Memorandum

City of Lawrence

Utilities Department

TO:	Dave Corliss, City Manager
FROM:	Jeanette Klamm, Residuals Coordinator
CC:	Debbie Van Saun, Dave Wagner, Alan Landis, Frank Reeb, Bobbie Walthall, Diane Trybom,
Date:	March 21, 2007
RE:	Agenda Item Request  - Approval to Lease City Property for Farming (Approximately 20 acres at Pump Station 48)

Please place the following item on the City Commission agenda for consideration at the next available meeting:

Project Description. Lease of approximately 20 acres of farm ground located near Pump Station #48.

Project Description/History.  The City purchased property for the purpose of building Pump Station #48. The property has previously been used for agricultural purposes. To generate revenue as well as keep growth of weeds and brush controlled, the Utility Department intends to lease approximately 20 acres of the property to local farmers for agricultural production purposes on a year to year basis.

Project Status.  A sealed bid was conducted to receive bids from interested parties to lease the property as per the City’s lease conditions. The sealed bids were opened publicly on March 20.

Project Details.

The submitted bid prices are as follows (only one was received):

Shuck Farms

$50.00 acre

A copy of the lease agreement is currently being reviewed by Legal Services.

Project Funding.  The lease of the City’s approximately 20 acres will return approximately $1000 per year to the City.

Action Request.   Staff is recommending that the City Commission authorize the City Manager to enter into a lease agreement with Miles Shuck (Shuck Farms) for $50/acre/year payable to the City for the lease of City property.