HomeMy WebLinkAboutAgenda Report - January 15, 1986 (88)OIL AND GAS LEASE
RFS. 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 a portion of the City -owned I
XPi 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 recommended that the variable bidding factor
be the percentage of the royalty to be paid to the 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 mininum 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 shall be for three years and for