HomeMy WebLinkAboutAgenda Report - January 7, 1998 E-09AGENDA TITLE: White Slough Water Pollution Control Facility Lease/Leases
MEETING DATE: January 7, 1998
PREPARED BY: Public Works Director
RECOMMENDED ACTION: That the City Council authorize the City Clerk to invite proposals for
5 -year leases on the 870+ acres of agricultural property at the
White Slough Water Pollution Control Facility.
BACKGROUND INFORMATION: The City presently has two leases for agricultural property at the
White Slough Water Pollution Control Facility which terminate on
December 31, 1998. These leases are for the 218+ acres south of
the Facility and 389± acres north, west and east of the Facility.
There was also a seasonal lease on the 270 acres which is the property being considered for other
uses. The "Terms" section of the proposed leases states that the City will go to bid for the rental of
these parcels approximately one year prior to the end of the leases. This will allow the lessees to plan
their crops for the upcoming seasons. The City will be accepting individual bids on all three parcels.
This past calendar year, the leases for the agricultural land generated approximately $132,495 in
revenue for the Wastewater Fund. This would have been substantially more had we not terminated the
long-term lease for the 270 -acre parcel. This year we had a 6 -month lease for 220 acres of that land
because it wasn't economically feasible for the farmer to grow corn on the acreage that must use either
well or Delta water.
These leases, as past leases have, include a 5 -year lease with an option to renew for an additional
five years upon mutual agreement by all parties. We plan to award the leases for these parcels on
February 4, 1998.
FUNDING: Not applicable.
Jack LRonsko
Public Works Director
Prepared by Sharon Blaufus, Administrative Assistant
JLR/SB/Im
cc: Water/Wastewater Superintendent
Assistant Wastewater Treatment Superintendent
APPROVED:
H. Dig on Flynn - City Manager
Cwslease.doc � 12126/97