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MINUTES <br />CITY COUNCIL <br />MAY 26, 1993 <br />that now another property owner with an empty building <br />has come along and is offering a lease at approximately <br />$200 per session. Slipy stated that that would <br />interest him if he were one of the organizations. <br />Betty Strohbeen, Lake Owasso, reported that in July <br />Lake Owasso asked for a$300 per session rent and was <br />told by Tom Short that it was $400 per session or <br />nothing. Strohbeen reported that Lake Owasso does not <br />have high expenses, and also felt that there was extra <br />square footage at the LCBH that the organizations did <br />not need. <br />Slipy reported that the no smoking room was added at <br />the request of the organizations. <br />Lois Blomberg, St. Joe's did not believe there was any <br />organization that did not want the no smoking room, and <br />felt it was a needed room. <br />Matson reported that NSYA is not mad at anyone, the <br />issue is purely economics. Matson estimated that a$50 <br />per session rent savings would result in a savings of <br />$10,400 per year for NSYA. Matson reported that NSYA <br />wants to make money and do the best job it can for its <br />organization. Matson reported that NSYA wants the best <br />deal it can get and right now that deal is with TCF. <br />Matson stated that if the numbers were close he would <br />not support the move to the Market Place, but they are <br />not and the issue is purely one of economics. <br />Blomberg pointed out that the organizations were paying <br />for the no smoking room whether they utilized it or not <br />since it was a storage room before being converted into <br />a no smoking room. <br />Tom Short pointed out that the base rent at Mover~s <br />Warehouse has not changed since 1986. <br />LaValle pointed out that if the City issued multiple <br />licenses, this would not be a problem. Aowever, the <br />City only issues one bingo hall license, therefore, the <br />market is not able to dictate the rent. With one <br />license, the charities must operate at that one bingo <br />hall no matter what rent is charged. <br />Slipy felt that the City had the obligation not to act <br />irrationally against an on-going concern that has shown <br />no evidence of price gouging of any tenants. Slipy <br />pointed out that Mover's Warehouse has been in business <br />for the past 7 years. Because another property owner <br />has an empty building, the City should not put Mover's <br />Warehouse out of business. Slipy suggested that the <br />Page 5 <br />