existing Hangar) (a) the dimensions of the Existing Hangar is 56 feet by 60 feet for a total floor area of 3360, the half of the hangar for this lease agreement is 28 feet by 60 feet for a total floor area of 1680 square feet, (b) the style of the Hangar shall be either a pole barn style building or a metal frame building; (Not Applicable / Existing Hangar) (c) the siding, siding colour, roof colour, hanger number, and height of the building will be maintained in accordance with current Airport standards as approved by the Landlord; (Not Applicable / Existing Hangar) (d) the hangar apron shall be constructed of a hard surface (i.e. asphalt or concrete) with a minimum 300mm (12”) structural sub-base to the satisfaction of the Landlord; (Not Applicable / Existing Hangar) (e) any construction or renovation shall comply with the construction requirements of the Landlord in its sole and absolute discretion including the construction requirements detailed in Schedule “B” to this Lease and all applicable building code standards and by-laws of the municipality in which the Leased Premises are located and any federal or provincial statutes, rules or regulations; (Not Applicable / Existing Hangar) (f) prior to the commencement of construction, the Tenant shall submit, at its sole cost, a site plan and drainage/grading plan which shall include, but not limited to, the information required in this Article 7(5) of this Lease and the proposed floor elevation, which all shall be subject to the approval of the Landlord; (Not Applicable / Existing Hangar) (g) the Tenant agrees to maintain the lot grading during and after construction and erection of the Hangar and shall comply with the lot grading and drainage requirements of the Landlord at the sole cost of the Tenant; (Not Applicable / Existing Hangar) (h) obtain all necessary permits, as applicable, at the expense of the Tenant; and, (i) the Tenant shall be responsible for and pay the cost of all repair, renovation, and maintenance and nothing in this Lease shall render the Landlord responsible for any such costs. (Not Applicable / Existing Hangar) (6) The Landlord acknowledges that it has granted access to the Tenant for the Tenant to maneuver its aircraft from the Hangar to the adjacent taxiway and runway of the Airport. Further, the Landlord hereby grants to the Tenant, its successors and assigns, free and uninterrupted access in, over, upon, across or through the Hangar apron area, defined as 5 metres wide and 7 metres from the front of the Hangar to the adjacent taxiway G2 to the West. The Landlord grants to the Tenant the right to enter upon the Hangar apron area at all times and to pass and re-pass thereon as may be required by the Tenant, and its licensees, successors, assigns, servants, agents, employees and contractors including all necessary vehicles, equipment and machinery, from time to time, for the purposes of installing, maintaining, replacing, and reconstructing a suitable surface treatment to the Hangar apron as approved by the Landlord in its sole and absolute discretion. Any cost of installing, removing, maintaining, replacing and/or reconstructing the Hangar apron shall be at the sole expense of the Tenant without contribution of the Landlord. The Tenant covenants that it shall not conduct such work to the Hangar apron without first obtaining the consent of the Landlord and such consent shall not be unreasonably withheld. The Tenant hereby releases the Landlord from any and every claim which may or might arise out of the proper exercise by the Tenant of any of the rights granted herein. 8. CONSTRUCTION IMPLEMENTATION SCHEDULE (Not Applicable / Existing Hangar) (1) The Tenant hereby undertakes to complete the work herein in accordance with the timeframes set out in the Schedule “C” (the “Construction Schedule”). The Tenant shall submit a proposed construction schedule which shall be subject to amendments and approval by the Landlord and attached hereto as Schedule “C”. A variance to the timeframes will only be allowed if approved i n writing by the Landlord. Failure to comply may result in the Tenant being in default of this Agreement and the Landlord may seek remedy pursuant to this Agreement. (2) The Landlord approved work shall be carried out by the Tenant in a proper and professional manner so as to do as little damage or disturbance as possible to the Airport lands or the Airport’s infrastructure. The Tenant shall repair and make good all damage and disturbance that may be caused to the Airport lands or the Airport’s infrastructure, to the satisfaction of the Landlord, acting reasonably, at the sole expense of the Tenant. (3) During construction, the works to be carried out by the Tenant, shall be maintained in all respects in a state of good repair by the Tenant, including keeping the site in a sound, neat, safe and clean condition to the satisfaction of the Landlord. If the site is not kept in a state Page 207 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 6 of good repair, upon seven (7) business days written notice to the Tenant (or such shorter time as may be required in the case of an emergency or other urgent matters or as otherwise provided herein), the Landlord shall have the right to do any work necessary to fulfill this condition and all costs incurred by the Landlord shall be recovered from the Tenant and may be recovered as Additional Rent. 9. REPAIR AND MAINTENANCE (1) The Tenant covenants that during the term of this Lease and any renewal thereof , the Tenant shall keep the Leased Premises and Hangar in good condition including all alterations and additions made thereto, and shall, with or without notice, promptly make all needed repairs and all necessary replacements as would a prudent owner. The Tenant shall be responsible for all wear and tear to the Hangar and shall affect all repairs as necessary. Save and accept the Landlord’s, or its agent’s, contractor’s and employee’s negligence or intentional actions, at no time is the Landlord responsible for any repairs or damage to the Hangar or the Leased Premises. (2) The Tenant shall permit the Landlord or a person authorized by the Landlord to enter the Leased Premises including the Hangar to examine the condition thereof and view the state of repair at reasonable times: (a) and if upon such examination repairs are found to be necessary, written notice of the repairs required shall be given to the Tenant by or on behalf of the Landlord and the Tenant shall make the necessary repairs within the time specified in the notice; and, (d) if the Tenant refuses or neglects to keep the Leased Premises including the Hangar in good repair the Landlord may, but shall not be obliged to, make any necessary repairs, and shall be permitted to enter the Leased Premises and Hangar, including by its servants or agents, for the purpose of effecting the repairs without being liable to the Tenant for any loss, damage or inconvenience to the Tenant in connection with the Landlord’s entry and repairs. If the Landlord makes such repairs the Tenant shall pay the cost of them immediately as Additional Rent. (3) Subject to any renewal, upon the expiry of the Term or other determination of this Lease the Tenant agrees to surrender peaceably the Leased Premises to the Landlord in a state of good repair and subject to the conditions contained in this Article 9(3). The Tenant may remove the Hangar provided the Tenant places the Leased Premises back into a similar condition as it was in prior to the construction of the Hangar even if the construction of the Hangar predated this Lease. At any time during the Term, expiry of the Term, if an Act of Default occurs or upon termination of this Lease if the Tenant is in arrears of any rent whatsoever the Tenant agrees that the Landlord shall be permitted to register such lien on the Hangar under the Personal Property Security Act and possession of the Hangar will not be obtained by the Tenant until the lien is paid in full with all accrued interest and legal fees. (4) The Tenant shall immediately give written notice to the Landlord of any substantial damage that occurs to the Leased Premises including the Hangar from any cause. (5) The Tenant hereby agrees that at no time is the Landlord responsible for any damage, including dam age to property or personal injury, as a result of the Tenant’s use of the Leased Premises, Airport or Property and the Tenant hereby waives any cause of action in law, equity or by statute as against the Landlord for any loss. The Tenant acknowledges that it shall not institute any claim or make any demand against the Landlord, or anyone that may claim indemnity from the Landlord, for any personal injury or damage to property, including aircraft, as a result of the Tenant’s use (including storage) of the Hangar, Airport or Property. The Tenant acknowledges that the use of the Airport, Hangar or Property is at its own risk. (6) The Tenant hereby forever releases the Landlord from any and all claims in law, equity or by statute as a result of any intention al or negligent acts of any other Tenant and/or user of the Property and/or Airport, or their agents, contractors, invitees, customers or employees that may cause death, personal injury or property loss to the Tenant or its agents, customers, employees, contractors or invitees. 10. ALTERATIONS AND ADDITIONS (1) If the Tenant, during the Term of this Lease or any renewal of the Lease, desires to make any alterations or additions to the Leased Premises, including but not limited to; erecting partitions, attaching equipment, and installing necessary furnishings or additional equipment of the Tenant’s business but not including erecting a new hangar or any other accessory building, the Tenant may do so at his own expense provided that any and all alterations or additions to the Leased Premises made by the Tenant must comply with any requirement of the Landlord including Schedule “B” and all applicable building code standards and by-laws of the municipality in which the Leased Premises are located and Page 208 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 7 any federal or provincial statutes, rules or regulations. (2) The Tenant shall pay Rent at the rate prescribed in paragraph 3 above based upon the area of the Hangar subsequent to any addition or alteration. (3) The Tenant shall be responsible for and pay the cost of any alterations, additions, installations or improvements that any governing authority, municipal, provincial or otherwise, may require to be made in, on or to the Leased Premises. (3) No sign, advertisement or notice shall be inscribed, painted or affixed by the Tenant, or any other person on the Tenant’s behalf, on any part of the outside of the Hangar unless it is located along the facade of the Hangar’s front and provided it complies with the Landlord’s signage requirements and with all applicable laws, by-laws and regulations and is in good workmanlike manner. No other sign, advertisement or notice shall be erected unless it has been approved in every respect by the Landlord in writing. (4) The Tenant agrees, at its own expense and by whatever means may be necessary, immediately to obtain the release or discharge of any encumbrance that may be registered against the Landlord’s property in connection with any additions or alterations to the Leased Premises made by the Tenant or in connection with any other activity of the Tenant. (5) The Tenant shall, at his own expense, if requested by the Landlord, remove any or all additions or improvements made by the Tenant to the Leased Premises during the Term and shall repair all damage caused by the installation or the removal or both. (6) The Tenant shall not bring onto the Leased Premises or any part of the Leased Premises any machinery, equipment or any other thing that might in the opinion of the Landlord, by reason of its hazardous nature, weight, size or use, damage the Leased Premises or the Property. If the Leased Premises or Property are damaged the Tenant shall restore the Leased Premises or Property immediately or pay to the Landlord the cost of restoring the Leased Premises or Property. 11. INSURANCE (1) The Tenant covenants to keep the Landlord indemnified and save harmless the Landlord at all times against all claims, suits, procedures, actions and demands (including but not limited to all legal costs) whatsoever and howsoever arising by any person, entity or corporation whether in respect of damage, loss or death to person or property, arising out of or occasioned by the maintenance, use or occupancy of the Leased Premises, Airport and Property or the subletting or assignment of same or any part thereof. And the Tenant further covenants to indemnify the Landlord with respect to any encumbrance on or damage to the Leased Premises occasioned by or arising from the act, default, or negligence of the Tenant, its officers, agents, servants, employees, contractors, customers, invitees or licensees. The Tenant agrees that the foregoing indemnity shall survive the termination of this Lease notwithstanding any provisions of the Lease to the contrary. (2) The Tenant shall carry insurance in its own name insuring against the risk of damage to the Tenant’s property and the Hangar within the Leased Premises caused by fire or other perils. (3) The Tenant shall carry such general liability and property damage insurance including personal injury and property damage coverage with at least two million ($2,000,000.00) dollars in limits of each occurrence with respect to the Leased Premises and Tenant’s occupation of the Leased Premises. Such insurance policy shall contain no airport site exclusion. (4) All insurance policies in this Section 11 including this Article shall name the Landlord, where applicable, as an insured and loss payee and the policy shall include a cross -liability endorsement. All policies shall be applicable as primary insurance, taking precedence over any other insurance protection owned by the Landlord. The Tenant sha ll insure that each insurance policy contains a waiver of subrogation rights which the insurer may have against the Landlord and the persons for whom is legally responsible. (5) Upon demand of the Landlord, the Tenant shall provide a copy of any and all policies of insurance including renewals and terms of such policies to the Landlord. If any policy of insurance is canceled the Tenant shall inform the Landlord without delay of such cancellation and shall obtain a replacement policy without delay on the same terms as set out in this Section 11. Under no circumstances shall delivery of and review by the Landlord of any certificate set forth or any insurance policy or any other proof of existence of the insurance coverage release the Tenant of its obligations to take out insurance in strict compliance with the present provisions or constitute a waiver in favour of the Tenant of any of the Landlord's rights. 12. ACTS OF DEFAULT AND LANDLORD’S REMEDIES Page 209 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 8 (1) An Act of Default has occurred when: (a) the Tenant has failed to pay Rent for a period of 45 consecutive days from the date that payment was required to be paid to the Landlord; (b) the Tenant has breached its covenants or failed to perform any of its obligations under this Lease for a period of 45 consecutive days and: (i) the Landlord has given ten (10) days’ notice specifying the nature of the default and the steps required to correct it; and, (ii) the Tenant has failed to correct the default as required by the notice; (c) the Tenant has: (i) become bankrupt or insolvent or made an assignment for the benefit of creditors; (ii) had its property seized or attached in satisfaction of a judgment; (iii) had a receiver appointed; (iv) committed any act or neglected to do anything with the result that a Construction Lien or other encumbrance is registered against the Landlord’s property; or, (v) taken action with a view to dissolution or liquidation; (d) any required insurance policy is cancelled or not renewed by reason of the use or occupation of the Leased Premises, or by reason of non-payment of premiums; (e) the Leased Premises: (i) has become vacant or remain unoccupied for a period of 180 consecutive days. For the purposes of this section the Parties agree that the terms “vacant and “unoccupied” shall mean no use or utilization of the Hangar and/or no storage of necessary tools, implements or equipment in the Hangar; or, (ii) is used by any other person or persons, or for any other purpose than as provided for in this Lease without the written consent of the Landlord; (f) failure to install or remedy faulty work, if, in the opinion of the Landlord the Tenant: i. is not proceeding or causing to be proceeded the works required in connection with this Agreement within thirty (30) days of notice given; or ii. is improperly performing the works; or iii. has neglected or abandoned before the completion, or unreasonably delayed the same, so that conditions of this Agreement are being violated or carelessly executed or being carried out in bad faith; or iv. has neglected or refused to renew or again perform such work as may be rejected by the Landlord as defective or unsuitable; or v. has defaulted performance of the terms and conditions of this agreement; then, in any such instance, the Landlord shall promptly notify the Tenant, in writing, of such default or neglect and if such notification be without effect within ten (10) business days after such notice, the Landlord shall thereupon have full authority and power to purchase materials and employ workers and machines for the proper completion of the works at the cost and expense of the Tenant. The cost of such work shall be calculated by the Landlord whose decision shall be final and be paid to the Landlord by the Tenant on demand. Should payment not be received following the issuance of an invoice from the Landlord, the Landlord shall collect same as Additional Rent in addition to any other remedy available to the Landlord. It is further understood and agreed between the parties hereto that such entry upon the Premise shall be as an agent for the Tenant and shall not be deemed, for any purposes whatsoever, as an acceptance of the works by the Landlord. (2) When an Act of Default on the part of the Tenant has occurred: (a) the current year’s Rent together with the next years’ Rent shall become due and payable immediately; and, (b) the Landlord shall have the right to terminate this Lease and to re-enter the Leased Premises and deal with them as it may choose. (3) If, because an Act of Default has occurred, the Landlord exercises its right to terminate this Lease and re-enter the Leased Premises prior to the end of the Term, the Tenant shall nevertheless be liable for payment of Rent and all other amounts payable by the Tenant in accordance with the provisions of the Lease until the Landlord has re-let the Leased Premises or otherwise dealt with the Leased Premises in such manner that the cessation of payments by the Tenant will not result in loss to the Landlord and the Tenant agrees to Page 210 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 9 be liable to the Landlord, until the end of the Term of this Lease for payment of any difference between the amount of Rent hereby agreed to be paid for the Term hereby granted and the Rent any new Tenant pays to the Landlord. (4) If when an Act of Default has occurred, the Landlord chooses not to terminate the Lease and re-enter the Leased Premises, the Landlord shall have the right to take any and all necessary steps to rectify any or all Acts of Default of the Tenant and to charge the costs of such rectification to the Tenant and to recover the costs as Rent. (5) If, when an Act of Default has occurred, the Landlord chooses to waive its right to exercise the remedies available to it under this Lease or at law the waiver shall not constitute condonation of the Act of Default, nor shall the waiver be pleaded as an estoppel against the Landlord to prevent his exercising his remedies with respect to a subsequent Act of Default. No covenant, term, or condition of this Lease shall be deemed to have been waived by the Landlord unless the waiver is in writing and signed by the Landlord. 13. TERMINATION UPON NOTICE AND AT END OF TERM (1) If the Leased Premises and/or Property are subject to an Agreement of Purchase and Sale: (a) The Landlord shall have the right to terminate this Lease, notwithstanding that the Term has not expired, by giving ninety (90) days’ notice (the “Notice”) in writing to the Tenant and, at the Tenant’s option, the Landlord shall pay to the Tenant the fair market value for the Hangar or the Tenant agrees to remove the Hangar and comply with Articles 9(3) and 10(5) of this Lease. Upon expiry of the Notice the Tenant shall provide vacant possession of the Leased Premises provided the Landlord pays to the Tenant a bonus of $500.00. For the purposes of this Article and Articles 13(3) and 13(4) fair market value shall be determined as of the date of the issuing of the Notice. (2) If the Tenant remains in possession of the Leased Premises after termination of this Lease as aforesaid and if the Landlord then accepts Rent for the Leased Premises from the Tenant, it is agreed that such overholding by the Tenant and acceptance of Rent by the Landlord shall create a monthly tenancy only but the tenancy shall remain subject to all the terms and conditions of this Lease except those regarding the Term. The Parties agree that if the Term is not renewed then upon expiry of the Term or if the Tenant is an overholding tenant then either Party may terminate the lease upon sixty (60) days written notice to the other party and the Tenant shall comply with Articles 9(3) and 10(5) of this Lease. (3) Other than a termination of this Lease in accordance with Article 13(1) of this Lease, the Landlord shall, at any time and notwithstanding that the Term has not expired, have the unqualified right to terminate this Lease upon one year’s prior written notification (the “Notice”) if the Leased Premises are required for any reason or purpose of the Landlord in which event the Landlord shall pay to the Tenant the fair market value for the Hangar, if erected by the Tenant, unless the Tenant agrees to remove the Hangar and comply with Articles 6(3) and 7(5) of this Lease , and the Tenant shall provide such vacant possession upon the expiry of the Notice provided the Landlord pays to the Tenant a bonus of $500.00. (4) The Parties agree that it is their mutual intention that at the end of the Term of this Lease the lease shall be renewed upon such conditions and terms as agreed between the Parties. The Parties further agree that although it is their mutual intention to renew the lease nevertheless either party may decide not to renew the lease for any reason. The Parties acknowledge that upon such renewal all terms and conditions shall be negotiated between the Parties. If the Parties do not renew this Lease then the Parties agree that the Landlord shall be granted the Right of First Refusal to purchase the Hangar (the “Option”). The Tenant covenants that it will not sell the Hangar, or any part thereof, to any person, firm or corporation, without first providing the Landlord to exercise its Option as set out in the terms of this paragraph. Upon the Tenant receiving a bona fide offer in writing (the “Third Party Offer”) the Tenant shall deliver to the Airport Office, 244411 Airport Road, Township of South-West Oxford, Ontario, a copy of the Third Party Offer and the Landlord shall have twenty business days (the “Notice Period”) from the date of receipt of the Third Party Offer to exercise the Option to match the Third Party Offer. If the Landlord exercises its option in the Notice Period then it must inform the Tenant at the Property in writing that it will purchase the Tenant’s interest in the Hangar on the same terms and conditions, or more favourable terms to the Tenant at the Landlord’s discretion, as contained in the Third Party Offer (the “Landlord’s Offer”). If the Landlord exercises its Option in the Notice Period then the Tenant must sell the Hangar to the Landlord upon the terms and conditions as contained in the Landlord’s Offer. If the Landlord does not exercise its option in the Notice Period then the Tenant shall be at liberty to accept the Third Party Offer provided that there are no modifications to the Third Party Offer. If any modifications are made to the Third Party Offer then the Landlord shall be permitted to exercise its option pursuant to the terms of this paragraph. For the purpose of this paragraph, if the Tenant is a corporation, the word “sell”, in addition to its ordinary meaning, shall be deemed to mean and include a sale or disposition of the corporate shareholding of the Tenant by the person or persons who, at the date of the commencement of the lease holds or hold a majority of the corporate shares. Page 211 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 10 Subject to the conditions contained in Article 4 of this Agreement, the Parties agree that prior to the expiry of this Lease if the Tenant seeks to assign this Lease to a third party then the Landlord will agree to examine a proposal to extend the term of this Lease however nothing in this paragraph shall require the Landlord to accept any amendment of the term or new term. (5) G9 hangar is jointly owned by two parties, each party has the first right of refusal of sale of their half of the hangar to the other party prior to the Town being able to exercise it’s right to refuse the sale to another party. The Town reserves the right to refuse either party if said party is in legal proceeding against the Town. 14. ACKNOWLEDGMENT BY TENANT (1) The Tenant agrees that it will at any time or times during the Term, upon being given at least forty-eight (48) hours prior written notice, execute and deliver to the Landlord a statement in writing certifying: (a) that this Lease is unmodified and is in full force and effect (or if modified stating the modifications and confirming that the Lease is in full force and effect as modified); (b) the amount of Rent being paid; (c) the dates to which Rent has been paid; (d) other charges payable under this Lease which have been paid; (e) particulars of any prepayment of Rent or security deposits; and, (f) particulars of any sub tenancies. 15. SUBORDINATION AND POSTPONEMENT (1) This Lease and all the rights of the Tenant under this Lease are subject and subordinate to any and all charges against the land, buildings or improvements of which the Leased Premises form part, whether the charge is in the nature of a mortgage, trust deed, lien or any other form of charge arising from the financing or re-financing, including extensions or renewals, of the Landlord’s interest in the Property. (2) Upon the request of the Landlord the Tenant will execute any form required to subordinate this Lease and the Tenant’s rights to any such charge, and will, if required, attorn to the holder of the charge. (3) No subordination by the Tenant shall have the effect of permitting the holder of any charge to disturb the occupation and possession of the Leased Premises by the Tenant as long as the Tenant performs his obligations under this Lease. 16. RULES AND REGULATIONS The Tenant agrees on behalf of itself and all persons entering the Leased Premises with the Tenant’s authority or permission to abide by such reasonable rules, standards and regulations of the Airport and/or Property which shall form part of this Lease and as the Landlord may make and/or amend from time to time. 17. NOTICE (1) Any notice required or permitted to be given by one party to the other pursuant to the terms of this Lease may be given To the Landlord at: Tillsonburg Regional Airport Attn: Airport Administrator 244411 Airport Rd South-West Oxford, On N4G 4H1 Fax: 519-842-3445 To the Tenant at the Leased Premises or at: Euclid Benoit 3525 Mossley Drive Mossley, Ontario N0L 1V0 (2) The above addresses may be changed at any time by giving ten (10) days written notice. (3) Any notice given by one party to the other in accordance with the provisions of this Lease shall be deemed conclusively to have been received on the date delivered if the notice is served personally or seventy-two (72) hours after mailing if the notice is mailed. Page 212 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 11 18. REGISTRATION The Tenant shall not at any time register notice of or a copy of this Lease on title to the Property of which the Leased Premises form part without consent of the Landlord. 19. INTERPRETATION (1) The words importing the singular number only shall include the plural, and vice versa, and words importing the masculine, feminine or neutral gender shall include the other genders, and words importing persons shall include firms and corporations and vice versa. (2) Unless the context otherwise requires, the word “Landlord” and the word “Tenant” wherever used herein shall be construed to include the executors, administrators, successors and assigns of the Landlord and Tenant, respectively. (3) When there are two or more Tenants bound by the same covenants herein contained, their obligations shall be joint and several. 20. MISCELLANEOUS (1) Unless otherwise stipulated, parking, if applicable, in the common parking area shall be in common and unreserved. (2) If a dispute should arise between the Parties in the interpretation of this Agreement then both parties agree that such dispute shall be referred to binding arbitration and be bound by the result of such arbitration. The terms, form and procedure of the arbitration shall be in accordance with the Arbitration Act or any successor legislation. The parties further agree that the arbitrator shall be jointly chosen and the arbitrator shall have the ability to award costs of the arbitration. This clause shall not apply if the Tenant is in default under the terms of the Lease which include but are not limited to: (a) its obligations to pay Rent, Base Rent and/or Additional Rent; (b) non-repair or maintenance of the Leased Premises; (c) subleased the Leased Premises without the authorization of the Landlord, acting reasonably; (d) changed its use of the Leased Premises; or, (e) used the Leased Premises in any manner contrary to Article 7. (3) In the event that any clause herein should be unenforceable or be declared invalid for any reason whatsoever, such enforce ability or invalidity shall not affect the enforce ability or validity of the remaining portions of the covenants and such unenforceable or invalid portions shall be severable from the remainder of this Lease. (4) This Lease shall be construed and enforced in accordance with the laws of the Province of Ontario. Any proceeding shall be brought at the City of Woodstock in the County of Oxford, Ontario. (5) The Tenant hereby agrees that it has had an opportunity to review the terms of this Lease and seek independent legal advice. (6) Should any provision of this Lease require judicial interpretation or arbitration, it is agreed that the court or arbitrator interpreting or construing the same shall not apply a presumption that the terms thereof shall be more strictly construed against one party by reason of th e rule of construction that a document is to be construed more strictly against the party who itself or through its agent prepared the same, it be agreed that both parties have participated in the preparation hereof. (7) This Lease and its schedules constitutes the entire agreement between the Parties hereto pertaining to the subject matter hereof and supersedes all prior and contemporaneous agreements, understandings, negotiations and discussions, whether oral or written, of the parties and there are no warranties, representations or other agreements between the Parties in connection with the subject matter hereof, except as specifically set forth herein. No supplement, modification, waiver or termination of this Lease shall be binding unless executed in writing by the Parties. (8) The Tenant agrees that it has not relied upon any representation, promise or warranty of the Landlord with respect to the condition of the Leased Premises, Hangar or any representation or promise of the Landlord to repair, renovate or otherwise alter the Leased Premises in any manner prior to or after commencement of the Term. The Parties agree that the Leased Premises are being offered to the Tenant in an “as is” condition. The Tenant shall not call on or demand the Landlord to perform any repairs or renovations prior to or after it obtains possession. The Tenant acknowledges that it has performed its own due diligence in establishing the state of repair of the Leased Premises including the Hangar. Page 213 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 12 In Witness of the foregoing covenants the Landlord and the Tenant have executed this Lease. __________________________________ Landlord Stephen Molnar, Mayor The Corporation of the Town of Tillsonburg __________________________________ Landlord Michelle Smibert, Clerk The Corporation of the Town of Tillsonburg We have authority to bind the Corporation. Per: ____________________ _________________________ Witness Name: Euclid Benoit Tenant Page 214 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 13 Schedule “A” THE “LEASED PREMISES” Taxiway G1/G2 Hangar G9 West Half of Hangar 28 x 60 ft Page 215 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 14 SCHEDULE “B” (Not Applicable / Existing Hangar) CONSTRUCTION REQUIREMENTS 1. The Tenant shall construct an airplane hangar building with approximate dimensions of XX feet wide by XX feet deep compromising a floor area of XXXX square feet. 2. The Tenant covenants and agrees, notwithstanding any other statute, regulation or provision regarding the federal government’s authority to regulate the aeronautics industry, to: (a) obtain from the Landlord an Airport Development Permit prior to construction; (b) to pay to the Landlord a flat fee of $600 to administer the Airport Development Permit; (c) to construct the airplane hangar, and any other building that may be permitted, to the standard of the Ontario Building Code, O. Reg. 332/12 as amended or replaced from time to time (the “OBC”) and to the satisfaction of the Landlord in its sole and absolute discretion, and; (d) to ensure all persons retained by the Tenant have appropriate health and safety policies, insurance and WSIB coverage. 3. The Tenant shall provide to the Landlord the following in order to obtain an Airport Development Permit and approval for use of the Leased Premises and hangar thereon: (a) prior to construction, submission of: 1. all applicable fees; 2. 2 copies of a site plan showing the proposed location of the hangar and dimensions to the adjacent buildings; 3. 2 copies of construction drawings (foundation plan, floor plan, building elevations, diaphragm/truss bracing, anchorage, construction details/finishes, etc.) stamped by a professional engineer; 4. 2 copies of the truss drawings stamped by a professional engineer; and 5. Commitment to General Reviews form completed by both the building owner and professional engineer; (b) prior to occupancy and acceptance: 1. inspection of the construction and acceptance of same by the Landlord in in respect of compliance with the OBC, the terms of this Airport Lease and all policies and rules regulating the Tillsonburg Airport; and 2. submission of all site reports (footing inspection, framing inspection, occupancy inspection) and an occupancy report from the professional engineer; and, (c) final approval: 1. provide a final report (verifying outstanding items not completed at occupancy have been completed/corrected) from the professional engineer if applicable. 4. The parties covenant and agree that the Tenant is not required to obtain a building permit from the Township of Southwest Oxford for construction of buildings on the Tillsonburg Airport. 5. The Tenant covenants and agrees that failure to comply with the provisions of this schedule shall be an event of default of this Lease and in the absence of remedying such default, shall permit the Landlord to terminate this Lease and seek any and all other recourse against the tenant in such instance. Page 216 of 256 Landlord’s Initials __________ Tenant’s Initials __________ 15 SCHEDULE “C” (Not Applicable / Existing Hangar) CONSTRUCTION SCHEDULE Provided by the Tenant prior to execution of the lease agreement and approved by the Landlord. Preliminary Construction Schedule: Start of Construction Insert date End of Construction Insert date Note: Tenant has expressed that a detailed construction schedule will be provided once contractor and Tenant have finalized. Page 217 of 256 Page 1 of 1 THE CORPORATION OF THE TOWN OF TILLSONBURG BY-LAW 2021-___ A BY-LAW to enter into an airport hanger land lease agreement with 1467246 Ontario Inc. for the East half of Hangar G9. WHEREAS the Corporation of the Town of Tillsonburg is desirous of entering into an airport hanger land lease agreement with 1467246 Ontario Inc. for the East half of Hangar G9 at the Tillsonburg Regional Airport; BE IT THEREFORE ENACTED by the Council of the Corporation of the Town of Tillsonburg as follows: 1. That the lease agreement attached hereto forms part of this by-law; 2. That the Mayor and Clerk be hereby authorized to execute the attached lease agreement on behalf of the Corporation of the Town of Tillsonburg. 3. That this By-Law shall come into force and take effect on the date it is passed. READ A FIRST AND SECOND TIME THIS 10th day of MAY, 2021. READ A THIRD AND FINAL TIME AND PASSED THIS 10th day of MAY, 2021. _____________________________ MAYOR – Stephen Molnar ______________________________ CLERK – Michelle Smibert Page 218 of 256 Landlord’s Initials __________ Tenant’s Initials __________ TILLSONBURG AIRPORT HANGAR LEASE This Lease is made this 30 day of April, 2021 (the “Effective Date”). B E T W E E N THE CORPORATION OF THE TOWN OF TILLSONBURG (the “Landlord”) - and – 1467246 Ontario Inc. 244779 Milldale Road, Otterville, Ontario N0J 1R0 (the “Tenant”) WHEREAS the Landlord owns all and singular that certain parcel or tract of land and premises situated, lying and being in the Township of South West Oxford in the County of Oxford, being compromised of: PT LT 3-4 CON 7 DEREHAM; LT 5-6 CON 7 DEREHAM; PT LT 7 CON 7 DEREHAM PT 1, 2, 3, 4 & 5, 41R2877, PT 2 & 3, 41R2714, PT 1, 2 & 3, 41R4343, PT 1, 2, 3 & 4, 41R4545; S/T 406551; SOUTH-WEST OXFORD; PIN: 00016-0089 (LT); LRO #41; municipal address being 244411 Airport Road, Tillsonburg, ON N4G 4H1; referred to herein as the “Property”, the “Airport” or the “Tillsonburg Airport” upon which is located the Tillsonburg Airport which is owned and operated by the Landlord. In consideration of the covenants, agreements, warranties and payments herein set forth and provided for, the sum of two dollars ($2.00) paid by each party to the other and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties hereto respectively covenant and agree as follows: 1. LEASED PREMISES (1) The Leased Premises shall consist of a portion of the Tillsonburg Airport identified as 50% of Hangar G9 (56 ft by 60 ft) on the plan attached as Sched ule “A”, being the area upon which the Tenant’s airplane hangar shall be located plus one (1) metre of land extended beyond the exterior perimeter of the Tenant’s airplane hangar building (the “Leased Premises”). (2) Notwithstanding the above, the Landlord reserves the right to assign an alternate lot to the Tenant on thirty (30) days’ written notice at any time prior to the commencement of construction of the Tenant’s hangar. (3) The Landlord covenants and agrees to the construction by the Tenant of an airpl ane hangar on the Leased Premises being a Hangar, (the “Hangar”) subject to the provisions of Schedule “B”. The Tenant shall complete the construction of the Hangar at its sole cost and expense. (4) The Landlord covenants and agrees that the Hangar on the L eased Premises is not owned by the Landlord but is owned by the Tenant. 2. GRANT OF LEASE (1) The Landlord leases the Leased Premises to the Tenant: (a) at the Rent set forth in Section 3; (b) for the Term set forth in Section 4; and (c) subject to the conditions and in accordance with the covenants, obligations and agreements herein including schedules. (2) The Landlord covenants that it has the right to grant the leasehold interest in the Leased Premises free from encumbrances except as disclosed on title. Page 219 of 256 2 Landlord’s Initials __________ Tenant’s Initials __________ 3. RENT (1) Rent means the amounts payable by the Tenant to the Landlord pursuant to this Section and includes Additional Rent. (2) The Tenant covenants to pay to the Landlord, during the Term of this Lease rent as follows (the “Base Rent”): for every year of the Term, the total sum of $504.00 per annum (based upon $0.30 per square foot of Hangar building area) plus H.S.T., and any other applicable services tax which may accrue on account of the Landlord collecting rent, payable yearly in advance. Base Rent shall commence on the first day of the Term. If the first day of the Term is not January 1st then Base Rent for the first year of the term shall be prorated until December 31 of the initial year. Base Rent shall then be due on 1st day of the year commencing on January 1st, 2022 and every 1st day of January thereafter. The Parties further agree that the Landlord may, in their sole and absolute discretion, increase the Base Rent annually in accordance with the Town of Tillsonburg Rates and Fees Bylaw, as amended. If the square footage of the Hangar on the Leased Premises expands then the Base Rent shall accordingly increase in proportion to the additional square footage. Note the existing Hangar is 56 ft. by 60 ft. shared by two parties equally. (3) The Tenant further covenants to pay all other sums required by this Lease to be paid by it and agrees that all amounts payable by the Tenant to the Landlord or to any other party pursuant to the provisions of this Lease shall be deemed to be additional rent (“Additional Rent”) whether or not specifically designated as such in this Lease. (4) The Landlord and the Tenant agree that it is their mutual intention that this Lease shall be a completely carefree net lease for the Landlord and that the Landlord shall not, during the Term of this Lease, be required to make any payments in respect the Leased Premises other than charges of a kind personal to the Landlord (such as income and estate taxes and mortgage payments) and to effect the said intention of the parties the Tenant promises: (a) to pay as Additional Rent: business taxes, real estate taxes and licenses if applicable; (b) to pay all annual fees in accordance with the Town of Tillsonburg Rates and Fees Bylaw, as amended, as Additional R ent for such expenses incurred by the Landlord for the maintenance and servicing of the Airport; and, (c) to pay the Landlord a one-time capital recovery charge, based on actuals, for the Landlord to construct the associated hangar apron, if applicable; and, (Not Applicable / Existing Hangar) (d) to pay for or provide servicing and maintaining the Leased Premises and the Hangar and shall include the following: (i) all utilities and services including, but not limited to, electricity, water, sewage, natural gas and propane. The Tenant acknowledges that connection fees for utilities and services are entirely at the Tenant’s cost. Further, the Tenant acknowledges that nothing in this Lease, including in this article, is a warranty, covenant or representation by the Landlord to provide connections, utilities or services to the Leased Premises or that the services or utilities can be extended to the Leased Premises; (ii) snow removal and landscaping on the Leased Premises including cutting the grass and weed control of the Leased Premises including the one (1) metre area around the perimeter of the Hangar; (iii) all repair, service and maintenance to the Hangar including reasonable wear and tear; and, (iv) to pay airport infrastructure fees in accordance with the Town of Tillsonburg Rates and Fees Bylaw, as amended. (Not Applicable / Existing Hangar) (5) The Tenant hereby agrees to indemnify and protect the Landlord from any liability accruing to the Landlord in respect of the expenses payable by the Tenant as provided for herein. (i) The Tenant on behalf of itself/himself/herself/themselves, its/his/her/their heirs, executors, administrators and assigns, including its/his/her/their successors in title, hereby covenants and agrees to indemnify and save harmless the Landlord from all actions, cause of actions, suits, claims, demands, damages, losses, costs, charges and expenses of every nature and kind whatsoever by whomsoever make brought or prosecuted, including legal fees, which the Landlord may incur or have to pay, which may arise either directly or indirectly by reason of any activity, actions, performance, negligence or non-performance of the Tenant, its employees, servants, agents, contractors, subcontractors, architect, landscape architect, engineer, surveyor, planner, consultant, project manager or any other person the Tenant is responsible for at law during the duration of this Agreement; in executing the Page 220 of 256 3 Landlord’s Initials __________ Tenant’s Initials __________ Works under this Agreement; by reason of installation of any Works required under this Agreement; by the failure of the Tenant to complete the installation of the Works required under this Agreement; because of or on account of the ownership, construction, use existence, or maintenance of the property described in the Agreement; by the exercise of the Tenant’s powers under this Agreement; the construction, maintenance or the improper or inadequate construction, installation and/or maintenance of the Works; any act or omission of said parties while undertaking the Works; or by reason of the neglect of the Tenant or its employees, servants, agents, contractors, subcontractors or others for whom the Tenant is responsible at law. (ii) Without limiting the generality of the foregoing, the Tenant agrees to indemnify and save harmless the Landlord for any issues related to the alteration of any grade or existing level construction, the maintenance or repair of any taxiway within the Airport, or by reason of the failure, neglect or omission of the Tenant to do anything agreed to be done pursuant to this Agreement or by reason of any act or omission of the Tenant, including failure of the Tenant to comply with the Construction Act. (6) Additional Rent shall be payable yearly in advance on the same dates stipulated for payment of Base Rent in Section 3 (2). (7) All payments to be made by the Tenant pursuant to this Lease are to be in Canadian funds by bank draft, money order or cheque payable to the Landlord and shall be delivered to the Landlord at the Landlord’s address for service set out in Section 17 or to such other place as the Landlord may from time to time direct in writing. (8) All Rent in arrears and all sums paid by the Landlord for expenses incurred which should have been paid by the Tenant shall bear interest from the date payment was due, or made, or expense incurred at a rate per annum equal to the prime commercial lending rate of the Landlord’s bank plus two (2) per cent. (9) The Tenant acknowledges and agrees that the payments of Rent and Additional Rent provided for in this Lease shall be made without any deduction for any reason whatsoever unless expressly allowed by the terms of this Lease or agreed to by the Landlord in writing and no partial payment by the Tenant which is accepted by the Landlord shall be considered as other than a partial payment on account of Rent owing a nd shall not prejudice the Landlord’s right to recover any Rent owing. 4. TERMS AND POSSESSION (1) The Tenant shall have possession of the Leased Premises for a period of twenty years, eight months (the “Term”), commencing on the 30 day of April, 2021 and ending on the 1st day of January, 2042. (2) The Tenant shall pay any and all connection costs for hydro, gas, water, heating, air conditioning and for all other services and utilities as may be provided to the Leased Premises. The Tenant shall arrange with the local authority for connection of gas, electricity and water in the name of the Tenant. Nothing in this paragraph or lease is a warranty or representation by the Landlord that any utilities or services are extended to the Leased Premises or can be extended to the Leased Premises. (3) Subject to the Landlord’s rights under this Lease, and as long as the Tenant is in good standing, the Landlord covenants that the Tenant shall have quiet enjoyment of the Leased Premises during the Term of this Lease without any interruption or disturbance from the Landlord or any other person or persons lawfully claiming through the Landlord. 5. ABATEMENT OF RENT DURING CONSTRUCTION PERIOD (Not Applicable / Existing Hangar) (1) So long as the Lease has been fully executed, the Tenant has provided the Landlord with proof of the Tenants insurance, and the Tenant has paid the first and last month’s R ent to be held as a deposit, the Landlord shall provide the Tenant with possession of the Leased Premises for a period of up to six (6) months commencing on the Effective Date for the purposes of constructing the Hangar on the Leased Premises. All terms of the Lease shall be applicable from the Effective Date save and except for the payment of Rent, Base Rent and Additional Rent which shall be payable as of the first day of the month of occupancy of the Hangar or the expiry of the six (6) month construction period whichever occurs first. (2) In the event the Tenant has not completed construction of the Hangar within the six (6) month construction period, the Landlord, in its sole and absolute discretion, may extend the construction period upon written request of the Tenant or terminate this Lease of which then the Tenant’s deposit provided in Section 5 (1) would be forfeited. Page 221 of 256 4 Landlord’s Initials __________ Tenant’s Initials __________ 6. ASSIGNMENT (1) The Tenant shall not assign this Lease or sublet the whole or any part of the Leased Premises unless they first obtain the consent of the Landlord in writing, which consent shall not unreasonably be withheld and provided the sub-Tenant and/or assignee signs a written acknowledgement that he/she will be bound by the terms, conditions and rules as provided for in this Lease. The Tenant hereby waives its right to the benefit of any present or future Act of the Legislature of Ontario which would permit the Tenant to assign this Lease or sublet the Leased Premises without the Landlord’s consent. (2) The consent of the Landlord to any assignment or subletting shall not operate as a waiver of the necessity for consent to any subsequent assignment or subletting. (3) Any consent given by the Landlord to any assignment or other disposition of the Tenant’s interest in this Lease or in the Leased Premises shall not relieve the Tenant from its obligations under this lease, including the obligation to pay Rent, Base Rent and Additional Rent as provided for herein. (4) If all or more than 50% of the shares in the Tenant should be sold, assigned or transferred in any manner to a person other than the Tenant, then such transferee shall be bound by the terms and conditions of this Lease. 7. USE (1) During the Term of this Lease the Leased Premises shall not be used for any purpose other than as an aircraft hangar for the storage, repair and operation of airplanes, without the express consent of the Landlord given in writing. The Tenant shall not con struct a new hangar or any other building on the Leased Premises except in accordance to the terms of this Lease. (2) The Tenant shall not do or permit to be done at the Leased Premises anything which may: (a) contravene any Airport use, standards, or tenant policy as established by the Landlord from time to time; (b) cause damage to the Leased Premises; (c) cause injury or annoyance to occupants of neighbouring premises; (d) make void or voidable any insurance upon the Leased Premises; (e) constitute a breach of any by-law, status, order or regulation of any municipal, provincial or other competent authority relating to the Tillsonburg Airport, the Leased Premises including any septic bed or other property, equipment or appurtenances; and, (f) create an environmental hazard. The Tenant shall not store, allowed to be stored or do anything that creates hazardous waste or toxic material as defined by the Environmental Protection Act or any related or successor legislation. If an order is made by any level of government, including all agencies, crown corporations, municipal bodies, or a court is made as a result of the Tenant’s, or its servants, directors, employees, invitees, customers or agents, actions or inaction under this Article or Article 7(2)(e) above or as a result of the septic bed system used by the Tenant then the Tenant shall satisfy the terms of such order including, but not limited to, paying all costs of the work required and shall indemnify and save the Landlord harmless from any costs, including legal costs, if the Landlord suffers any damages or pays any costs associated with such order. (3) The Tenant shall: (a) not interfere in the use of the Airport or any other use of the Property. The Tenant acknowledges that there are other uses of the Property and it shall not interfere in any other use of the Property. The Tenant further acknowledges that there are other Tenants and users of the Airport and it shall not unreasonably interfere in the use or operation of the Airport in any manner nor shall it do, or allow to be done by any of its invitees, customers, employees or agents, anything that would cause or constitute a nuisance, safety violation or hazard to any other Tenant or any user of the Airport who are acting reasonably; (b) comply with all federal and provincial transportation guidelines, regulations, rules, by-laws, statutes, directives and any other such matter that governs the flight, use or operation of aircraft; (c) not block or obstruct the taxiways or runway and permit the ingress and egress to adjacent hangars, aprons and parking areas; (d) not conduct any major repairs to any motor vehicle of any kind other than an aircraft or any vehicle or machinery ancillary to or connected with aircraft; (e) not perform aircraft repair or maintenance outside of the Leased Premises; (f) not start any aircraft in the Hangar; Page 222 of 256 5 Landlord’s Initials __________ Tenant’s Initials __________ (g) not store any items on the Leased Premises, surrounding Property or in the Hangar other than aircraft and related aircraft items except as specifically permitted in this agreement; (h) not store any flammable products inside the Hangar or on the Leased Premises with the exception of fuel or necessary aircraft related products; (i) notify the Landlord of any public activities and/or events no less than thirty (30) days before such activity and/or event with approval by the Landlord, in its sole and absolute discretion and such approval not to be unreasonably withheld; (j) comply with all rules and regulations of the Airport and ensure the compliance of all the Tenant’s contractors, employees, agents, customers and invitees; and, (k) provide proof of documentation showing current and proper insurance coverage of any aircraft stored inside the Hangar. (4) The Tenant covenants and agrees that the Landlord may require the adjustment in the Airport leases and as such may demand the Tenant move the Hangar and the location of the Leased Premises. The Landlord shall compensate the Tenant for any expenses in moving the Hangar as agreed between the Parties. (5) The Tenant shall be permitted to construct and maintain one (1) aircraft hangar (the “Works”) on the Leased Premises as follows: (Not Applicable / Existing Hangar) (a) the dimensions of the Existing Hangar is 56 feet by 60 feet for a total floor area of 3360, the half of the hangar for this lease agreement is 28 feet by 60 feet for a total floor area of 1680 square feet, (b) the style of the Hangar shall be either a pole barn style building or a metal frame building; (Not Applicable / Existing Hangar) (c) the siding, siding colour, roof colour, hanger number, and height of the building will be maintained in accordance with current Airport standards as approved by the Landlord; (Not Applicable / Existing Hangar) (d) the hangar apron shall be constructed of a hard surface (i.e. asphalt or concrete) with a minimum 300mm (12”) structural sub-base to the satisfaction of the Landlord; (Not Applicable / Existing Hangar) (e) any construction or renovation shall comply with the construction requirements of the Landlord in its sole and absolute discretion including the construction requirements detailed in Schedule “B” to this Lease and all applicable building code standards and by-laws of the municipality in which the Leased Premises are located and any federal or provincial statutes, rules or regulations; (Not Applicable / Existing Hangar) (f) prior to the commencement of construction, the Tenant shall submit, at its sole cost, a site plan and drainage/grading plan which shall include, but not limited to, the information required in this Article 7(5) of this Lease and the proposed floor elevation, which all shall be subject to the approval of the Landlord; (Not Applicable / Existing Hangar) (g) the Tenant agrees to maintain the lot grading during and after construction and erection of the Hangar and shall comply with the lot grading and drainage requirements of the Landlord at the sole cost of the Tenant; (Not Applicable / Existing Hangar) (h) obtain all necessary permits, as applicable, at the expense of the Tenant; and, (i) the Tenant shall be responsible for and pay the cost of all repair, renovation, and maintenance and nothing in this Lease shall render the Landlord responsible for any such costs. (Not Applicable / Existing Hangar) (6) The Landlord acknowledges that it has granted access to the Tenant for the Tenant to maneuver its aircraft from the Hangar to the adjacent taxiway and runway of the Airport. Further, the Landlord hereby grants to the Tenant, its successors and assigns, free and uninterrupted access in, over, upon, across or through the Hangar apron area, defined as 5 metres wide and 4 metres from the front of the Hangar to the adjacent taxiway G1 to the East. The Landlord grants to the Tenant the right to enter upon the Hangar apron area at all times and to pass and re-pass thereon as may be required by the Tenant, and its licensees, successors, assigns, servants, agents, employees and contractors including all necessary vehicles, equipment and machinery, from time to t ime, for the purposes of installing, maintaining, replacing, and reconstructing a suitable surface treatment to the Hangar apron as approved by the Landlord in its sole and absolute discretion. Any cost of installing, removing, maintaining, replacing and/or reconstructing the Hangar apron shall be at the sole expense of the Tenant without contribution of the Landlord. The Tenant covenants that it shall not conduct such work to the Hangar apron without first obtaining the consent of the Landlord and such consent shall not be unreasonably withheld. The Tenant hereby releases the Landlord from any and every claim which may or might arise out of the proper exercise by the Tenant of any of the rights granted herein. Page 223 of 256 6 Landlord’s Initials __________ Tenant’s Initials __________ 8. CONSTRUCTION IMPLEMENTATION SCHEDULE (Not Applicable / Existing Hangar) (1) The Tenant hereby undertakes to complete the work herein in accordance with the timeframes set out in the Schedule “C” (the “Construction Schedule”). The Tenant shall submit a proposed construction schedule which shall be subject to amendments and approval by the Landlord and attached hereto as Schedule “C”. A variance to the timeframes will only be allowed if approved in writing by the Landlord. Failure to comply may result in the Tenant being in default of this Agreement and the Landlord may seek remedy pursuant to this Agreement. (2) The Landlord approved work shall be carried out by the Tenant in a proper and professional manner so as to do as little damage or disturbance as possible to the Airport lands or the Airpor t’s infrastructure. The Tenant shall repair and make good all damage and disturbance that may be caused to the Airport lands or the Airport’s infrastructure, to the satisfaction of the Landlord, acting reasonably, at the sole expense of the Tenant. (3) During construction, the works to be carried out by the Tenant, shall be maintained in all respects in a state of good repair by the Tenant, including keeping the site in a sound, neat, safe and clean condition to the satisfaction of the Landlord. If the site is not kept in a state of good repair, upon seven (7) business days written notice to the Tenant (or such shorter time as may be required in the case of an emergency or other urgent matters or as otherwise provided herein), the Landlord shall have the right to do any work necessary to fulfill this condition and all costs incurred by the Landlord shall be recovered from the Tenant and may be recovered as Additional Rent. 9. REPAIR AND MAINTENANCE (1) The Tenant covenants that during the term of this Lease and any renewal thereof, the Tenant shall keep the Leased Premises and Hangar in good condition including all alterations and additions made thereto, and shall, with or without notice, promptly make all needed repairs and all necessary replacements as woul d a prudent owner. The Tenant shall be responsible for all wear and tear to the Hangar and shall affect all repairs as necessary. Save and accept the Landlord’s, or its agent’s, contractor’s and employee’s negligence or intentional actions, at no time is the Landlord responsible for any repairs or damage to the Hangar or the Leased Premises. (2) The Tenant shall permit the Landlord or a person authorized by the Landlord to enter the Leased Premises including the Hangar to examine the condition thereof and view the state of repair at reasonable times: (a) and if upon such examination repairs are found to be necessary, written notice of the repairs required shall be given to the Tenant by or on behalf of the Landlord and the Tenant shall make the necessary repairs within the time specified in the notice; and, (b) if the Tenant refuses or neglects to keep the Leased Premises including the Hangar in good repair the Landlord may, but shall not be obliged to, make any necessary repairs, and shall be permitted to enter the Leased Premises and Hangar, including by its servants or agents, for the purpose of effecting the repairs without being liable to the Tenant for any loss, damage or inconvenience to the Tenant in connection with the Landlord’s entry and repairs. If the Landlord makes such repairs the Tenant shall pay the cost of them immediately a s Additional Rent. (3) Subject to any renewal, upon the expiry of the Term or other determination of this Lease the Tenant agrees to surrender peaceably the Leased Premises to the Landlord in a state of good repair and subject to the conditions contained in this Article 9(3). The Tenant may remove the Hangar provided the Tenant places the Leased Premises back into a similar condition as it was in prior to the construction of the Hangar even if the construction of the Hangar predated this Lease. At any time during the Term, expiry of the Term, if an Act of Default occurs or upon termination of this Lease if the Tenant is in arrears of any rent whatsoever the Tenant agrees that the Landlord shall be permitted to register such lien on the Hangar under the Personal Property Security Act and possession of the Hangar will not be obtained by the Tenant until the lien is paid in full with all accrued interest and legal fees. (4) The Tenant shall immediately give written notice to the Landlord of any substantial damage that occurs to the Leased Premises including the Hangar from any cause. (5) The Tenant hereby agrees that at no time is the Landlord responsible for any damage, including damage to property or personal injury, as a result of the Tenant’s use of the Leased Premises, Airport or Property and the Tenant hereby waives any cause of action in law, equity or by statute as against the Landlord for any loss. The Tenant acknowledges that it shall not institute any claim or make any demand against the Landlord, or anyone that may claim indemnity from the Landlord, for any personal injury or damage to property, including aircraft, as a result of the Tenant’s use (including storage) of the Hangar, Airport Page 224 of 256 7 Landlord’s Initials __________ Tenant’s Initials __________ or Property. The Tenant acknowledges that the use of the Airport, Hangar or Property is at its own risk. (6) The Tenant hereby forever releases the Landlord from any and all claims in law, equity or by statute as a result of any intentional or negligent acts of any other Tenant and/or user of the Property and/or Airport, or their agents, contractors, invitees, customers or employees that may cause death, personal injury or property loss to the Tenant or its agents, customers, employees, contractors or invitees. 10. ALTERATIONS AND ADDITIONS (1) If the Tenant, during the Term of this Lease or any renewal of the Lease, desires to make any alterations or additions to the Leased Premises, including but not limited to; erecting partitions, attaching equipment, and installing necessary furnishings or additional equipment of the Tenant’s business but not including erecting a new hangar or any other accessory building, the Tenant may do so at his own expense provided that any and all alterations or additions to the Leased Premises made by the Tenant must comply with any requirement of the Landlord including Schedule “B” and all applicable building code standards and by-laws of the municipality in which the Leased Premises are located and any federal or provincial statutes, rules or regulations. (2) The Tenant shall pay Rent at the rate prescribed in paragraph 3 above based upon the area of the Hangar subsequent to any addition or alteration. (3) The Tenant shall be responsible for and pay the cost of any alterations, additions, installations or improvements that any governing authority, municipal, provincial or otherwise, may require to be made in, on or to the Leased Premises. (4) No sign, advertisement or notice shall be inscribed, painted or affixed by the Tenant, or any other person on the Tenant’s behalf, on any part of the outside of the Hangar unless it is located along the facade of the Hangar’s front and provided it complies with the Landlord’s signage requirements and with all applicable laws, by-laws and regulations and is in good workmanlike manner. No other sign, advertisement or notice shall be erected unless it has been approved in every respect by the Landlord in writing. (5) The Tenant agrees, at its own expense and by whatever means may be necessary, immediately to obtain the release or discharge of any encumbrance that may be registered against the Landlord’s property in connection with any additions or alterations to the Leased Premises made by the Tenant or in connection with any other activity of the Tenant. (6) The Tenant shall, at his own expense, if requested by the Landlord, remove any or all additions or improvements made by the Tenant to the Leased Premises dur ing the Term and shall repair all damage caused by the installation or the removal or both. (7) The Tenant shall not bring onto the Leased Premises or any part of the Leased Premises any machinery, equipment or any other thing that might in the opinion of th e Landlord, by reason of its hazardous nature, weight, size or use, damage the Leased Premises or the Property. If the Leased Premises or Property are damaged the Tenant shall restore the Leased Premises or Property immediately or pay to the Landlord the cost of restoring the Leased Premises or Property. 11. INSURANCE (1) The Tenant covenants to keep the Landlord indemnified and save harmless the Landlord at all times against all claims, suits, procedures, actions and demands (including but not limited to all legal costs) whatsoever and howsoever arising by any person, entity or corporation whether in respect of damage, loss or death to person or property, arising out of or occasioned by the maintenance, use or occupancy of the Leased Premises, Airport and Property or the subletting or assignment of same or any part thereof. And the Tenant further covenants to indemnify the Landlord with respect to any encumbrance on or damage to the Leased Premises occasioned by or arising from the act, default, or negligence of the Tenant, its officers, agents, servants, employees, contractors, customers, invitees or licensees. The Tenant agrees that the foregoing indemnity shall survive the termination of this Lease notwithstanding any provisions of the Lease to the co ntrary. (2) The Tenant shall carry insurance in its own name insuring against the risk of damage to the Tenant’s property and the Hangar within the Leased Premises caused by fire or other perils. (3) The Tenant shall carry such general liability and property damage insurance including personal injury and property damage coverage with at least two million ($2,000,000.00) Page 225 of 256 8 Landlord’s Initials __________ Tenant’s Initials __________ dollars in limits of each occurrence with respect to the Leased Premises and Tenant ’s occupation of the Leased Premises. Such insurance policy shall contain no airport site exclusion. (4) All insurance policies in this Section 11 including this Article shall name the Landlord, where applicable, as an insured and loss payee and the policy shall include a cross-liability endorsement. All policies shall be applicable as primary insurance, taking precedence over any other insurance protection owned by the Landlord. The Tenant shall insure that each insurance policy contains a waiver of subrogation rights which the insurer may have against the Landlord and the persons for whom is legally responsible. (5) Upon demand of the Landlord, the Tenant shall provide a copy of any and all policies of insurance including renewals and terms of such policies to the Landlord. If any policy of insurance is canceled the Tenant shall inform the Landlord without delay of such cancellation and shall obtain a replacement policy without delay on the same terms as set out in this Section 11. Under no circumstances shall delivery of and review by the Landlord of any certificate set forth or any insurance policy or any other proof of existence of the insurance coverage release the Tenant of its obligations to take out insurance in strict compliance with the present provisions or constitute a waiver in favour of the Tenant of any of the Landlord's rights. 12. ACTS OF DEFAULT AND LANDLORD’S REMEDIES (1) An Act of Default has occurred when: (a) the Tenant has failed to pay Rent for a period of 45 consecutive days from the date that payment was required to be paid to the Landlord; (b) the Tenant has breached its covenants or failed to perform any of its obligations under this Lease for a period of 45 consecutive days and: (i) the Landlord has given ten (10) days’ notice specifying the nature of the default and the steps required to correct it; and, (ii) the Tenant has failed to correct the default as required by the notice; (c) the Tenant has: (i) become bankrupt or insolvent or made an assignment for the benefit of creditors; (ii) had its property seized or attached in satisfaction of a judgment; (iii) had a receiver appointed; (iv) committed any act or neglected to do anything with the result that a Construction Lien or other encumbrance is registered against the Landlord’s property; or, (v) taken action with a view to dissolution or liquidation; (d) any required insurance policy is cancelled or not renewed by reason of the use or occupation of the Leased Premises, or by reason of non-payment of premiums; (e) the Leased Premises: (i) has become vacant or remain unoccupied for a period of 180 consecutive days. For the purposes of this section the Parties agree that the terms “vacant and “unoccupied” shall mean no use or utilization of the Hangar and/or no storage of necessary tools, implements or equipment in the Hangar; or, (ii) is used by any other person or persons, or for any other purpose than as provided for in this Lease without the written consent of the Landlord; (f) failure to install or remedy faulty work, if, in the opinion of the Landlord the Tenant: i. is not proceeding or causing to be proceeded the works required in connection with this Agreement within thirty (30) days of notice given; or ii. is improperly performing the works; or iii. has neglected or abandoned before the completion, or unreasonably delayed the same, so that conditions of this Agreement are being violated or carelessly executed or being carried out in bad faith; or iv. has neglected or refused to renew or again perform such work as may be rejected by the Landlord as defective or unsuitable; or v. has defaulted performance of the terms and conditions of this agreement; then, in any such instance, the Landlord shall promptly notify the Tena nt, in writing, of such default or neglect and if such notification be without effect within ten (10) business days after such notice, the Landlord shall thereupon have full authority and power to purchase materials and employ workers and machines for the proper completion of the works at the cost and expense of the Tenant. The cost of such work shall be calculated by the Page 226 of 256 9 Landlord’s Initials __________ Tenant’s Initials __________ Landlord whose decision shall be final and be paid to the Landlord by the Tenant on demand. Should payment not be received following the issuance of an invoice from the Landlord, the Landlord shall collect same as Additional Rent in addition to any other remedy available to the Landlord. It is further understood and agreed between the parties hereto that such entry upon the Premise shall be as an agent for the Tenant and shall not be deemed, for any purposes whatsoever, as an acceptance of the works by the Landlord. (2) When an Act of Default on the part of the Tenant has occurred: (a) the current year’s Rent together with the next years’ Rent shall become due and payable immediately; and, (b) the Landlord shall have the right to terminate this Lease and to re -enter the Leased Premises and deal with them as it may choose. (3) If, because an Act of Default has occurred, the Landlord exercises its right to terminate this Lease and re-enter the Leased Premises prior to the end of the Term, the Tenant shall nevertheless be liable for payment of Rent and all other amounts payable by the Tenant in accordance with the provisions of the Lease until the Landlord has re-let the Leased Premises or otherwise dealt with the Leased Premises in such manner that the cessation of payments by the Tenant will not result in loss to the Landlord and the Tenant agrees to be liable to the Landlord, until the end of the Term of this Lease for payment of any difference between the amount of Rent hereby agreed to be paid for the Term hereby granted and the Rent any new Tenant pays to the Landlord. (4) If when an Act of Default has occurred, the Landlord chooses not to terminate the Lease and re - enter the Leased Premises, the Landlord shall have the right to take any and all necessary steps to rectify any or all Acts of Default of the Tenant and to charge the costs of such rectification to the Tenant and to recover the costs as Rent. (5) If, when an Act of Default has occurred, the Landlord chooses to waive its right to exercise the remedies available to it under this Lease or at law the waiver shall not constitute condonation of the Act of Default, nor shall the waiver be pleaded as an estoppel against the Landlord to prevent his exercising his remedies with respect to a subsequent Act of Default. No covenant, term, or condition of this Lease shall be deemed to have been waived by the Landlord unless the waiver is in writing and signed by the Landlord. 13. TERMINATION UPON NOTICE AND AT END OF TERM (1) If the Leased Premises and/or Property are subject to an Agreement of Purchase and Sale: (a) The Landlord shall have the right to terminate this Lease, notwithstanding that the Term has not expired, by giving ninety (90) days’ notice (the “Notice”) in writing to the Tenant and, at the Tenant’s option, the Landlord shall pay to the Tenant the fair market value for the Hangar or the Tenant agrees to remove the Hangar and comply with Articles 9(3) and 10(5) of this Lease. Upon expiry of the Notice the Tenant shall provide vacant possession of the Leased Premises provided the Landlord pays to the Tenant a bonus of $500.00. For the purposes of this Article and Articles 13(3) and 13(4) fair market value shall be determined as of the date of the issuing of the Notice. (2) If the Tenant remains in possession of the Leased Premises after termination of this Lease as aforesaid and if the Landlord then accepts Rent for the Leased Premises from the Tenant, it is agreed that such overholding by the Tenant and acceptance of Rent by the Landlord shall create a monthly tenancy only but the tenancy shall remain subject to all the terms and conditions of this Lease except those regarding the Term. The Parties agree that if the Term is not renewed then upon expiry of the Term or if the Tenant is an overholding tenant then either Party may terminate the lease upon sixty (60) days written notice to the other party and the Tenant shall comply with Articles 9(3) and 10(5) of this Lease. (3) Other than a termination of this Lease in accordance with Article 13(1) of this Lease, the Landlord shall, at any time and notwithstanding that the Term has not expired, have the unqualified right to terminate this Lease upon one year’s prior written notification (the “Notice”) if the Leased Premises are required for any reason or purpose of the Landlord in which event the Landlord shall pay to the Tenant the fair market value for the Hangar, if erected by the Tenant, unless the Tenant agrees to remove the Hangar and comply with Articles 6(3) and 7(5) of this Lease, and the Tenant shall provide such vacant possession upon the expiry of the Notice provided the Landlord pays to the Tenant a bonus of $500.00. (4) The Parties agree that it is their mutual intention that at the end of the Term of this Lease the lease shall be renewed upon such conditions and terms as agreed between the Parties. The Parties further agree that although it is their mutual intention to renew the lease nevertheless either party may decide not to renew the lease for any reason. The Parties acknowledge that upon such Page 227 of 256 10 Landlord’s Initials __________ Tenant’s Initials __________ renewal all terms and conditions shall be negotiated between the Parties. If the Parties do not renew this Lease then the Parties agree that the Landlord shall be granted the Right of First Refusal to purchase the Hangar (the “Option”). The Tenant covenants that it will not sell the Hangar, or any part thereof, to any person, firm or corporation, without first providing the Landlord to exercise its Option as set out in the terms of this paragraph. Upon the Tenant receiving a bona fide offer in writing (the “Third Party Offer”) the Tenant shall deliver to the Airport Office, 244411 Airport Road, Township of South-West Oxford, Ontario, a copy of the Third Party Offer and the Landlord shall have twenty business days (the “Notice Period”) from the date of receipt of the Third Party Offer to exercise the Option to match the Third Party Offer. If the Landlord exercises its option in the Notice Period then it must inform the Tenant at the Property in writing that it will purchase the Tenant’s interest in the Hangar on the same terms and conditions, or more favourable terms to the Tenant at the Landlord’s discretion, as contained in the Third Party Offer (the “Landlord’s Offer”). If the Landlord exercises its Option in the Notice Period then the Tenant must sell the Hangar to the Landlord upon the terms and conditions as contained in the Landlord’s Offer. If the Landlord does not exercise its option in the Notice Period then the Tenant shall be at liberty to accept the Third Party Offer provided that there are no modifications to the Third Party Offer. If any modifications are made to the Third Party Offer then the Landlord shall be permitted to exercise its option pursuant to the terms of this paragraph. For the purpose of this paragraph, if the Tenant is a corporation, the word “sell”, in addition to its ordinary meaning, shall be deemed to mean and include a sale or disposition of the corporate shareholding of the Tenant by the person or persons who, at the date of the commencement of the lease holds or hold a majority of the corporate shares. Subject to the conditions contained in Article 4 of this Agreement, the Parties agree that prior to the expiry of this Lease if the Tenant seeks to assign this Lease to a third party then the Landlord will agree to examine a proposal to extend the term of this Lease however nothing in this paragraph shall require the Landlord to accept any amendment of the term or new term. (5) G9 hangar is jointly owned by two parties, each party has the first right of refusal of sale of their half of the hangar to the other party prior to the Town being able to exercise it’s right to refuse the sale to another party. The Town reserves the right to refuse either party if said party is in legal proceeding against the Town. 14. ACKNOWLEDGMENT BY TENANT (1) The Tenant agrees that it will at any time or times during the Term, upon being given at least forty- eight (48) hours prior written notice, execute and deliver to the Landlord a statement in writing certifying: (a) that this Lease is unmodified and is in full force and effect (or if modified stating the modifications and confirming that the Lease is in full force and effect as modified); (b) the amount of Rent being paid; (c) the dates to which Rent has been paid; (d) other charges payable under this Lease which have been paid; (e) particulars of any prepayment of Rent or security deposits; and, (f) particulars of any sub tenancies. 15. SUBORDINATION AND POSTPONEMENT (1) This Lease and all the rights of the Tenant under this Lease are subject and subordinate to any and all charges against the land, buildings or improvements of which the Leased Premises form part, whether the charge is in the nature of a mortgage, trust deed, lien or any other form of charge arising from the financing or re-financing, including extensions or renewals, of the Landlord’s interest in the Property. (2) Upon the request of the Landlord the Tenant will execute any form required to subordinate this Lease and the Tenant’s rights to any such charge, and will, if required, attorn to the holder of the charge. (3) No subordination by the Tenant shall have the effect of permitting the holder of any charge to disturb the occupation and possession of the Leased Premises by the Tenant as long as the Tenant performs his obligations under this Lease. 16. RULES AND REGULATIONS The Tenant agrees on behalf of itself and all persons entering the Leased Premises with the Tenant’s authority or permission to abide by such reasonable rules, standards and regulations of the Airport and/or Property which shall form part of this Lease and as the Landlord may make and/or amend from time to time. 17. NOTICE (1) Any notice required or permitted to be given by one party to the other pursuant to the terms of this Lease may be given Page 228 of 256 11 Landlord’s Initials __________ Tenant’s Initials __________ To the Landlord at: Tillsonburg Regional Airport Attn: Airport Administrator 244411 Airport Rd South-West Oxford, On N4G 4H1 Fax: 519-842-3445 To the Tenant at the Leased Premises or at: 1467246 Ontario Inc. 244779 Milldale Road, Otterville, Ontario N0J 1R0 (2) The above addresses may be changed at any time by giving ten (10) days written notice. (3) Any notice given by one party to the other in accordance with the provisions of this Lease shall be deemed conclusively to have been received on the date delivered if the notice is served personally or seventy-two (72) hours after mailing if the notice is mailed. 18. REGISTRATION The Tenant shall not at any time register notice of or a copy of this Lease on title to the Property of which the Leased Premises form part without consent of the Landlord. 19. INTERPRETATION (1) The words importing the singular number only shall include the plural, and vice versa, and words importing the masculine, feminine or neutral gender shall include the other genders, and words importing persons shall include firms and corporations and vice versa. (2) Unless the context otherwise requires, the word “Landlord” and the word “Tenant” wherever used herein shall be construed to include the executors, administrators, successors and assigns of the Landlord and Tenant, respectively. (3) When there are two or more Tenants bound by the same covenants herein contained, their obligations shall be joint and several. 20. MISCELLANEOUS (1) Unless otherwise stipulated, parking, if applicable, in the common parking area shall be in common and unreserved. (2) If a dispute should arise between the Parties in the interpretation of this Agreement then both parties agree that such dispute shall be referred to binding arbitration and be bound by the result of such arbitration. The terms, form and procedure of the a rbitration shall be in accordance with the Arbitration Act or any successor legislation. The parties further agree that the arbitrator shall be jointly chosen and the arbitrator shall have the ability to award costs of the arbitration. This clause shall not apply if the Tenant is in default under the terms of the Lease which include but are not limited to: (a) its obligations to pay Rent, Base Rent and/or Additional Rent; (b) non-repair or maintenance of the Leased Premises; (c) subleased the Leased Premises without the authorization of the Landlord, acting reasonably; (d) changed its use of the Leased Premises; or, (e) used the Leased Premises in any manner contrary to Article 7. (3) In the event that any clause herein should be unenforceable or be declared invalid for any reason whatsoever, such enforce ability or invalidity shall not affect the enforce ability or validity of the remaining portions of the covenants and such unenforceable or invalid portions shall be severable from the remainder of this Lease. (4) This Lease shall be construed and enforced in accordance with the laws of the Province of Ontario. Any proceeding shall be brought at the City of Woodstock in the County of Oxford, Ontario. Page 229 of 256 12 Landlord’s Initials __________ Tenant’s Initials __________ (5) The Tenant hereby agrees that it has had an opportunity to review the terms of this Lease and seek independent legal advice. (6) Should any provision of this Lease require judicial interpretation or arbitration, it is agreed that the court or arbitrator interpreting or construing the same shall not apply a presumption that the terms thereof shall be more strictly construed against one party by reason of the rule of construction that a document is to be construed more strictly against the party who itself or through its agent prepared the same, it be agreed that both parties have participated in the preparation hereof. (7) This Lease and its schedules constitutes the entire agreement between the Parties hereto pertaining to the subject matter hereof and supersedes all prior and contemporaneous agreements, understandings, negotiations and discussions, whether oral or written, of the parties and there are no warranties, representations or other agreements between the Parties in connection with the subject matter hereof, except as specifically set forth herein. No supplement, modification, waiver or termination of this Lease shall be binding unless executed in writing by the Parties. (8) The Tenant agrees that it has not relied upon any representation, promise or warranty of the Landlord with respect to the condition of the Leased Premises, Hangar or any representation or promise of the Landlord to repair, renovate or otherwise alter the Leased Premises in any manner prior to or after commencement of the Term. The Parties agree that the Leased Premises are being offered to the Tenant in an “as is” condition. The Tenant shall not call on or demand the Landlord to perform any repairs or renovations prior to or after it obtains possession. The Tenant acknowledges that it has performed its own due diligence in establishing the state of repair of the Leased Premises including the Hangar. In Witness of the foregoing covenants the Landlord and the Tenant have executed this Lease. __________________________________ Landlord Stephen Molnar, Mayor The Corporation of the Town of Tillsonburg __________________________________ Landlord Michelle Smibert, Clerk The Corporation of the Town of Tillsonburg We have authority to bind the Corporation. Per: ____________________ _________________________ Witness Name: Geoff Lee Tenant Page 230 of 256 13 Landlord’s Initials __________ Tenant’s Initials __________ Schedule “A” THE “LEASED PREMISES” Taxiway G1 Hangar G9 East Half of Hangar 28 x 60 ft Page 231 of 256 14 Landlord’s Initials __________ Tenant’s Initials __________ SCHEDULE “B” (Not Applicable / Existing Hangar) CONSTRUCTION REQUIREMENTS 1. The Tenant shall construct an airplane hangar building with approximate dimensions of XX feet wide by XX feet deep compromising a floor area of XXXX square feet. 2. The Tenant covenants and agrees, notwithstanding any other statute, reg ulation or provision regarding the federal government’s authority to regulate the aeronautics industry, to: (a) obtain from the Landlord an Airport Development Permit prior to construction; (b) to pay to the Landlord a flat fee of $600 to administer the Airport Development Permit; (c) to construct the airplane hangar, and any other building that may be permitted, to the standard of the Ontario Building Code, O. Reg. 332/12 as amended or replaced from time to time (the “OBC”) and to the satisfaction of the Landlord in its sole and absolute discretion, and; (d) to ensure all persons retained by the Tenant have appropriate health and safety policies, insurance and WSIB coverage. 3. The Tenant shall provide to the Landlord the following in order to obtain an Airport Development Permit and approval for use of the Leased Premises and hangar thereon: (a) prior to construction, submission of: 1. all applicable fees; 2. 2 copies of a site plan showing the proposed location of the hangar and dimensions to the adjacent buildings; 3. 2 copies of construction drawings (foundation plan, floor plan, building elevations, diaphragm/truss bracing, anchorage, construction details/finishes, etc.) stamped by a professional engineer; 4. 2 copies of the truss drawings stamped by a professional engineer; and 5. Commitment to General Reviews form completed by both the building owner and professional engineer; (b) prior to occupancy and acceptance: 1. inspection of the construction and acceptance of same by the Landlord in in respect of compliance with the OBC, the terms of this Airport Lease and all policies and rules regulating the Tillsonburg Airport; and 2. submission of all site reports (footing inspection, framing inspection, occupancy inspection) and an occupancy report from the professional engineer; and, (c) final approval: 1. provide a final report (verifying outstanding items not completed at occupancy have been completed/corrected) from the professional engineer if applicable. 4. The parties covenant and agree that the Tenant is not required to obtain a building permit from the Township of Southwest Oxford for construction of buildings on the Tillsonbur g Airport. 5. The Tenant covenants and agrees that failure to comply with the provisions of this schedule shall be an event of default of this Lease and in the absence of remedying such default, shall permit the Landlord to terminate this Lease and seek any and all othe r recourse against the tenant in such instance. Page 232 of 256 15 Landlord’s Initials __________ Tenant’s Initials __________ SCHEDULE “C” (Not Applicable / Existing Hangar) CONSTRUCTION SCHEDULE Provided by the Tenant prior to execution of the lease agreement and approved by the Landlord. Preliminary Construction Schedule: Start of Construction Insert date End of Construction Insert date Note: Tenant has expressed that a detailed construction schedule will be provided once contractor and Tenant have finalized. Page 233 of 256 Page 1 of 1 THE CORPORATION OF THE TOWN OF TILLSONBURG BY-LAW 2021-___ A BY-LAW to enter into an airport hanger land lease agreement with Ewart McLaughlin for Taxiway G1 Lot 4, and to repeal By-Law 2020-044. WHEREAS the Corporation of the Town of Tillsonburg is desirous of entering into an airport hanger land lease agreement with Ewart McLaughlin for Taxiway G1 Lot 4 at the Tillsonburg Regional Airport; BE IT THEREFORE ENACTED by the Council of the Corporation of the Town of Tillsonburg as follows: 1. That the lease agreement attached hereto forms part of this by-law; 2. That the Mayor and Clerk be hereby authorized to execute the attached lease agreement on behalf of the Corporation of the Town of Tillsonburg. 3. That By-Law 2020-044 be repealed. 4. That this By-Law shall come into force and take effect on the date it is passed. READ A FIRST AND SECOND TIME THIS 10th day of MAY, 2021. READ A THIRD AND FINAL TIME AND PASSED THIS 10th day of MAY, 2021. _____________________________ MAYOR – Stephen Molnar ______________________________ CLERK – Michelle Smibert Page 234 of 256 TILLSONBURG AIRPORT HANGAR LEASE This Lease is made this 13 day of April, 2021 (the "Effective Date"). BETWEEN THE CORPORATION OF THE TOWN OF TILLSONBURG -and- Ewart Mclaughlin 163988 Brownsville Rd Tillsonburg, ON N4G 4G8 (the "Landlord") (the "Tenant") WHEREAS the Landlord owns all and singular that certain parcel or tract of land and premises situated, lying and being in the Township of South West Oxford in the County of Oxford, being compromised of: PT LT 3-4 CON 7 DEREHAM; LT 5-6 CON 7 DEREHAM; PT LT 7 CON 7 DEREHAM PT 1, 2, 3, 4 & 5, 41 R2877, PT 2 & 3, 41 R2714, PT 1, 2 & 3, 41 R4343, PT 1, 2, 3 & 4, 41 R4545; SIT 406551; SOUTH-WEST OXFORD; PIN: 00016-0089 (LT); LRO #41; municipal address being 244411 Airport Road, Tillsonburg, ON N4G 4H1; referred to herein as the "Property", the "Airport" or the "Tillsonburg Airport" upon which is located the Tillsonburg Airport which is owned and operated by the Landlord . In consideration of the covenants, agreements, warranties and payments herein set forth and provided for, the sum of two dollars ($2.00) paid by each party to the other and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged , the Parties hereto respectively covenant and agree as follows: 1. LEASED PREMISES ( 1) The Leased Premises shall consist of a portion of the Tillsonburg Airport identified as Taxiway G1 Lot 4 on the plan attached as Schedule "A", being the area upon which the Tenant's airplane hangar shall be located plus one (1) metre of land extended beyond the exterior perimeter of the Tenant's airplane hangar building (the "Leased Premises"). (2) Notwithstanding the above, the Landlord reserves the right to assign an alternate lot to the Tenant on thirty (30) days' written notice at any time prior to the commencement of construction of the Tenant's hangar. (3) The Landlord covenants and agrees to the construction by the Tenant of an airplane hangar on the Leased Premises being a Hangar, (the "Hangar'') subject to the provisions of Schedule "B". The Tenant shall complete the construction of the Hangar at its sole cost and expense. (4) The Landlord covenants and agrees that the Hangar on the Leased Premises is not owned by the Landlord but is owned by the Tenant. Landlord's Initials ___ _ Tenant's InitialL Page 235 of 256 2 2. GRANT OF LEASE (1) The Landlord leases the Leased Premises to the Tenant: (a) at the Rent set forth in Section 3; (b) for the Term set forth in Section 4; and (c) subject to the conditions and in accordance with the covenants, obligations and agreements herein including schedules. (2) The Landlord covenants that it has the right to grant the leasehold interest in the Leased Premises free from encumbrances except as disclosed on title . 3. RENT (1) Rent means the amounts payable by the Tenant to the Landlord pursuant to this Section and includes Additional Rent. (2) The Tenant covenants to pay to the Landlord, during the Term of this Lease rent as follows (the "Base Rent"): for every year of the Term, the total sum of $1,080.00 per annum (based upon $0.30 per square foot of Hangar building area) plus H.S.T., and any other applicable services tax which may accrue on account of the Landlord collecting rent, payable yearly in advance. Base Rent shall commence on the first day of the Term . If the first day of the Term is not January 1st then Base Rent for the first year of the term shall be prorated until December 31 of the initial year. Base Rent shall then be due on 1st day of the year commencing on January 1st, 2022 and every 1s1 day of January thereafter. The Parties further agree that the Landlord may , in their sole and absolute discretion, increase the Base Rent annually in accordance with the Town of Tillsonburg Rates and Fees Bylaw, as amended . If the square footage of the Hangar on the Leased Premises expands then the Base Rent shall accordingly increase in proportion to the additional square footage . (3) The Tenant further covenants to pay all other sums required by th is Lease to be paid by it and agrees that all amounts payable by the Tenant to the Landlord or to any other party pursuant to the provisions of this Lease shall be deemed to be additional rent ("Additional Rent") whether or not specifically designated as such in this Lease . (4) The Landlord and the Tenant agree that it is their mutual intention that this Lease shall be a completely carefree net lease for the Landlord and that the Landlord shall not, during the Term of this Lease, be required to make any payments in respect the Leased Premises other than charges of a kind personal to the Landlord (such as income and estate taxes and mortgage payments) and to effect the said intention of the parties the Tenant promises : (a) to pay as Add itional Rent: business taxes, real estate taxes and licenses if applicable; (b) to pay all annual fees in accordance with the Town of Tillson burg Rates and Fees Bylaw, as amended, as Additional Rent for such expenses incurred by the Landlord for the maintenance and servicing of the Airport; and, (c) to pay the Landlord a one-time capital recovery charge , based on actuals, for the Landlord to construct the associated hangar apron, if applicable; and, (d) to pay for or provide servicing and maintaining the Leased Premises and the Hangar and shall include the following : (i) Landlord's Initials ---- all utilities and services including, but not lim ited to, electricity, water, sewage, natural gas and propane . The Tenant acknow ledges that connection fees for utilities and services are entirely at the Tenant's cost. Further, the Tenant acknowledges that nothing in this Lease , including in this article, is a warranty, covenant or representation by the Landlord to provide connections, utilities or services to the Leased Premises or that Tenant's Initials ~ Page 236 of 256 3 the services or utilities can be extended to the Leased Premises; (ii) snow removal and landscaping on the Leased Premises including cutting the grass and weed control of the Leased Premises including the one (1) metre area around the perimeter of the Hangar; (iii) all repair, service and maintenance to the Hangar including reasonable wear and tear; and, (iv) to pay airport infrastructure fees in accordance with the Town of Tillsonburg Rates and Fees Bylaw, as amended. (5) The Tenant hereby agrees to indemnify and protect the Landlord from any liability accruing to the Landlord in respect of the expenses payable by the Tenant as provided for herein . (i) The Tenant on behalf of itself/himself/herself/themselves, its/his/her/their heirs, executors, administrators and assigns, including its/his/her/their successors in title , hereby covenants and agrees to indemnify and save harmless the Landlord from all actions , cause of actions, suits, claims , demands , damages , losses, costs , charges and expenses of every nature and kind whatsoever by whomsoever make brought or prosecuted , including legal fees, which the Landlord may incur or have to pay, which may arise either directly or indirectly by reason of any activity, actions, performance , negligence or non-performance of the Tenant, its emp loyees, servants, agents , contractors, subcontractors, architect, landscape architect, engineer, surveyor, planner, consultant, project manager or any other person the Tenant is responsible for at law during the duration of th is Agreement; in executing the Works under this Agreement; by reason of installation of any Works required under this Agreement; by the failure of the Tenant to complete the installation of the Works required under this Agreement; because of or on account of the ownership, construction, use existence, or maintenance of the property described in the Agreement; by the exercise of the Tenant's powers under this Agreement ; the construction, maintenance or the improper or inadequate construction , installation and/or maintenance of the Works ; any act or omission of said parties while undertaking the Works ; or by reason of the neglect of the Tenant or its employees, servants , agents , contractors, subcontractors or others for whom the Tenant is responsible at law. (ii) Without limiting the generality of the foregoing, the Tenant agrees to indemnify and save harmless the Landlord for any issues related to the alteration of any grade or existing level construction, the maintenance or repair of any taxiway within the Airport, or by reason of the failure , neglect or omission of the Tenant to do anything agreed to be done pursuant to this Agreement or by reason of any act or omission of the Tenant , including failure of the Tenant to comply with the Construction Act. (6) Additional Rent shall be payable yearly in advance on the same dates stipulated for payment of Base Rent in Section 3 (2). (7) All payments to be made by the Tenant pursuant to this Lease are to be in Canadian funds by bank draft, money order or cheque payable to the Landlord and shall be delivered to the Landlord at the Landlord 's address for service set out in Section 17 or to such other place as the Landlord may from time to time direct in writing. (8) All Rent in arrears and all sums paid by the Landlord for expenses incurred which should have been paid by the Tenant shall bear interest from the date payment was due , or made , or expense incurred at a rate per annum equal to the prime commercial lending rate of the Landlord 's bank plus two (2) per cent. Landlord's Initials ___ _ Tenant's Initials k_ Page 237 of 256 4 (9) The Tenant acknowledges and agrees that the payments of Rent and Additional Rent provided for in this Lease shall be made without any deduction for any reason whatsoever unless expressly allowed by the terms of this Lease or agreed to by the Landlord in writing and no partial payment by the Tenant which is accepted by the Landlord shall be considered as other than a partial payment on account of Rent owing and shall not prejudice the Landlord's right to recover any Rent owing . 4. TERMS AND POSSESSION (1) The Tenant shall have possession of the Leased Premises for a period of twenty years, nine months (the "Term"), commencing on the 13 day of April, 2021 and ending on the 151 day of January, 2042. (2) The Tenant shall pay any and all connection costs for hydro, gas, water, heating, air- conditioning and for all other services and utilities as may be provided to the Leased Premises. The Tenant shall arrange with the local authority for connection of gas , electricity and water in the name of the Tenant. Nothing in this paragraph or lease is a warranty or representation by the Landlord that any utilities or services are extended to the Leased Premises or can be extended to the Leased Premises . (3) Subject to the Landlord 's rights under this Lease, and as long as the Tenant is in good standing, the Landlord covenants that the Tenant shall have quiet enjoyment of the Leased Premises during the Term of this Lease without any interruption or disturbance from the Landlord or any other person or persons lawfully claiming through the Landlord. 5. ABATEMENT OF RENT DURING CONSTRUCTION PERIOD (1) So long as the Lease has been fully executed, the Tenant has provided the Landlord with proof of the Tenants insurance, and the Tenant has paid the first and last month's Rent to be held as a deposit, the Landlord shall provide the Tenant with possession of the Leased Premises for a period of up to six (6) months commencing on the Effective Date for the purposes of constructing the Hangar on the Leased Premises. All terms of the Lease shall be applicable from the Effective Date save and except for the payment of Rent, Base Rent and Additional Rent which shall be payable as of the first day of the month of occupancy of the Hangar or the expiry of the six (6) month construction period whichever occurs first. (2) In the event the Tenant has not completed construction of the Hangar within the six (6) month construction period, the Landlord, in its sole and absolute discretion, may extend the construction period upon written request of the Tenant or terminate this Lease of which then the Tenant's deposit provided in Section 5 (1) would be forfeited. 6. ASSIGNMENT (1) The Tenant shall not assign this Lease or sublet the whole or any part of the Leased Premises unless they first obtain the consent of the Landlord in writing, which consent shall not unreasonably be withheld and provided the sub-Tenant and/or assignee signs a written acknowledgement that he/she will be bound by the terms , conditions and rules as provided for in this Lease. The Tenant hereby waives its right to the benefit of any present or future Act of the Legislature of Ontario which would permit the Tenant to assign this Lease or sublet the Leased Premises without the Landlord's consent. (2) The consent of the Landlord to any assignment or subletting shall not operate as a waiver of the necessity for consent to any subsequent assignment or subletting. (3) Any consent given by the Landlord to any assignment or other disposition of the Tenant's interest in this Lease or in the Leased Premises shall not relieve the Tenant from its obligations under this lease, including the obligation to pay Rent, Base Rent and Additional Rent as provided for herein. Landlord's Initials ___ _ Page 238 of 256 5 (4) If all or more than 50% of the shares in the Tenant should be sold, assigned or transferred in any manner to a person other than the Tenant, then such transferee shall be bound by the terms and conditions of this Lease. 7. USE (1) During the Term of this Lease the Leased Premises shall not be used for any purpose other than as an aircraft hangar for the storage, repair and operation of airplanes, without the express consent of the Landlord given in writing. The Tenant shall not construct a new hangar or any other building on the Leased Premises except in accordance to the terms of this Lease . (2) The Tenant shall not do or permit to be done at the Leased Premises anything which may: (a) contravene any Airport use, standards, or tenant policy as established by the Landlord from time to time; {b) cause damage to the Leased Premises; (c) cause injury or annoyance to occupants of neighbouring premises; (d) make void or voidable any insurance upon the Leased Premises; (e) constitute a breach of any by-law, status, order or regulation of any municipal, provincial or other competent authority relating to the Tillsonburg Airport, the Leased Premises including any septic bed or other property , equ ipment or appurtenances; and, (f) create an environmental hazard . The Tenant shall not store, allowed to be stored or do anything that creates hazardous waste or toxic material as defined by the Environmental Protection Act or any related or successor legislation . If an order is made by any level of government, including all agencies, crown corporations , municipal bodies, or a court is made as a result of the Tenant's, or its servants, directors, employees, invitees, customers or agents, actions or inaction under this Article or Article 7(2)(e) above or as a result of the septic bed system used by the Tenant then the Tenant shall satisfy the terms of such order including, but not limited to, paying all costs of the work required and shall indemnify and save the Landlord harmless from any costs, including legal costs, if the Landlord suffers any damages or pays any costs associated with such order. (3) The Tenant shall : (a) (b) (c) (d) (e) (f) (g) Landlord's Initials not interfere in the use of the Airport or any other use of the Property. The Tenant acknowledges that there are other uses of the Property and it shall not interfere in any other use of the Property. The Tenant further acknowledges that there are other Tenants and users of the Airport and it shall not unreasonably interfere in the use or operation of the Airport in any manner nor shall it do, or allow to be done by any of its invitees, customers, employees or agents, anything that would cause or constitute a nuisance, safety violation or hazard to any other Tenant or any user of the Airport who are acting reasonably; comply with all federal and provincial transportation guidelines, regulat ions, rules, by-laws, statutes , directives and any other such matter that governs the flight, use or operation of aircraft; not block or obstruct the taxiways or runway and permit the ingress and egress to adjacent hangars , aprons and parking areas ; not conduct any major repairs to any motor vehicle of any kind other than an aircraft or any vehicle or machinery ancillary to or connected with aircraft; not perform aircraft repair or maintenance outside of the Leased Premises; not start any aircraft in the Hangar; not store any items on the Leased Premises, surrounding Property or in the Hangar other than aircraft and related aircraft items except as specifically permitted in this ----Ton"'t'' lnitia~ Page 239 of 256 6 agreement; (h) not store any flammable products inside the Hangar or on the Leased Premises with the exception of fuel or necessary aircraft related products; (i) notify the Landlord of any public activities and/or events no less than th irty (30) days before such activity and/or event with approval by the Landlord, in its sole and absolute d iscretion and such approval not to be unreasonably withheld; U) comply with all rules and regulations of the A irport and ensure the compl iance of all the Tenant's contractors , employees , agents, customers and invitees ; and , (k) provide proof of documentation showing current and proper insurance coverage of any aircraft stored inside the Hangar. (4) The Tenant covenants and agrees that the Landlord may require the adjustment in the Airport leases and as such may demand the Tenant move the Hangar and the location of the Leased Premises. The Landlord shall compensate the Tenant for any expenses in moving the Hangar as agreed between the Parties. (5) The Tenant shall be permitted to construct and maintain one (1) aircraft hangar (the "Works") on the Leased Prem ises as follows: (a) the dimensions of the Hangar shall be 60 feet by 60 feet for a total floor area of 3 ,600 square feet; (b) the style of the Hangar shall be e ither a pole barn style building or a metal frame bu ilding; (c) the s iding, siding colour , roof colour, hanger number, and height of the building w ill be maintained in accordance with current A irport standards as approved by the Landlord ; (d) the hangar apron shall be constructed of a hard surface (i.e . asphalt or concrete) with a m inimum 300mm (12 ") structural sub-base to the sat isfaction of the Landlord; (e) any construction or renovation shall comply with the construction requirements of the Landlord in its sole and absolute discretion including the construction requirements detailed in Schedule "B" to this Lease and all applicable building code standards and by-laws of the municipal ity in which the Leased Prem ises are located and any federal or provinc ial statutes, rules or regu lations ; (f) prior to the commencement of construction , the Tenant shall submit, at its so le cos t, a site plan and drainage/grading plan which shall include, but not limited to , the information required in this Article 7(5) of this Lease and the proposed floor elevation , wh ich all shall be subject to the approval of the Landlord ; (g) the Tenant agrees to maintain the lot grading during and after construction and erection of the Hangar and shall comp ly with the lot grading and drainage requirements of the Landlord at the sole cost of the Tenant; (h) obtain all necessary permits , as applicable, at the expense of the Tenant; and , (i) the Tenant shall be responsible for and pay the cost of all repair , renovation, and maintenance and nothing in this Lease shall render the Land lord responsible for any such costs. (6) The Landlord acknowledges that it has granted access to the Tenant for the Tenant to maneuver its ai rcraft from the Hangar to the adjacent taxiway and runway of the A irport . Further, the Landlord hereby grants to the Tenant, its successors and assigns , free and uninterrupted access in, over, upon, across or through the Hangar apron area, defined as 6 metres wide and 26 metres from the front of the Hangar to the adjacent taxiway. The Landlord grants to the Tenant the right to enter upon the Hangar apron area at all times and to pass and re-pass thereon as may be required by the Tenant, and its licensees , successors , assigns, servants , agents, employees and contractors includ ing all necessary vehicles , equ ipment and machinery, from time to time, for the purposes of installing, maintaining, replac ing , and reconstructing a suitable surface treatment to the Hangar apron as approved by the Landlord in its sole and absolute d iscretion. Any cost of installing , Landlord 's Initials ___ _ Ten ant's In iti a ~kL Page 240 of 256 7 removing, maintaining , replacing and/or reconstructing the Hangar apron shall be at the sole expense of the Tenant without contribution of the Landlord. The Tenant covenants that it shall not conduct such work to the Hangar apron without first obtaining the consent of the Landlord and such consent shall not be unreasonably withheld. The Tenant hereby releases the Landlord from any and every claim which may or might arise out of the proper exercise by the Tenant of any of the rights granted herein. 8. CONSTRUCTION IMPLEMENTATION SCHEDULE (N/A Existing Hangar) (1) The Tenant hereby undertakes to complete the work herein in accordance w ith the timeframes set out in the Schedule "C " {the "Construction Schedule"). The Tenant shall submit a proposed construction schedule which shall be subject to amendments and approval by the Landlord and attached hereto as Schedule "C". A variance to the timeframes will only be allowed if approved in writing by the Landlord. Failure to comply may result in the Tenant being in default of this Agreement and the Landlord may seek remedy pursuant to this Agreement. (2) The Landlord approved work shall be carried out by the Tenant in a proper and professional manner so as to do as little damage or disturbance as poss ible to the Airport lands or the Airport's infrastructure. The Tenant shall repair and make good all damage and disturbance that may be caused to the Airport lands or the A irport's infrastructure, to the satisfaction of the Landlord, acting reasonably, at the sole expense of the Tenant. (3) During construction, the works to be carried out by the Tenant, shall be maintained in all respects in a state of good repa ir by the Tenant, including keeping the site in a sound, neat, safe and clean condition to the satisfaction of the Landlord. If the site is not kept in a state of good repair, upon seven (7) business days written notice to the Tenant (or such shorter time as may be required in the case of an emergency or other urgent matters or as otherwise provided herein), the Landlord shall have the right to do any work necessary to fulfill this condition and all costs incurred by the Landlord shall be recovered from the Tenant and may be recovered as Additional Rent. 9. REPAIR AND MAINTENANCE ( 1) The Tenant covenants that during the term of this Lease and any renewal thereof, the Tenant shall keep the Leased Premises and Hangar in good condition including all alterations and additions made thereto, and shall, with or without notice, promptly make all needed repairs and all necessary replacements as would a prudent owner. The Tenant shall be responsible for all wear and tear to the Hangar and shall affect all repairs as necessary. Save and accept the Landlord's , or its agent's, contractor's and employee 's negligence or intentional actions, at no time is the Landlord responsible for any repairs or damage to the Hangar or the Leased Premises. (2) The Tenant shall permit the Landlord or a person authorized by the Landlord to enter the Leased Premises including the Hangar to examine the condition thereof and view the state of repair at reasonable times: (a) (d) and if upon such examination repairs are found to be necessary , written notice of the repairs required shall be given to the Tenant by or on behalf of the Landlord and the Tenant shall make the necessary repairs within the time specified in the notice; and, if the Tenant refuses or neglects to keep the Leased Premises including the Hangar in good repair the Landlord may, but shall not be obliged to, make any necessary repairs, and shall be permitted to enter the Leased Premises and Hangar, including by its servants or agents, for the purpose of effecting the repairs without be ing liable to the Tenant for any loss, damage or inconvenience to the Landlord's Initials ___ _ Tenant's Initials~ Page 241 of 256 8 Tenant in connection with the Landlord's entry and repairs . If the Landlord makes such repairs the Tenant shall pay the cost of them immediately as Additional Rent. (3) Subject to any renewal, upon the expiry of the Term or other determination of this Lease the Tenant agrees to surrender peaceably the Leased Premises to the Landlord in a state of good repair and subject to the conditions contained in this Article 9(3). The Tenant may remove the Hangar provided the Tenant places the Leased Premises back into a similar condition as it was in prior to the construction of the Hangar even if the construction of the Hangar predated this Lease. At any time during the Term , expiry of the Term, if an Act of Default occurs or upon termination of this Lease if the Tenant is in arrears of any rent whatsoever the Tenant agrees that the Landlord shall be permitted to register such lien on the Hangar under the Personal Property Security Act and possession of the Hangar will not be obtained by the Tenant until the lien is paid in full with all accrued interest and legal fees . (4) The Tenant shall immediately give written notice to the Landlord of any substantial damage that occurs to the Leased Premises including the Hangar from any cause. (5) The Tenant hereby agrees that at no time is the Landlord responsible for any damage, including damage to property or personal injury, as a result of the Tenant's use of the Leased Premises, Airport or Property and the Tenant hereby waives any cause of action in law, equity or by statute as against the Landlord for any loss. The Tenant acknowledges that it shall not institute any claim or make any demand against the Landlord, or anyone that may claim indemnity from the Landlord, for any personal injury or damage to property, including aircraft, as a result of the Tenant's use (including storage) of the Hangar, Airport or Property . The Tenant acknowledges that the use of the Airport, Hangar or Property is at its own risk . (6) The Tenant hereby forever releases the Landlord from any and all claims in law, equity or by statute as a result of any intentional or negligent acts of any other Tenant and/or user of the Property and/or Airport, or their agents , contractors, invitees, customers or employees that may cause death, personal injury or property loss to the Tenant or its agents, customers, employees, contractors or invitees . 10. ALTERATIONS AND ADDITIONS (1) If the Tenant, during the Term of this Lease or any renewal of the Lease, desires to make any alterations or additions to the Leased Premises, including but not limited to ; erecting partft ions, attaching equipment, and installing necessary furnishings or additional equipment of the Tenant's business but not including erecting a new hangar or any other accessory building, the Tenant may do so at his own expense provided that any and all alterations or additions to the Leased Premises made by the Tenant must comply with any requirement of the Landlord including Schedule "B" and all applicable building code standards and by-laws of the municipality in which the Leased Premises are located and any federal or provincial statutes, rules or regulations . (2) The Tenant shall pay Rent at the rate prescribed in paragraph 3 above based upon the area of the Hangar subsequent to any addition or alteration. (3) The Tenant shall be responsible for and pay the cost of any alterations, additions, installations or improvements that any governing authority, municipal, provincial or otherwise, may require to be made in, on or to the Leased Premises. (3) No sign, advertisement or notice shall be inscribed, painted or affixed by the Tenant, or any other person on the Tenant's behalf, on any part of the outside of the Hangar unless it is located along the facade of the Hangar's front and provided it complies with the Landlord's signage requirements and with all applicable laws, by-laws and regulations and is in good workmanlike manner. No other sign, advertisement or notice shall be erected Landlord's Initials ----Tenant's Initials ~1 _ Page 242 of 256 9 unless it has been approved in every respect by the Landlord in writing. (4) The Tenant agrees, at its own expense and by whatever means may be necessary, immediately to obtain the release or discharge of any encumbrance that may be registered against the Landlord's property in connection with any additions or alterations to the Leased Premises made by the Tenant or in connection with any other activity of the Tenant. (5) The Tenant shall, at his own expense, if requested by the Landlord, remove any or all additions or improvements made by the Tenant to the Leased Premises during the Term and shall repair all damage caused by the installation or the removal or both. (6) The Tenant shall not bring onto the Leased Premises or any part of the Leased Premises any machinery, equipment or any other thing that might in the opinion of the Landlord, by reason of its hazardous nature, weight, size or use, damage the Leased Premises or the Property. If the Leased Premises or Property are damaged the Tenant shall restore the Leased Premises or Property immediately or pay to the Landlord the cost of restoring the Leased Premises or Property. 11. INSURANCE (1) The Tenant covenants to keep the Landlord indemnified and save harmless the Landlord at all times against all claims, suits , procedures, actions and demands (including but not limited to all legal costs) whatsoever and howsoever arising by any person, entity or corporation whether in respect of damage, loss or death to person or property, arising out of or occasioned by the maintenance, use or occupancy of the Leased Premises, Airport and Property or the subletting or assignment of same or any part thereof. And the Tenant further covenants to indemnify the Landlord with respect to any encumbrance on or damage to the Leased Premises occasioned by or arising from the act, default, or negligence of the Tenant, its officers, agents, servants, employees, contractors , customers , invitees or licensees . The Tenant agrees that the foregoing indemnity shall survive the termination of this Lease notwithstanding any provisions of the Lease to the contrary . (2) The Tenant shall carry insurance in its own name insuring against the risk of damage to the Tenant's property and the Hangar within the Leased Premises caused by fire or other perils. (3) The Tenant shall carry such general liability and property damage insurance including personal injury and property damage coverage with at least two million ($2 ,000,000 .00) dollars in limits of each occurrence with respect to the Leased Prem ises and Tenant's occupation of the Leased Premises. Such insurance policy shall contain no airport site exclusion. (4) All insurance policies in this Section 11 including this Article shall name the Landlord, where applicable, as an insured and loss payee and the policy shall include a cross-l iability endorsement. All policies shall be applicable as primary insurance, taking precedence over any other insurance protection owned by the Landlord. The Tenant shall insure that each insurance policy contains a waiver of subrogation rights which the insurer may have against the Landlord and the persons for whom is legally respons ible . (5) Upon demand of the Landlord, the Tenant shall provide a copy of any and all policies of insurance including renewals and terms of such policies to the Landlord . If any policy of insurance is canceled the Tenant shall inform the Landlord without delay of such cancellation and shall obtain a replacement policy without delay on the same terms as set out in this Section 11 . Under no circumstances shall delivery of and review by the Landlord of any certificate set forth or any insurance policy or any other proof of existence of the Landlord 's Initials ___ _ 7 1/ Tenant's Initials ~ Page 243 of 256 10 insurance coverage release the Tenant of its obligations to take out insurance in strict compliance with the present provisions or constitute a waiver in favour of the Tenant of any of the Landlord's rights. 12. ACTS OF DEFAULT AND LANDLORD'S REMEDIES (1) An Act of Default has occurred when: (a) the Tenant has failed to pay Rent for a period of 45 consecutive days from the date that payment was required to be paid to the Landlord; (b) the Tenant has breached its covenants or failed to perform any of its obligations under this Lease for a period of 45 consecutive days and: (i) the Landlord has given ten (10) days' notice specifying the nature of the default and the steps required to correct it; and, (ii) the Tenant has failed to correct the default as required by the notice ; (c) the Tenant has: (i) become bankrupt or insolvent or made an ass ignment for the benefit of creditors; (ii) had its property seized or attached in satisfaction of a judgment; (iii) had a receiver appointed; (iv) committed any act or neglected to do anything with the result that a Construction Lien or other encumbrance is registered against the Landlord's property; or, (v) taken action with a view to dissolution or liquidation; (d) any required insurance policy is cancelled or not renewed by reason of the use or occupation of the Leased Premises, or by reason of non-payment of premiums; (e) the Leased Premises : (i) has become vacant or remain unoccupied for a period of 180 consecutive days. For the purposes of this section the Parties agree that the terms "vacant and "unoccupied" shall mean no use or utilization of the Hangar and/or no storage of necessary tools, implements or equipment in the Hangar; or, (ii) is used by any other person or persons , or for any other purpose than as provided for in this Lease without the written consent of the Landlord; (f) failure to install or remedy faulty work, if, in the opinion of the Landlord the Tenant: i. is not proceeding or causing to be proceeded the works required in connection with this Agreement within thirty (30) days' of notice given; or ii. is improperly performing the works ; or iii. has neglected or abandoned before the completion, or unreasonably delayed the same, so that conditions of this Agreement are being violated or carelessly executed or being carried out in bad faith; or iv . has neglected or refused to renew or again perform such work as may be rejected by the Landlord as defective or unsuitable; or v. has defau lted performance of the terms and conditions of this agreement; then, in any such instance, the Landlord shall promptly notify the Tenant, in writing, of such default or neglect and if such notification be without effect within ten ( 10) business days Landlord's Initials Tenant's Initials£ Page 244 of 256 11 after such notice, the Landlord shall thereupon have full authority and power to purchase materials and employ workers and machines for the proper completion of the works at the cost and expense of the Tenant. The cost of such work shall be calculated by the Landlord whose decision shall be final and be paid to the Landlord by the Tenant on demand. Should payment not be received following the issuance of an invoice from the Landlord, the Landlord shall collect same as Additional Rent in addition to any other remedy available to the Landlord . It is further understood and agreed between the parties hereto that such entry upon the Premise shall be as an agent for the Tenant and shall not be deemed, for any purposes whatsoever, as an acceptance of the works by the Landlord. (2) When an Act of Default on the part of the Tenant has occurred: (a) the current year's Rent together with the next years' Rent shall become due and payable immediately; and, (b) the Landlord shall have the right to terminate this Lease and to re-enter the Leased Premises and deal with them as it may choose. (3) If, because an Act of Default has occurred, the Landlord exercises its right to terminate this Lease and re-enter the Leased Premises prior to the end of the Term, the Tenant shall nevertheless be liable for payment of Rent and all other amounts payable by the Tenant in accordance with the provisions of the Lease until the Landlord has re-let the Leased Premises or otherwise dealt with the Leased Premises in such manner that the cessation of payments by the Tenant will not result in loss to the Landlord and the Tenant agrees to be liable to the Landlord, until the end of the Term of this Lease for payment of any difference between the amount of Rent hereby agreed to be pa id for the Term hereby granted and the Rent any new Tenant pays to the Landlord . (4) If when an Act of Default has occurred, the Landlord chooses not to terminate the Lease and re-enter the Leased Premises , the Landlord shall have the right to take any and all necessary steps to rectify any or all Acts of Default of the Tenant and to charge the costs of such rectification to the Tenant and to recover the costs as Rent. (5) If, when an Act of Default has occurred, the Landlord chooses to waive its right to exercise the remedies available to it under this Lease or at law the waiver shall not constitute condonation of the Act of Default , nor shall the waiver be pleaded as an estoppel against the Landlord to prevent his exercising his remedies with respect to a subsequent Act of Default. No covenant, term, or condition of this Lease shall be deemed to have been waived by the Landlord unless the waiver is in writing and signed by the Landlord. 13. TERMINATION UPON NOTICE AND AT END OF TERM (1) If the Leased Premises and/or Property are subject to an Agreement of Purchase and Sale : (a) The Landlord shall have the right to terminate this Lease, notwithstanding that the Term has not expired, by giving ninety (90) days' notice (the "Notice") in writing to the Tenant and , at the Tenant's option , the Landlord shall pay to the Tenant the fair market value for the Hangar or the Tenant agrees to remove the Hangar and comply with Articles 9(3) and 10(5) of this Lease . Upon expiry of the Notice the Tenant shall provide vacant possession of the Leased Premises provided the Landlord pays to the Tenant a bonus of $500.00. For the purposes of this Article and Articles 13(3) and 13(4) fair market value shall be determined as of the date of the issuing of the Notice. (2) If the Tenant remains in possession of the Leased Premises after termination of this Lease as aforesaid and if the Landlord then accepts Rent for the Leased Premises from the Tenant, it is agreed that such overholding by the Tenant and acceptance of Rent by the Tenant's Initialk Landlord's Initials ---- Page 245 of 256 12 Landlord shall create a monthly tenancy only but the tenancy shall remain subject to all the terms and conditions of this Lease except those regarding the Term. The Parties agree that if the Term is not renewed then upon expiry of the Term or if the Tenant is an overholding tenant then either Party may terminate the lease upon sixty (60) days written notice to the other party and the Tenant shall comply with Articles 9(3) and 10(5) of this Lease. (3) Other than a termination of this Lease in accordance with Article 13(1) of this Lease, the Landlord shall, at any time and notwithstanding that the Term has not expired, have the unqualified right to terminate this Lease upon one year's prior written notification (the "Notice") if the Leased Premises are required for any reason or purpose of the Landlord in which event the Landlord shall pay to the Tenant the fair market value for the Hangar, if erected by the Tenant, unless the Tenant agrees to remove the Hangar and comply with Articles 6(3) and 7(5) of this Lease, and the Tenant shall provide such vacant possession upon the expiry of the Notice provided the Landlord pays to the Tenant a bonus of $500.00. (4) The Parties agree that it is their mutual intention that at the end of the Term of this Lease the lease shall be renewed upon such conditions and terms as agreed between the Parties. The Parties further agree that although it is their mutual intention to renew the lease nevertheless either party may decide not to renew the lease for any reason . The Parties acknowledge that upon such renewal all terms and conditions shall be negotiated between the Parties. If the Parties do not renew this Lease then the Parties agree that the Landlord shall be granted the Right of First Refusal to purchase the Hangar (the "Option"). The Tenant covenants that it will not sell the Hangar, or any part thereof, to any person, firm or corporation, without first providing the Landlord to exercise its Option as set out in the terms of this paragraph. Upon the Tenant receiving a bona fide offer in writing (the "Third Party Offer") the Tenant shall deliver to the Airport Office, 244411 Airport Road, Township of South-West Oxford , Ontario, a copy of the Third Party Offer and the Landlord shall have twenty business days (the "Notice Period") from the date of receipt of the Third Party Offer to exercise the Option to match the Third Party Offer. If the Landlord exercises its option in the Notice Period then it must inform the Tenant at the Property in writing that it will purchase the Tenant's interest in the Hangar on the same terms and conditions, or more favourable terms to the Tenant at the Landlord's discretion , as contained in the Third Party Offer (the "Landlord's Offer''). If the Landlord exercises its Option in the Notice Period then the Tenant must sell the Hangar to the Landlord upon the terms and conditions as contained in the Landlord's Offer. If the Landlord does not exercise its option in the Notice Period then the Tenant shall be at liberty to accept the Third Party Offer provided that there are no modifications to the Third Party Offer. If any modifications are made to the Third Party Offer then the Landlord shall be permitted to exercise its option pursuant to the terms of this paragraph. For the purpose of this paragraph, if the Tenant is a corporation, the word "sell", in addition to its ordinary meaning, shall be deemed to mean and include a sale or disposition of the corporate shareholding of the Tenant by the person or persons who, at the date of the commencement of the lease holds or hold a majority of the corporate shares. Subject to the conditions contained in Article 4 of this Agreement, the Parties agree that prior to the expiry of this Lease if the Tenant seeks to assign this Lease to a third party then the Landlord will agree to examine a proposal to extend the term of this Lease however nothing in this paragraph shall require the Landlord to accept any amendment of the term or new term. 14. ACKNOWLEDGMENT BY TENANT (1) The Tenant agrees that it will at any time or times during the Term , upon being given at least forty-eight (48) hours prior written notice, execute and deliver to the Landlord a statement in writing certifying: (a) Landlord's Initials ---- that this Lease is unmodified and is in full force and effect (or if modified stating the modifications and confirming that the Lease is in full force and Tenmt'' Initial ~ "· Page 246 of 256 13 effect as modified); (b) the amount of Rent being paid; (c) the dates to which Rent has been paid; (d) other charges payable under this Lease which have been paid; (e) particulars of any prepayment of Rent or security deposits ; and, (f) particulars of any sub tenancies. 15. SUBORDINATION AND POSTPONEMENT (1) This Lease and all the rights of the Tenant under this Lease are subject and subordinate to any and all charges against the land, buildings or improvements of which the Leased Premises form part, whether the charge is in the nature of a mortgage, trust deed , lien or any other form of charge arising from the financing or re-financing, including extensions or renewals, of the Landlord 's interest in the Property . (2) Upon the request of the Landlord the Tenant will execute any form required to subordinate this Lease and the Tenant's rights to any such charge, and will, if required, attorn to the holder of the charge . (3) No subordination by the Tenant shall have the effect of permitting the holder of any charge to disturb the occupation and possession of the Leased Premises by the Tenant as long as the Tenant performs his obligations under this Lease. 16. RULES AND REGULATIONS The Tenant agrees on behalf of itself and all persons entering the Leased Premises with the Tenant's authority or permission to abide by such reasonable rules, standards and regulations of the Airport and/or Property which shall form part of this Lease and as the Landlord may make and/or amend from time to time . 17. NOTICE (1) Any notice required or permitted to be given by one party to the other pursuant to the terms of this Lease may be given To the Landlord at: Tillsonburg Regional Airport Attn : Airport Administrator 244411 Airport Rd South-West Oxford, On N4G 4H1 Fax: 519-842-3445 To the Tenant at the Leased Premises or at: Ewart Mclaughlin 163988 Brownsville Rd Tillsonburg , ON N4G 4G8 519-521-7836 (2) The above addresses may be changed at any time by giving ten (10) days written notice. (3) Any notice given by one party to the other in accordance with the provisions of this Lease shall be deemed conclusively to have been received on the date delivered if the notice is Landlo,d's Initials Tonant's Initials ~ Page 247 of 256 14 served personally or seventy-two (72) hours after mailing if the notice is mailed. 18. REGISTRATION The Tenant shall not at any time register notice of or a copy of this Lease on title to the Property of which the Leased Premises form part without consent of the Landlord. 19. INTERPRETATION (1) The words importing the singular number only shall include the plural, and vice versa, and words importing the masculine, feminine or neutral gender shall include the other genders, and words importing persons shall include firms and corporations and vice versa . (2) Unless the context otherwise requires, the word "Landlord " and the word "Tenant" wherever used herein shall be construed to include the executors, administrators, successors and assigns of the Landlord and Tenant, respectively . (3) When there are two or more Tenants bound by the same covenants herein contained , their obligations shall be joint and several. 20. MISCELLANEOUS (1) Unless otherwise stipulated, parking, if applicable, in the common parking area shall be in common and unreserved . (2) If a dispute should arise between the Parties in the interpretation of this Agreement then both parties agree that such dispute shall be referred to binding arbitration and be bound by the result of such arbitration. The terms, form and procedure of the arbitration shall be in accordance with the Arbitration Act or any successor legislation. The parties further agree that the arbitrator shall be jointly chosen and the arbitrator shall have the ability to award costs of the arbitration. This clause shall not apply if the Tenant is in default under the terms of the Lease which include but are not limited to: (a) its obligations to pay Rent, Base Rent and/or Additional Rent; (b) non-repair or maintenance of the Leased Premises; (c) subleased the Leased Premises without the authorization of the Landlord, acting reasonably; (d) changed its use of the Leased Premises; or, (e) used the Leased Premises in any manner contrary to Article 7. (3) In the event that any clause herein should be unenforceable or be declared invalid for any reason whatsoever, such enforce ability or invalidity shall not affect the enforce ability or valid ity of the remaining portions of the covenants and such unenforceable or inva lid portions shall be severable from the remainder of this Lease . (4) This Lease shall be construed and enforced in accordance with the laws of the Province of Ontario. Any proceeding shall be brought at the City of Woodstock in the County of Oxford, Ontario. (5) The Tenant hereby agrees that it has had an opportunity to rev iew the terms of this Lease and seek independent legal advice. (6) Should any provision of this Lease require judicial interpretation or arbitration, it is agreed that the court or arbitrator interpreting or construing the same shall not apply a presumption Landlord's Initials Tenant's Initials /A- Page 248 of 256 15 that the terms thereof shall be more strictly construed against one party by reason of the rule of construction that a document is to be construed more strictly against the party who itself or through its agent prepared the same, it be agreed that both parties have participated in the preparation hereof. (7) Th is Lease and it's schedules constitutes the entire agreement between the Parties hereto pertaining to the subject matter hereof and supersedes all prior and contemporaneous agreements, understandings , negotiations and discussions , whether oral or w ritten, of the parties and there are no warranties, representations or other agreements between the Parties in connection with the subject matter hereof, except as specifically set forth he rein . No supplement, modification , waiver or term ination of this Lease shall be binding unless executed in writing by the Parties. (8) The Tenant agrees that it has not relied upon any representat ion , promise or warranty of the Landlord with respect to the condition of the Leased Premises, Hangar or any representation or promise of the Landlord to repa ir, renovate or otherw ise alter the Leased Premises in any manner prior to or after commencement of the Term . The Parties agree that the Leased Premises are being offered to the Tenant in an "as is " cond it ion . The Tenant shall not call on or demand the Landlo rd to perform any repairs or renovations prior to or after it obtains possession. The Tenant acknowledges that it has performed its own due diligence in establishing the state of repair of the Leased Premises including the Hangar. In Witness of the foregoing covenants the Landlord and the Tenant have executed this Lease . c?f:M~M;r 1tness Land lord 's Initials ---- Landlord Stephen Mo lnar, Mayor The Corporation of the Town of T illson burg Land lord Michelle Smibert , C lerk The Corporation of the Town of Tillsonbu rg We have authority to bind the Corporation . Ewart Mclaughlin Tenant Ten ant's Initial~ Page 249 of 256 16 Landlord's Initials ____ _ Tenant's Initials A pf/\_ Page 250 of 256 Landlord's Initials ---- 17 Schedule "A" THE "LEASED PREMISES" Taxiway G1 Lot 4 Tenant's Initials .....,b--· Page 251 of 256 . ·· .-· .... __ ... ...-··· __ .. - .£ B ~Pt: ~-·~ . .:.1-~ .2 1 ~ i" !' •. ::~--: ~J·: . . 3 ... .. ~~ ~ i ~ -----~--------,-~ _I,!-·•~ U!.'I I ~n"f?.I ... I ~ ~. 18 n i l l"':E P::t.: 3.•:~.t. ~If Lt. H ~K:~Ji 1 .fl .;.A-, :~ '0 :.=.-, :.~::~ )" (.J" ••• .~·· . ..... · __ ..;-···-· .r_ ... ~ ~ I · . ~ ~ " ! I !' I 1 I ·.;I •.. f l r.; '-· ~ ~ ~1;_,.;:-;---------. ...._ _______ --1------+--------~--------H --·-·-I'-··--·--·-·-·-·-1-----"Pi ;!~~-""°'""' ---------------------------------. \. '-· --r>......__ .. _ ' ... ..... - T0\1/N 0 . .F TILLSONUllRG OPI RA TJ ONS SE RV ICES E NGJN EE Rl:\"G DEPART~ l'E:'.\iT .:::.::·: u t~o .. -.o·,.,,.,..,. 51_1 1-c 2c ... I _L:j;J-t-.b . .J I'\(:: ~/·J ~,.,1 :_h t~L:.· ~i· / --,--:-r:: c;;;::: -->_.---!lWi-·"i r ."r --h -- ~ ...... ,,,_,=-rt·-1 .}1t:.; ::iJ'.•---t-.r ... ~:1-:.·.r·:.. ::. ;;:1.:<' n:·i:.:·TL':: =-f:::'f:x:::r: .:O ?:.x :o; :.!:1.:l .:. rr ·~::rr <: =R ;;;:;~:r: -:<:;·.-.-" u· '-. i.':-l'tl?' (F"'l:":-'IE" :p;·.;::,:.o::r. .;,:;o-r..:f". :'.i . _:{~.: C·:J<.OT:: ~~«.:.::C, c;::(.);: ::.. :;n-1·· C·:J-.OTO: f" t!l::;H~ Fl((:f: ae:·;·.·.ri:-~ --I'- Page 252 of 256 19 SCHEDULE "B" CONSTRUCTION REQUIREMENTS (N/A Existing Hangar) 1. The Tenant shall construct an airplane hangar building with approximate dimensions of 60 feet wide by 60 feet deep compromising a floor area of 3,600 square feet. 2 . The Tenant covenants and agrees, notwithstanding any other statute, regulation or provision regarding the federal government's authority to regulate the aeronautics industry, to: (a) obtain from the Landlord an Airport Development Permit prior to construction; (b) to pay to the Landlord a flat fee of $600 to administer the Airport Development Permit; (c) to construct the airplane hangar, and any other building that may be permitted, to the standard of the Ontario Building Code, 0. Reg . 332/12 as amended or replaced from time to time (the "OBC") and to the satisfaction of the Landlord in its sole and absolute discretion, and; (d) to ensure all persons retained by the Tenant have appropriate health and safety policies, insurance and WSIB coverage . 3. The Tenant shall provide to the Landlord the following in order to obtain an Airport Development Permit and approval for use of the Leased Premises and hangar thereon: (a) prior to construction, submission of: 1. all applicable fees; 2. 2 copies of a site plan showing the proposed location of the hangar and dimensions to the adjacent buildings; 3. 2 copies of construction drawings (foundation plan, floor plan, building elevations, diaphragm/truss bracing, anchorage, construction details/finishes, etc.) stamped by a professional engineer; 4. 2 copies of the truss drawings stamped by a professional engineer; and 5. Commitment to General Reviews form completed by both the building owner and professional engineer; (b) prior to occupancy and acceptance: (c) Landlord's Initials 1. inspection of the construction and acceptance of same by the Landlord in in respect of compliance with the OBC, the terms of this Airport Lease and all policies and rules regulating the Tillsonburg Airport; and 2. submission of all site reports (footing inspection, framing inspection, occupancy inspection) and an occupancy report from the professional engineer; and, final approval: ---- Page 253 of 256 20 1. provide a final report (verifying outstanding items not completed at occupancy have been completed/corrected) from the professional engineer if applicable . 4. The parties covenant and agree that the Tenant is not required to obtain a building permit from the Township of Southwest Oxford for construction of buildings on the Tillson burg Airport. 5. The Tenant covenants and agrees that failure to comply with the provisions of this schedule shall be an event of default of this Lease and in the absence of remedying such default, shall permit the Landlord to terminate this Lease and seek any and all other recourse against the tenant in such instance. Landlord's Initials ___ _ Tenant'• lnitiafa A- Page 254 of 256 21 SCHEDULE "C" (N/A Existing Hangar) CONSTRUCTION SCHEDULE Provided by the Tenant prior to execution of the lease agreement and approved by the Landlord. Preliminary Construction Schedule: Start of Construction N/A End of Construction N/A Note : Tenant has expressed that a detailed construction schedule will be provided once contractor and Tenant have finalized . Landlord's Initials ----Tonant'' Initials ~· Page 255 of 256 THE CORPORATION OF THE TOWN OF TILLSONBURG BY-LAW 2021-049 A BY-LAW to confirm the proceedings of Council at its meeting held on May 10, 2021. WHEREAS Section 5 (1) of the Municipal Act, 2001, as amended, provides that the powers of a municipal corporation shall be exercised by its council; AND WHEREAS Section 5 (3) of the Municipal Act, 2001, as amended, provides that municipal powers shall be exercised by by-law; AND WHEREAS it is deemed expedient that the proceedings of the Council of the Town of Tillsonburg at this meeting be confirmed and adopted by by-law; BE IT THEREFORE ENACTED by the Council of the Corporation of the Town of Tillsonburg as follows: 1. All actions of the Council of The Corporation of the Town of Tillsonburg at its meeting held on May 10, 2021, with respect to every report, motion, by-law, or other action passed and taken by the Council, including the exercise of natural person powers, are hereby adopted, ratified and confirmed as if all such proceedings were expressly embodied in this or a separate by-law. 2. The Mayor and Clerk are authorized and directed to do all the things necessary to give effect to the action of the Council of The Corporation of the Town of Tillsonburg referred to in the preceding section. 3. The Mayor and the Clerk are authorized and directed to execute all documents necessary in that behalf and to affix thereto the seal of The Corporation of the Town of Tillsonburg. 4. This by-law shall come into full force and effect on the day of passing. READ A FIRST AND SECOND TIME THIS 10th DAY OF MAY, 2021. READ A THIRD AND FINAL TIME AND PASSED THIS 10th DAY OF MAY, 2021. ________________________________ MAYOR – Stephen Molnar _______________________________ CLERK – Michelle Smibert Page 256 of 256