HomeMy WebLinkAbout10.04.1994JOINT CITY COUNCIL AIRPORT COMMISSION
October 4, 1994
3:00 p.m.
Large Conference Room
Members Present: Mayor Rooff, Scott Jordan, Joe Collier, Barb
Krizek, Frank Mollenhoff, Jerry Anders, Harold Getty, Camille
Hogan, Mal Duncan, Bob Peterson, Bob Heaton, Terry Lorenzen
Members Absent: John Murphy, Jack Swinehart
Motion by Mollenhoff, second by Krizek to approve the agenda as
proposed. Motion carried.
It was reported that the Airport Commission had been contacted by
a company that proposes to lease land from the Airport for a period
of 75 years in a manner much like the Ryan lease. This land would
be used to develop a free trade zone, which allows imported goods
to be stored at this location without applying tariffs.
Bob Heaton reported the lease committee of the Airport Commission
had reviewed the proposed lease. Items that have raised concern
are the detailed requests of the company for the Airport to provide
an updated Master Plan and a foreign trade zone study. Mr. Heaton
indicated that the Master Plan is scheduled to be updated in 1995
but the funding for the foreign trade zone study is unknown at this
time.
James Walsh, City Attorney, detailed the changes to the lease
agreement that had been agreed upon by both parties. Mr. Walsh
will update the lease draft and circulate it to members of the
Airport Commission and City Council. Mr. Walsh summarized the
agreement as an option to lease the property for 75 years. The
agreement requires that development plans be set within six months
and development of the land occur within two years. Any area that
is undeveloped at the end of the two year period is exempt from the
75 year lease.
Camille Hogan, addressed concerns about the authority of the
Airport Commission in approving sub -leases by the lessee. Jim
Walsh reviewed the proposed contract language which affords the
Airport Commission a fourteen day period of review and acceptance.
Councilperson Anders questioned the additional costs that the City
may be asked to absorb for sewer, water or road construction. Mr.
Walsh stated that none of these items have been agreed to and in
fact the agreement states that any roads constructed by the
development company will be dedicated for public use.
Motion by Bob Heaton, second by Bob Peterson that the Airport
Commission accept the concept in principle and advocate the
granting of an option to lease 174 acres at the Airport for 75
years with said option to expire in two years on terms
substantially similar to an option granted to another developer and
set the date of public hearing for the lease as October 18, 1994.
Ayes: Heaton, Hogan, Peterson, Duncan. Absent: Swinehart. Motion
carried.
Motion by Mollenhoff, seconded by Jordan that the City Council
accept the concept in principle and advocate the granting of an
option to lease 174 acres at the Airport for 75 years with said
option to expire in two years on terms substantially similar to an
option granted to another developer, and set the date of public
hearing for the lease as October 18, 1994. Ayes: Jordan, Krizek,
Anders, Getty, Mollenhoff, Collier. Absent: Murphy. Motion
carried.
Airport Commissioner Bob Heaton made the motion to adjourn,
seconded by Bob Peterson. Motion carried.
Motion by Mollenhoff, seconded by Jordan that the meeting adjourn
at 4:00 p.m. Motion carried.
Susan Fangman
City Clerk