City Council Minutes 1984 06 05 - Laserfiche WebLink

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6/5/84 Page -22- JOE COLACCI - PARKING LOTS Co~ancilmembers had a copy of the leases AUTHORIZE SIGNING OF LEASES and at the request of Councilwoman Morris Planner Lanterman clarified the following items. Rent payments - the consideration is that the City is improving the ground. We are paving it and striping it. There is no money involved, and for this they are offering 5-year leases. Regarding the taxes - once those properties are used by the City with a municipal lease we are exf~mpt from paying taxes on the property. There is a very small parcel in the RR right- of--way on Pine St. It is approximately 9' wide narrowing down to 0 and is 90' long. We are working on a lease agreement with the RR and have received preliminary approval. ThE.re could be some very small fee that thE~y would assess the City to lease this. Councilman Luce Asked what the cost to the City was for thE, paving collectively? Administrator Wurl advised the cost for the tot=al project was $45,000+, for all the sites. Councilman Luce commented so we are paying $9„000 per year to lease some parking lots which at the end of 5 years we have nothing of f_ that investment? Administrator Wurl stated that the Museum parking lot would have to come out of that category because we own that .which would be approximately $10,000. Mr.. Luce asked why there was a limitation of 5 years on the leases? Planner .Lanterman stated that none of the owners were interested in selling the proper- tiE:s and during the negotiations when we ask:ed for 15-20 years they did not want to conunit to that; consequently the 5-year lease agreements were worked out. So it seemed to be a real benefit to get the ball rolling on the downtown project. Councilman Luce concurred with the concept of the parking plan, but did have a problem with investing $45,000 for the short term of 5 years. The property owner has had hi:~ property enhanced - did we try to nego- tiate if they don't. plan wilding on those logs at the end of 5 years? Mr. Lanterman ~ stated that that is in the lease agreements that the lease can be re- newed at that time - can as opposed to would.