City of Homer

Memorandum No. _03-52__________

Date:April 9, 2003

To:      Mayor and City Council

Thru:  Walt Wrede, City Manager

From: Dean W. Baugh, Finance Director

RE:      Kachemak Port Service Lease

Attached is a lease agreement with Kachemak Port Services, Inc. and the City of Homer to lease 912 square feet of space on the second floor of the Old Port Building on the Homer Spit and 480 square feet adjacent to the north west corner of the building to construct a 16 by 20 foot facility to house a handicap accessible counter,. The lease term is from May 1, 2003 through April 30, 2005, two additional one-year renewal periods.  The lease rate is $11,556.00 per year, plus tax. This replaces the current lease which expires September 30, 2003.

RECOMMENDATION: Homer City Council approval of the attached lease agreement between the City of Homer and Kachemak Port Services, Inc.