HomeMy WebLinkAboutAgenda Report - January 15, 1986 (70)CITY COUNCIL MEETD G
' JANLARY 15, 1986
OIL AMID GAS LEASE
RES. 86-12 City Manager Peterson apprised the Council that the City has
been contacted by a representative of a Bakersfield -based
land services firm expressing an interest in obtaining
an oil and gas lease on -- nortion of the City -owned
property at the White Slough Water Pollution Control
Plant. The proper procedure is for the City to advertise
for bids for such a lease in accordance with the
provisions of the Public Resources Code.
State law provides that in such bidding the City may
establish a variable bidding factor. The other factors,
however many, must be fixed by the City and advertised as
such. It was recatmended that the variable bidding factor
be the percentage of the royalty to be paid to ttx,- City.
Following discussion, Council, on motion of Council Member
Olson, Reid second, adopted Resolution No. 86-12 - A
Resolution of the City Council of the City of Lodi,
- California, Declaring its Intention to Call for Bids for
a Certain Oil and Gas Lease and Making Findings in
Connection Therewith and setting forth the following
bidding factors:
1. The minimum annual rental shall be $30.00 per acre.
2. The minimum cash bonus shall be $10,000.
3. The variable bidding factor shall be the percentage
of royalty.
4. The term of the lease sha11 be for three years and for
such longer period (not to exceed 35 years) during
which oil, gas and other hydrocarbons may be produced
from said land.
The bids shall be received at the office of the City Clerk
on or before 5:00 p.m., March 19, 1986 and shall be opened
and publicly declared by the City Council at its regular
meeting of that date.
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