0223041.23
COMMISSIONERS' COURT AGENDA REQUEST
PLEASE FURNISH ONE ORIGINAL AND NINE COPIES OF THIS REQUEST AND DOCUMENTS TO BE
REVIEWED BY THE COURT.
MADE BY: Pat Tinley
MEETING DATE: February 23, 2004
SUBJECT: (PLEASE BE SPECIFIC)
r
OFFICE: Coun Jud
TIME PREFERRED:
Consider and discuss proposals submitted and approval of Telecommunications
Equipment Lease or Purchase for the Road and Bridge Office and authorize the County
Judge to sign same.
EXECUTIVE SESSION REQUESTED: (PLEASE STATE REASON)
NAME OF PERSON ADDRESSING THE COURT
ESTIMATED LENGTH OF PRESENTATION:
IF PERSONNEL MATTER -NAME OF EMPLOYEE:
Time for submitting this request for Court to assure that the matter is posted in accordance with Title 5, Chapter
551 and 552, Government Code, is as follows:
Meeting scheduled for Mondays:
THIS REQUEST RECEIVED BY:
THIS REQUEST RECEIVED ON:

All Agenda Requests will be screened by the County Judge's Office to determine if adequate information has been
prepared for the Court's formal consideration and action at time of Court Meetings. Your cooperation will be
appreciated and contribute towards you request being addressed at the earliest opportunity. See Agenda Request Rules
Adopted by Commissioners' Court.
County Judge
5:00 P.M. previous Tuesday.
TELECOMMUNICATIONS EQUIPMENT LEASE
WITH PURCHASE OPTION
LEASE NUMBER: 0333-1082
THiS TELECOMMUNICATIONS EQUIPMENT LEASE is made this 8th day of October , 2003, by and
between ADVANCED TEL-COM SYSTEMS CORPORATION d/b/a KERRVILLE TELEPHONE BUSINESS
SYSTEMS, a Texas corporation, with its principal offices located at 955 Water Street, Kerrville, Kerr County, Texas,
hereinafter referred to as "Lessor", and KERR COUNTY, located at 4010 San Antonio Hwy, Kerrville, Kerr County,
Texas hereinafter referred to as "Lessee"; Lessor and Lessee being hereafter referred to collectively as the "Parties".
[n consideration of the mutual promises contained herein, the Parties agree as follows:
ARTICLE 1. EQUIPMENT LEASED
1.01 The Lessor hereby leases to the Lessee and Lessee hereby leases and hires from the Lessor the
telecommunications equipment and other property, collectively the "Equipment", described in:
A. Exhibit A, Schedule of Equipment, attached hereto and incorporated into this lease; and
B. Any amended Exhibit Aand/or amended schedule or schedules hereafter executed by the Parties, from
and after the date of execution of the same.
ARTICLE 2. TERM
2.0 I The primary term of this lease shall commence on the date shown in Exhibit A, and shall be for the period set
out in Exhibit A. Upon expiration of the primary term of this lease, the Lessee, at Lessee's option, may: 1)
Return the Equipment as herein provided; 2) Purchase the Equipment for the amount set out in Exhibit A; or 3)
Continue the lease on a month to month basis as set out in Exhibit A. In the event Lessee opts to continue this
lease on a month to month basis, the lease shall be terminable by either party upon one month's notice to the
other party.
ART[CLE 3. LEASE PAYMENTS
3.01 Monthly Amount
Lessee shall pay to Lessor monthly and in advance during the term of this lease, the monthly lease payment set
out in Exhibit A, or in any amended Exhibit A as may be executed by the Parties in writing from time to time,
plus all applicable taxes, within thirty days of the date of billing therefor. Lessee shall make such payments to
Lessor at Lessor's office at 955 Water Street, Kerrville, Kerr County, Texas 78028, or such other location as
Lessor may from time to time designate in writing.
3.02 Advance Payment
Lessee shall pay to Lessor in advance, at or before delivery of the Equipment, and in lieu of the payments
otherwise scheduled, the first and last month's lease payments plus applicable taxes, as set out in Exhibit A.
3.03 Security Deposit
As security for the prompt and full payment of the lease payments due Lessor, and the faithful and timely
performance by Lessee of all duties and obligations imposed on Lessee by this Lease during the term and/or any
extension or renewals thereof, Lessee has pledged and deposited with the Lessor the amount set forth in Exhibit
A as a Security Deposit. In the event Lessee defaults in the performance of any of its obligations herein
contained, including without limitation, payment of any monthly lease payment due hereunder, the Lessor shall
Dave the right, but shall not be obligated, to cure the default and to apply the said security deposit to the cost
thereof. Any such utilization of the Security Deposit by the Lessor shall not be a defense by Lessee to any
action by the Lessor arising out of any default by Lessee, and on demand, the Lessee shall restore the Security
Deposit to the ful] amount set forth in the schedule in Exhibit A. On the expiration of this lease or any
extension or renewal thereof, provided the Lessee has paid all of the lease payments required hereby and fully
performed all of the other provisions of this Lease to be performed on its part, the Lessor shall return to the
Lessee any then remaining balance of said security deposit.
3.04 Default
If the Lessee fails to pay any lease payment or other amount herein required by the due date of such payment, or
if any execution or any writ of process shalt be issued in any action or proceeding against the Lessee whereby
the Equipment maybe seized, taken, or distrained, or if a proceeding in bankruptcy, receivership, or insolvency
shall be commenced by Lessee voluntarily, or involuntarily against Lessee, or if Lessee shall enter into any
arrangement or composition with its creditors, or if Lessee fails to observe, keep, or perform any other
provision of this Lease required to be observed, kept or performed by the Lessee, and if Lessee fails to cure
such default within ten days following written notice of such default by Lessor to Lessee, Lessor shall have the
right to any or all of the following remedies:
A. To tenrtinate this Lease and Lessee's rights under this Lease as to all items of property.
B. To declare the unpaid balance of the lease as of the date of default, as well as any other then unpaid
amounts due or to become due to Lessor from Lessee under the Lease, immediately due and payable,
in which event Lessor shall be entitled to the amount thereof, together with interest at the highest legal
rate per month permitted by applicable law, from the date of default to the date of payment. It is
acknowledged by Lessee that the Equipment leased hereunder has been specially ordered and acquired
by Lessor for Lessee hereunder, and that tl~e Equipment will have no determinable lease value for lease
to parties other than Lessee. [t is therefore agreed between the Parties hereto, that the portion of the
amount due to Lessor under this Sub-paragraph following a default by Lessee which constitutes the
unpaid balance of lease payments to the date of Lessee's default, and all unpaid lease payments and
other amounts due or to become due to Lessor under this Lease from and after the date of Lessee's
default to the end of the term of this Lease if Lessee had not defaulted, are liquidated damages.
C. To enter on to the premises whereon the Equipment is located without breach ofthe peace and without
notice, court order or other process of law, and take possession of and remove the Equipment, without
being considered a trespasser. Repossession of the Equipment under this subparagraph shall not
constitute a termination of the Lease unless the Lessor expressly so notifies the Lessee in writing.
D. To pursue any other remedy at law or in equity. Notwithstanding any said repossession or any other
action which the Lessor may take, unless Lessor declares the Lease terminated, the Lessee shall be and
remain liable for the fill( performance of all obligations to be performed by the Lessee under the Lease.
All such remedies are cumulative to the extent permitted by law, and may be exercised concurrently or
separately. The exercise of one or more remedies shall not be deemed to preclude the exercise of any
other remedy.
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StiP~ KTC'+ <TRS LEASEi l u/~7ing
3.0~ Government Agency Funding, Income Tax Indemnity, and Transferability
A. This paragraph in its entirety is applicable only to customers which are part of a state government or
political subdivision.
B. Funding: The customer state that it is its intent to make all installment payments required to be made under
this Agreement. However, in the event, through no action initiated by the Customer, its legislative body
does not appropriate funds for the continuation of the Agreement for any fiscal year after the first fiscal
year and it has no funds to continue this Agreement from other sources. This Agreement may be
terminated. To effect the termination of this Agreement, the Customer shall, thirty days prior to the
beginning of the fiscal year for which its legislative body does not appropriate funds, send Kerrville
Telephone Business Systems written notice stating that its legislative body failed to appropriate funds.
Such notice shall be accompanied by the payment of all sums then owed Kerrville Telephone Business
Systems under this Agreement and the Customer shall return to Kerrville Telephone Business Systems at
the Customer's expense, the Equipment in good condition to a location designated by Kerrville Telephone
Business Systems. The Customer agrees to pay for all usage made on the equipment prior to its removal.
Thereupon, the Customer will be released from its obligations to make all further lease payments to
Kerrville Telephone Business Systems. In addition, the Customer must certify in the foregoing notice that
the canceled equipment is not being replaced by equipment performing functions similar to those
performed by the equipment during the next ensuing fiscal year. Prior to electing to return the equipment
to Kerrville Telephone Business Systems, the Customer shall make a reasonable effort to find a viable
assignee within the Customer''s general organization that can continue this Agreement, and advise Kerrville
Telephone Business Systems of the results so that Kerrville Telephone Business Systems may process the
necessary documents if the Customer is successful in finding such an assignee. In the vent the Customer
must return any equipment pursuant to the terms ofthis paragraph, Kerrville Telephone Business Systems
shall retain all sums paid under this Agreement by the Customer.
3.06 Offset
The Lessee agrees to pay the rent, and other amounts hereunder regardless of any claim, defense, or offset
which may be asserted by the Lessee or on its behalf.
3.07 No Waiver
Any failure or delay or forbearance on the part of Lessor to exercise any remedy, privilege or right under this
Lease shall not operate as a waiver of Lessor's right to exercise any such right or remedy hereunder, but to the
contrary, all such rights, remedies and privileges shall continue in effect as if no failure, delay or forbearance
had occurred. Acceptance by Lessor of rent or other payment made by Lessee after default and notice shall not
be deemed a waiver of Lessor's rights and remedies arising from Lessee's default. No covenant or condition of
this Lease may be waived except in writing by Lessor, and such written waiver of any term ofthis Lease shall be
affective only in the specific instance and for the specific purpose given.
ARTICLE 4. USE AND MAINTENANCE OF EQUIPMENT
4.01 Right to Use
Unless the Equipment is repossessed by Lessor during the term of the Lease as hereinbefore provided in
Paragraph 3.04(C) , Lessee shall have the exclusive right to use, operation and possession of the Equipment.
4.02 Lawful Use
Lessee shall use the Equipment in a careful and proper manner, and agrees not to permit the Equipment to be
operated or used in violation of any applicable federal, state or local statute, law, ordinances, rule or regulation.
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iSPIKTCiK7B5 LEASE/10197~n¢
4.03 Business Use
Lessee represents and warrants to Lessor as a part of the consideration here for, that the leased equipment will
be used for commercial or business purposes only.
4.04 Location of the Equipment
Lessee agrees that the Equipment shall not be moved or removed from the location where initially installed as
set out on Exhibit A, by Lessor without the express written consent of Lessor.
4.0~ Free Maintenance Period
Lessor agrees to maintain the Equipment in good working order at the manufacturer's specified levels of
performance, except for malfunctions resulting from non-covered events set out below, free of charge (parts,
labor, taxes and miscellaneous charges included) for the "Free Maintenance Period" set out in Exhibit A.
Repairs necessitated by non-covered events will be at Lessee's expense at Lessor's then prevailing rates for
labor and parts, plus applicable taxes and shipping charges. Lessor will notify Lessee of Lessor's intent to
charge Lessee for any non-covered repairs prior to beginning any such repairs.
Non-covered events are equipment failures resulting from:
A. Misuse or abuse;
B. Negligence of any person other than KTBS personnel;
C. Accident;
D. Theft or unexplained loss;
E. Connection to electrical current or excess electrical current or electrical power;
F. Fire, water, wind or Acts of God; and
G. [mproper wiring, installation or repair, or report or alteration by any persons other than KTBS
employees.
4.06 Maintenance Charge
After the end of the Free Maintenance Period, Lessor shall maintain the Equipment at its then prevailing rates
for labor and parts, plus applicable taxes and shipping.
4.07 No Other Maintenance
During the term of this Lease and any extensions thereof, including any period between the end of the Free
Maintenance Period and the end of the term of this Lease, Lessee shall not permit any person other than
Lessor's authorized service personnel to perform any maintenance on or adjustment to the Equipment.
4.08 Requests for Maintenance
Lessee shall notify Lessor of any equipment failure or malfunction, and if such failure is the result or apparent
result of anon-covered event known to Lessee, Lessee shall also report such non-covered to Lessor.
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`iS"rK~GKTBS LEAS6r I U/~?; nq
ARTICLE 5. INSPECTION/NOTICE OF ATTACHMENT
x.01 Inspection
Lessor shall have the right at any and all reasonable times during Lessee's normal business hours, to enter onto
the premises where the Equipment maybe located for the purpose of inspecting the same and observing its use.
x.02 Notice of Attachment
Lessee shall give written notice to Lessor in writing of any attachment, levy, or other legal process or any
attempt to do so as soon as possible after Lessee becomes aware of such action, but not later than the next
business day following the day Lessee became aware of such action.
ARTICLE 6. ALTERATIONS
The Lessee shall not without prior written consent of the Lessor make any alterations, additions or
improvements to the equipment. All additions and improvements of whatsoever kind or nature made to the
equipment shall be considered part of the Equipment on the termination of the Lease.
ARTICLE 7. LOSS AND DAMAGES
7.0 I Risk of Loss
Except as may be specifically provided hereinafter to the contrary, Lessee hereby assumes and shall bear the
entire risk of loss and damage to the equipment from any and every cause from the time any such equipment is
del ivered to Lessee's premises, whether or not instal led by Lessor at the time of any such loss, including without
limitation, risk of all damages to the Equipment arising from misuse or negligent use or operation of the
Equipment by Lessee, its agents or employees, and Lessee shall indemnify Lessor against all such loss or
damage to the equipment during the term of the lease or any extensions thereof.
7.02 Lessee's Obligations Following Loss or Damage
In the event of loss or damage of any kind to any item of equipment, the Lessee, at the option of the Lessor
shall:
A. Place the same in good repair, condition, and working order; or
B. Replace the same with like equipment in good repair, condition, and working order;
C. Pay to Lessor the replacement cost thereof.
ARTICLE 8. SURRENDER ON TERMINATION
8.01 Unless Lessee exercises its options, if any, to retain the property at the end of the term of this lease as set out in
Exhibit A, on the expiration ofthe term of this Lease, or upon earlier termination ofthis Lease ifpermitted by or
in accordance with the terms hereof, with respect to each item of leased equipment, the Lessee shall return the
same to the Lessor in good repair, condition, and working order (ordinary wear and tear resulting from proper
use thereof excepted) in the following manner as may be specified by the Lessor:
A. By delivering each such item of equipment at the Lessee's cost and expense to such place as the Lessor
shall specify within Kerr County, Texas; or
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B. By loading the item of equipment at the Lessee's cost and expense on board such carrier as the Lessor
shall specify and shipping the same, freight collect, to the destination in Kerr County, Texas, specified
by the Lessor.
ARTICLE 9. INSURANCE AND TAXES
9.01 Insurance
During the term of the Lease, the Lessee shall keep the equipment insured against all risks of loss or damage
from every cause whatsoever for not Less than the full replacement value thereof as determined by the Lessor.
The Lessee shall carry public liability and property damage insurance covering the equipment. All said
insurance shall be in the form and amount and with companies approved by the Lessor, and shall name Lessor
as an additional named insured. The Lessee shall pay the premiums therefore and shall deliver said policies, or
duplicates thereof, to the Lessor. Each insurer shall agree by endorsement on the policy issued by it or by
independent instrument furnished to the Lessor, that it will give the Lessor thirty days written notice before the
policy in question shall be altered or canceled. The proceeds of such insurance, at the option of the Lessor,
shall be applied toward the replacement, restoration, or repair of the equipment.
9.02 Liens and Taxes
The Lessee shall keep the equipment free and clear of all levies, liens, and encumbrances and shall pay all
license fees, registration fees, assessments, charges, and taxes which may now or hereafter be imposed on the
leasing, renting, sale, possession, or use of the equipment, excluding, however, all taxes on or measured by the
Lessor's income, or ad valorem taxes levied by reason of ownership of the equipment.
9.03 Lessor's Payment
In the case of failure of the Lessee to procure or maintain said insurance or to pay said fees, assessments,
charges, and taxes as hereinbefore specified, the Lessor shall have the right, but shall not be obligated, to obtain
such insurance, or pay such fees, assessments, charges, and/or taxes, as the case may be. In such event, the cost
thereof shall be repayable to the Lessor by Lessee with the next lease payment, and failure to repay the same
shall carry with it the same consequences as failure to pay any monthly lease or other payment due hereunder.
ARTICLE 10. PERSONAL PROPERTY
This equipment is, and shalt at all times be and remain, personal property, nonvithstandingthct the equipment or
a part thereof may now be, or hereafter become, in any manner affixed or attached to, or embedded in, or
permanently resting on, real property or any building thereon, or attached in any manner to that which is
permanent as by means of cement, plaster, nails, bolts, screws, or otherwise.
ARTICLE 11. OWNERSHIP
The equipment is, and shall at all times be and remain the sole and exclusive property ofthe Lessor. The Lessee
shall have no right, title, or interest therein, except as expressly set forth in the Lease.
ARTICLE 12. ASSIGNMENT
12.01 Non-Assignability by Lessee
Without prior written consent of the Lessor, the Lessee shall not:
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ti ~P~ Y"TC/K-BS LEASH, I oi97/n¢
A. Assign, transfer, pledge, or hypothecate this Lease, the equipment or any part of it, or any interest in it;
or
B. Sublet or lend the equipment or any part of it, or permit the equipment or any part of it to be used by
anyone other than the Lessee or the Lessee's employees.
Consent by the Lessor to any of these prohibited acts applies only in the given instance, and is not a consent to
any subsequent like act by the Lessee or any other person. Lessor's consent to these prohibited acts shall not be
unreasonably withheld.
12.02 Lessor's Assignment
All rights of the Lessor under this Lease may be assigned, pledged, mortgaged, transferred, or otherwise
disposed of, either in whole or in part, without notice to the Lessee_ if the Lessor assigns this Lease or the
rentals due or to become due hereunder or any other interest herein, whether as security for any of its
indebtedness or otherwise, the same shall not constitute a breach or default by the Lessor hereunder or pursuant
to any provision hereunder. Any assignee of Lessor shall be obligated to perform any duty, covenant, or
condition required to be performed by the Lessor under the terms of this Lease, and shall have all of the rights,
powers, privileges and remedies of Lessor set forth in this Lease. In the event of assignment, Lessee shall be
obligated to the Assignee following written notice of such assignment as if Assignee were the Lessor hereunder.
ARTICLE 13. INDEMNITY
The Lessee shall indemnify the Lessor and its employees, shareholders, officers, directors and agents against,
and shall hold them harmless from any and all claims, actions, suits, proceedings, cost, expenses, damages, and
liabilities to third parties, including attorney's fees, claimed by or on behalf of any third party, either directly or
indirectly, including without limitation Lessee's employees, agents, licensees or invitees, arising out of,
connected with, or resulting from the use or possession of the Equipment. Statues of the State of Texas, which
directly limit indemnity of State entities shall apply to State Agencies.
ARTICLE 14. WARRANTY
14.01 Warranty
Lessor warrants title to the Equipment, and for a period of five (5) years from the date of this lease agreement
warrants such Equipment to be merchantable, and free of defects in workmanship and material. Lessor also
warrants for a period of five (5) years from the date of installation that the installation of Equipment is
conducted in a professional manner using good installation practices, is free of defects in workmanship and that
the Equipment is in good working order on the date of installation. Lessor shall, in accordance with the terms of
this Lease, make all necessary adjustments, repairs or replacements necessary to bring the Equipment into
conformance with this Warranty, which shall be Lessor's sole obligation hereunder with respect to such non-
conformance.
14.02 No Other Warranty
THE WARRANTY EXPRESSED IN PARAGRAPH 14.01 ABOVE IS IN LIEU OF ALL OTHER
WARRANTIES, EITHER EXPRESSED OR IMPLIED, INCLUDING BUT NOT L[MITED TO IMPLIED
WARRANTIES OF MERCHANTABILITY AND FITNESS FOR ANY PARTICULAR PURPOSE OR USE.
ALL SUCH WARRANTIES ARE HEREBY SPECIFICALLY DISCLAIMED. THE WARRANTY
EXPRESSED CONSTITUTES THE ONLY WARRANTY OF LESSOR WITH RESPECT TO THE
EQUIPMENT AND OF ANY AND ALL LIABILITIES ON THE PART OF LESSOR FOR DAMAGES
INCLUDING BUT NOT LIMITED TO, CONSEQUENTIAL DAMAGES ARISING OUT OF OR IN
CONNECTION WITH THE PERFORMANCE OF THE EQUIPMENT.
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14.0 No Consequential Damages
LESSOR, ITS OFFICERS, SHAREHOLDERS, DIRECTORS, EMPLOYEES OR AGENTS SHALL NOT BE
LIABLE, WHETHER IN CONTRACT OR IN TORT OR ANY OTHER LEGAL THEORY, FOR ANY
SPECIAL, INCIDENTAL OR CONSEQUENTIAL DAMAGES OR FOR LOSS, DAMAGE OR EXPENSE
OR FOR PERSONAL INJURY OR LOSS OR DESTRUCTION OF OTHER PROPERTY DIRECTLY OR
INDIRECTLY ARISING FROM BUYER'S USE OF OR INABILITY TO USE THE EQUIPMENT, OR
FROM A FAILURE OF THE SYSTEM FROM WHATEVER CAUSE, OR FROM ANY OTHER CAUSE.
LESSOR'S LIAB[LITY SHALL BE LIMITED TO THE REPAIR OR REPLACEMENT OF DEFECTIVE
PARTS, AS SET OUT ABOVE, AND IN ALL EVENTS SHALL CEASE AND TERMINATE AT THE
EXPIRATION OF FIVE (5) YEARS FROM INSTALLATION DATE.
14.04 Notification and Compliance
Ifwithin the warranty periods set out above in Paragraph 14.01 above, Lessee discovers that any item was not as
warranted, Lessee shall notify the Lessor thereof.
14.05 Expiration Date
The warranties expressed in Paragraph 14.01 shall cease and no warranties of any kind with respect to the
Equipment, shall exist after five (5) years following the installation of the equipment.
14.06 Force Majeure
Lessor shall not, under any circumstances be liable for damage or loss resulting from Acts of God, acts of
governmental bodies or agencies, or for the fault, negligence, or wrongful acts of the Lessee, Lessee's
employees, or Lessee's agents, licensees, invitees, contractors or suppliers.
ARTICLE 15. GENERAL PROVISIONS
15.01 Parties' Expenses
The Lessee shall pay the Lessor all reasonable costs and expenses, including reasonable attorney's fees, incurred
by the Lessor in exercising any of its rights or remedies hereunder or enforcing any of the teens, conditions, or
provision hereof due to Lessee's breach.
15.02 Concurrent Remedies
No right or remedy herein conferred on or reserved to the Lessor is exclusive of any other right or remedy
herein or by law or equity provided or permitted; but each shall be cumulative of every other right or remedy
given hereunder or now or hereafter existing at law or in equity or by statue or otherwise, and maybe enforced
concurrently therewith or from time to time.
1 x.03 Nonwaiver
No covenant or condition of this Lease may be waived except by written consent of the Lessor and Lessee.
Forbearance or indulgence by the Lessor in any regard whatsoever shall not constitute a waiver ofthe covenant
or condition to be performed by the Lessee to which the same may apply, and until complete performance by the
Lessee of any covenant or condition, the Lessor shall be entitled to invoke any remedy available to the Lessor
under this Lease or by law or in equity despite said forbearance or indulgence.
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SSP~'KTCiKTBS LEASEJIN97/ng
15.04 Entire Agreement
This Lease constitutes the entire agreement between the Lessor and Lessee and supersedes any prior
understanding or written or oral agreements between the parties respecting the within subject matter. It shall not
be amended, altered, or changed except by a written agreement signed by the parties hereto.
15.0 Gender; Number
Whenever the context of this Lease requires, the masculine gender includes the feminine or neuter and the
singular number includes the plural. Whenever the word "Lessor" is used herein, it shall include all assignees of
the Lessor. If there is more than one Lessee named in this Lease, the liability of each shall be joint and several.
x.06 Time
Time is of the essence in this Lease and in each and all of it provisions.
15.07 Texas Law to Apply
This Lease shall be construed under and in accordance with the laws of the State of Texas and all obligations of
the Parties are performable in Kerr County, Texas.
15.08 Parties Bound
This Lease shall be binding upon and inure to the benefit of the parties hereto and their respective heirs,
executors, administrators, legal representatives, successors and assigns where permitted by this Lease.
15.09 Legal Construction
If any one or more of the provisions contained in the Lease shall for any reason be held to be invalid, illegal, or
unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect any other provisions
thereof and this Lease shall be construed as if such invalid, illegal, or unenforceable provision had never been
contained herein.
1 x.10 Prior Orders
The terms and conditions of this Lease shall prevail not- withstanding any variance with the terms and
conditions of any purchase order submitted by the Lessee.
15.1 1 Government Contracts
The Lessor will comply with all provisions required to be inserted in the Lessee's purchase orders in
accordance with the terms of any applicable Federal Statue, ONLY IF LESSOR SO INDICATES BY
EXECUTING A GOVERNMENT CONTRACT ADDENDUM AND ATTACHING IT HERETO.
l 5.12 Patent Infringement
The Lessee shall hold the Lessor harmless against any expense or loss resulting from infringement ofpatents or
trademarks arising form Lessee's independent acts, or from compliance with the Lessee's requested design or
specifications or instructions.
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SSP/KTGKTBS LEASE/10l97ing
15.13 Notices
Any notice to a party pursuant to this Agreement shall be in writing and, if mailed, postage prepaid and
addressed as provided herein, shall be deemed to be received by the addressee no later than the third day after
the notice is deposited with the U.S. Postal Service from a location inside the State of Texas. The proper
addresses for the parties are as follows:
Lessor: Lessee:
Kerrville Telephone Business Systems
P. O. Box 290130
Kerrville, Texas 78029-0130
or such other address as either party shall give in writing to the other.
Agreed to this 8th day of October, 2003.
LESSOR:
Kerrville Telephone Business Systems
By
J. R. Hart -Vice President Business Systems
Kerr County
4010 San Antonio Hwy
Kerrville, Texas 78028
LESSEE:
Kerr County
By
SSP~'KTC/KTBS LEASE; 10/97/ng
EXHIB[T "A"
to
TELECOMMUNICATIONS EQUIPMENT LEASE AGREEMENT
Initial if this is an Amended Exhibit A.
Date of Amendment
LEASE NO: 0333-1082
CUSTOMER: Kerr County Road & Bridge
ADDRESS: 4010 San Antonio Hwy
Kerrville, Texas 78028
LIST OF LEASED EQUIPMENT (LEASE PARAGRAPH I.01):
1 - Norstar ICS 4X8 Control Unit w/R1 Software
6 - M7310 Feature Telephones
1 - StarTalk Flash Voice Mai( System - 2 Port
1 - APC BK450 Uninterruptible Power Supply
TERM OF LEASE (LEASE PARAGRAPH 2.01):
60 Months
Beginning October 8, 2003 ending October 8, 2008 .
RECURRING MONTHLY PAYMENTS (LEASE PARAGRAPH 3.01):
MONTHLY LEASE PAYMENT (excluding tax): $ 80.00
APPLICABLE TAXES
$ N/A
TOTAL MONTHLY LEASE PAYMENT $ 80.00
ADVANCE PAYMENT REQUIRED (LEASE PARAGRAPH 3.02):
FIRST AND LAST MONTHS PAYMENT IN
ADVANCE, EXCLUDING TAX $ N/A
APPLICABLE TAXES: $ N/A
TOTAL DUE IN ADVANCE: $ N/A
SECURITY DEPOSIT (LEASE PARAGRAPH 3.03): NONE
SSP~'KTC/KTBS LEASEJIOl97/ng
LESSEE'S OPTIONS AT END OF PRIMARY TERM (LEASE PARAGRAPH 2.01):
Continue the lease on a month to month basis at the monthly lease rate in effect at the end of the
Primary Term of this lease, as referenced in Article 2 of this Lease Agreement.
2. Surrender the Equipment as provided in Article 8 of this Lease Agreement.
Purchase the Equipment in place and as is for the sum of One Dollar ($1.00).
EQUIPMENT LOCATION (LEASE PARAGRAPH 4.04):
l00 Spur 100 ! Kerrville, Texas 78028
FREE MAINTENANCE PERIOD (LEASE PARAGRAPH 4.05):
60 months from the commencement of this lease, but in no event extending beyond the termination of
the lease, no matter how occasional.