Memorandum 15-030 Wilson Stick, Inc. Proposal for Bob's Trophy Charter Lease

Memorandum 15-030

TO:                       MAYOR BETH WYTHE & HOMER CITY COUNCIL

FROM:                  PORT & HARBOR ADVISORY COMMISSION

DATE:                   MARCH 3, 2015

SUBJECT:           WILSON STICK, INC. PROPOSAL FOR BOB’STROPHY CHARTERS LEASE

Per the City of Homer’s Property Management Policies, after the Lease Committee has reviewed and made recommendations on Spit lease proposals, the Port and Harbor Advisory Commission shall supply their recommendations, along with the Lease Committee’s, to City Council.  At their meeting on February 25, 2015, the commission reviewed Wilson Stick, Inc.’s proposal for the transfer and extension of Bob’s Trophy Charter Lease.

Background

Bob’s Trophy Charters is currently in a lease with the City, which will be expiring March 31, 2018.  David Morris, owner, has voiced to the City his desire to sell his charter business to Wilson Stick, Inc. under the pretext that they are able to take over the existing lease and receive a new, long-term lease without it going out to RFP.

Wilson Stick, Inc. has provided a business plan and letter to the Port and Harbor Advisory Commission.  Below are their comments and recommendations:

“Harbormaster Hawkins commented that the original application was pretty thin and that this additional information is helpful in considering the lease.

Commissioner Zimmerman commented that he thinks it would be helpful to have something in the lease that if the city needs the property we can offer them another property to move to. It’s hard to say what will happen on that part of the spit over the next 20 years and he hates to completely tie it down.  

Relating to questions of future use in the marine industrial area by Commissioner Stockburger, Harbormaster Hawkins said the the addressed in the Comp Plan is to straighten Outer Dock Road and align it behind those leases rather than going through the middle of the camp ground. City Planner Abboud confirmed the lease property is zoned marine commercial.  He said it’s on the boundary of marine industrial and could be changed as circumstances change.

Commissioner Carroll said he thinks marine industrial could work in the area of the dredge spoils, and agrees with the idea of having language in the lease that the City could require they move to another lot, if the applicant agrees to it.  But he doesn’t want to limit business.

Commissioner Donich commented that the zoning allows for this business and doesn’t see how they could deny the lease.  If they did have a boat yard area, the lot next to it with the RV parking and the little store might be better since its back off the road.

ZIMMERMAN/STOCKBURGER MOVED THAT THE COMMISSION RECOMMENDS THIS LEASE IS ALLOWED TO BE TRANSFERRED WITH THE 20 YEARS BUT THE CAVEAT THAT SAYS THEY COULD BE MOVED IF A NEED ARISES FOR THE PROPERTY.

There was discussion that there aren’t specific ideas for what an alternate use would be for the lot, that the Comp Plan doesn’t call for a specific change, and that there aren’t any proposals for another use. 

Harbormaster Hawkins noted that they didn’t talk about whether it should go out for RFP.  He also noted that there is language in every lease that gives both parties the option to cancel the lease. It was also suggested that the lot has to be brought into compliance.

VOTE: YES: DONICH, ZIMMERMAN, ULMER, CARROLL, STOCKBURGER

Motion carried.”

Recommendation

For informational purposes