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Agenda 01/27/2026 Item #16B 8 (Temporary Farm Lease Extension with Meloy Hay Company, Inc., for property located at Williams Reserve in Immokalee)1/27/2026 Item # 16.B.8 ID# 2025-5121 Executive Summary Recommendation to approve the Temporary Farm Lease Extension with Meloy Hay Company, Inc., for property located at Williams Reserve in Immokalee, and authorize the Chair to execute the extension on behalf of the County to allow continued operations pending development of a standard form lease. OBJECTIVE: To obtain Board approval of a temporary extension of an existing agricultural lease at the Williams Reserve property to allow continued operations. CONSIDERATIONS: The subject lease is one of several agricultural leases that the County assumed by assignment upon acquiring the Williams Reserve property. The lease term is nearing expiration, and a short-term extension is proposed to maintain continuity of operations while the assigned leases are evaluated, and a determination is made as to an appropriate long-term leasing strategy. This extension is administrative in nature and does not commit the County to a long-term renewal. As background, on September 18, 2025, the County acquired ownership of the Williams Reserve property in Immokalee and, in connection with that acquisition, assumed several existing agricultural leases through an Assignment and Assumption of Leases. The lease with Meloy Hay Company, Inc. is one of the leases acquired by assignment and is scheduled to expire on January 31, 2026. As part of the County’s ongoing management of Williams Reserve, Real Property is reviewing the existing agricultural leases to determine whether each should be renewed, modified, or replaced with a new lease agreement. Real Property is coordinating with Facilities on this effort, including their consultant support, to identify best management practices for incorporation into a standardized agricultural lease form. This review is intended to ensure alignment with County standards and operational needs while developing a consistent lease framework that incorporates updated provisions and best management practices. The proposed extension is intended to provide sufficient time for this review process while preserving the existing lease framework. The extension maintains the existing lease terms and incorporates updated insurance and indemnification provisions, with all other terms of the original lease remaining in full force and effect. If approved, the proposed extension would extend the current lease for Meloy Hay on the Immokalee Drive Fields 6C, 10, and 1 (near the New Barn) through April 30, 2026, followed by automatic month-to-month extensions on a temporary basis while a standardized lease form is being developed. Any long-term lease renewals or new lease agreements resulting from the County’s review will be brought to the Board of County Commissioners for consideration at a future meeting and shall be subject to approval by the Board in its sole discretion. The remaining agricultural leases located at the Williams Reserve property are not included in this lease extension request. Of those leases, three expire in June 2026, with the remaining lease expiring in 2028. In some cases, a lease may not be recommended for renewal if the use is determined to be incompatible with County operations. Rent under the proposed extension will continue to be paid in the same manner as under the existing agreement. Rent is satisfied through a combination of in-kind services and per-bale payments. The Tenant will wrap up to 200 rolls annually exclusively for the Landlord at a rate of $30 per roll, payable upon the Landlord’s request. In addition, the Tenant will remit per-bale payments at the time of baling in the amount of $10 per round bale and $0.85 per square bale. These rates include storage fees associated with use of the Williams Barn. The Tenant will notify the Landlord within 30 days of baling and provide a bale count with the associated rent payment, which will be verified by the Landlord or the Landlord’s designee. No rent payments have been made since the conveyance of the property, and no rent was prorated at closing. Real Property was advised that harvesting typically occurs two to three times per year; however, this is not specified in the lease agreement. The most recent harvest occurred in August. In October, the Tenant indicated that the property required drier conditions before harvesting could proceed. Communication with the Tenant has been ongoing throughout this period, and the Tenant has advised Real Property that harvesting began on December 31, 2025, and is expected to be completed by January 14th, 2026. The Tenant notified Real Property that a rent check in the amount of $7,335 is being mailed. The breakdown includes 1,500 square bales at $0.85 per square bale, totaling $1,275, and 606 round bales at $10 Page 1392 of 5261 1/27/2026 Item # 16.B.8 ID# 2025-5121 per round bale, totaling $6,060. This item is consistent with the Collier County strategic plan objective to implement prudent and inclusive policy development through effective planning for transportation, land use, and growth management. FISCAL IMPACT: There is no additional fiscal impact associated with approval of this temporary lease extension. Rent and other financial terms remain unchanged during the extension period. GROWTH MANAGEMENT IMPACT: There is no growth management impact associated with the approval of this item. The extension allows continued agricultural use of the property consistent with its existing use. LEGAL CONSIDERATIONS: This item is approved as to form and legality and requires a majority vote for approval. -SAA RECOMMENDATION(S): To approve the Temporary Farm Lease Extension with Meloy Hay Company, Inc., for property located at Williams Reserve in Immokalee, and authorize the Chair to execute the extension on behalf of the County to allow continued operations pending development of a standard form lease. PREPARED BY: Jennifer A. Belpedio, Manager, Real Property Management, Operations & Performance Management Division ATTACHMENTS: 1. TEMPORARY FARM LEASE EXTENSION ADDENDUM 2. Meloy Lease 1 (2-1-23 thru 1-31-2026) 3. Williams Reserve Lease Map Page 1393 of 5261 Page 1394 of 5261 Page 1395 of 5261 Page 1396 of 5261 Page 1397 of 5261 Page 1398 of 5261 Page 1399 of 5261 Page 1400 of 5261 Page 1401 of 5261 Page 1402 of 5261 Page 1403 of 5261 Page 1404 of 5261 Page 1405 of 5261 Page 1406 of 5261 LEASE AGREEMENT This Agreement is made by and between: Landlord/Lessor James E. Williams Trust and Williams Farms of Immokalee Inc. Tenant/Lessee MELOY HAY CO. INC The Landlord hereby agrees to lease the property located in: 25 acres on Lake Trafford Road, all as shown on an map of the Land attached hereto as Exhibit "A" The lease period shall be for up to 5 years from the date of execution, subject to termination by the Landlord at Landlord's option. TERM AND CONDITIONS 1)Use of Property The Property leased shall only be used for agricultural purposes. 2)Compensation The Tenant agrees to prepare the land for hay in exchange for rent. Any hay stored in Williams Farm's barn will be payable to Landlord at $2.00 per round bale/$0. l O per square bale due upon storage. 3)Early Termination Landlord agrees to compensate Tenant in the event of early termination of this agreement at the following rate: •Within 12 months -Landlord will compensate Tenant 100% of Tenant's costs •Within 24 months -Landlord will compensate Tenant 75% of Tenant's costs •Within 36 months -Landlord will compensate Tenant 50% of Tenant's costs •Within 48 months -Landlord will compensate Tenant 25% of Tenant's costs •Costs are defined as receipts for payments attributable to the leased land not to exceed the estimate of $500 per acre. 4)Insurance Without limiting Lessee's indemnification, Lessee shall procure and maintain for the duration of the Lease insurance against claims for injuries to persons or damages to property that may arise from or in connection with the use of the Premises hereunder by Lessee, his agents, representatives or employees. Landlord shall retain the right at any time to review the coverage, form, and amount of the insurance required hereby. If in the opinion of Landlord the insurance provisions in these requirements do not provide adequate protection for Landlord, Landlord may require Lessee to obtain insurance sufficient in coverage, form and amount to provide adequate protection. Landlord's requirements shall be reasonable but shall be imposed to assure protection from and against the kind and extent of risks that exist at the time a change in insurance is required. Page 1407 of 5261 •Verification of Coverage Lessee shall furnish the Landlord with certificates evidencing coverage required below at the beginning of the lease period. Copies of required endorsements must be attached to provided certificates. All certificates or evidences of self-insurance are to be received and approved by the Landlord before performance commences. •Minimum Scope of Insurance a)Lessee shall maintain property damage and public liability insurance covering the Leased Premises. Liability insurance coverage shall be not less than One Million Dollars ($1,000,000) combined single limit per occurrence for injury or property damage. Lessee shall name the Landlord, its officers, directors, agents, employees and volunteers as additional insureds on Lessee's liability insurance policy and such policy shall be endorsed to show that Lessee's liability insurance policy is primary and non-contributory and waiver of subrogation in favor of the landlord b)Lessee is required by this Lease Agreement to immediately notify Landlord if they receive a communication from their insurance carrier or agent that any required insurance is to be canceled, non-renewed, reduced in scope or limits or otherwise materially changed. Failure to maintain required insurance in force shall be considered a material breach of the Lease Agreement. •Other Insurance Provisions The insurance policies required in this Lease Agreement are to contain, or be endorsed to contain, as applicable, the following provisions: ADDITIONAL INSURED STATUS: The Landlord (James E. Williams Trust and Williams Farms oflmmokalee Inc.) is to be endorsed as additional insured as respects: liability arising out of activities performed by or on behalf of the Lessee; products and completed operations of the Lessee; premises owned, occupied or used by the Lessee; or automobiles owned, leased, hired or borrowed by the Lessee. •Required* SUPPLEMENTAL INSURANCE: If the tenant engages in farming operation(s) that works with or uses a material, produces a product or waste, considered to be "hazardous" under and local, state or federal law / regulation, (which includes but is not limited to: fuels, petroleum products, crop protection chemicals, known carcinogenic materials, volatile chemicals and biological contaminants) they will be required to carry Pollution Liability insurance coverage. The policy must cover the leased premises, fuel/chemical storage, and tenant's operations. This insurance must include sudden and gradual coverage for third-party liability including defense costs and completed operations. The coverage must be maintained during the term of the lease. •FAIL URE TO COMPLY: Any failure to comply with reporting or other provisions of the policies including breaches of warranties shall not affect coverage provided to the Landlord, its officers, directors, officials, employees, agents or volunteers. Applies to policies in which the Landlord is named as an additional insured. •SEVERABILJTY OF INTEREST: The Lessee 's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability. Applicable to General Liability and other Liability policies. �v� Page 1408 of 5261 Page 1409 of 5261 Page 1410 of 5261 Williams Preserve Lease Map &M &M &M &M &M&M &M &M &M &M &M &M &M &M &M &M &M Lake Trafford RD PropertyOffice PotentialDemo PotentialDemo Pole BarnPotentialReuse MaintenanceArea Beehives@ Divine Well 1 Well 2 Well 3 Well 4 Well 5 Well 6 Well 7 Well 9 Well 8 Well 10 Well 11 0 0.25 0.5 Miles Conservation Collier Huapilla Produce Abandoned Orange Groves Meloy Hay Lease 1 Meloy Hay Lease 2 Divine Tomatoes Lease 1 Divine Tomatoes Lease 2 with Equipment Area ® Page 1411 of 5261