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• <br />STAFF ORIGINATOR: <br />COUNCIL MEETING DATE: <br />TOPIC: <br />VOTE REQUIRED: <br />AGENDA ITEM NO. 5B <br />Rick DeGardner, Public Services Director <br />November 8, 2004 <br />Consideration of Resolution 04 -145, Awarding Lease <br />Agreement to Farm Property at Centerville Road and <br />Birch Street <br />Simple Majority <br />BACKGROUND: <br />Bids were received and publicly opened on October 5, 2004 at 10:00 am in the City <br />Council Chambers. The lease agreement is for a term of three years, beginning <br />January 1, 2005. Terms of the lease agreement indicated that rent would be paid in <br />three equal installments on March 1 of each year. Proof of insurance will be required <br />prior to any work being done on the property. Two bids were received as outlined <br />below: <br />• Cardinal Brothers - Three equal annual payments of $2,000 ($6,000 total) <br />Mr. Paul Montain - Three annual payments of $2,554 (2005), $2,560 (2006), $2,572 <br />(2007) ($7,686 total) <br />Mr. Hawkins has reviewed the submitted bids and has indicated that the City Council <br />has the discretion to waive the provision in the lease that states the bids are to be in <br />three equal installments. The law allows cities to accept bids with minor or minimal <br />changes to the specifications. Since Mr. Montain's annual payments are only a few <br />dollars different each year, the City Council could legally accept Mr. Montain's bid. <br />OPTIONS: <br />1. Award the bid to Mr. Montain. <br />2. Award the bid to Cardinal Brothers. <br />3. Return to staff for further review. <br />RECOMMENDATION: <br />Option 1. <br />- 2 9 - <br />11/1/04 <br />RD /Council /Lease for farming 04 -145 <br />