City of Homer

Port / Harbor                                                Telephone        (907) 235-3160

4350 Homer Spit Road                        Fax                  (907) 235-3152

Homer, Alaska 99603-8005                E-mail             Port@ci.homer.ak.us

                                                            Web Site          http://port.ci.homer.ak.us


 

 

MEMORANDUM 05-187

 

 

TO:                              Homer City Council

 

THROUGH:                Walt Wrede, City Manager

 

FROM:                        Port and Harbor Advisory Commission

 

DATE:                                    November 17, 2005

 

SUBJECT:                 City of Homer Lease Policy

 

 

Background

 

Nine parcels of City owned land located on the Homer Spit were offered for lease by sealed bid in January, 2005.  A single bid was received on one parcel.  A lease agreement has not yet been reached on that parcel.

 

The Port and Harbor Advisory Commission has discussed City of Homer Lease Policy as an agenda item during the last several meetings.  Public testimony was received from current lease holders, potential lease holders, key government officials and other interested individuals.  Input has also been solicited from financial institutions, other Alaska Municipalities and other leasing agencies.

 

The goal was to provide input to the Homer City Council regarding possible changes to lease policy or procedure that might facilitate long term leasing of City-owned Homer Spit land.

 

Among the topics discussed were:

 

            1.         Use restrictions on individual parcels Chapter 3, page 5 *

            2.         Amortization (liquidation of debt by installment payment) Chapter 11.2.A, page                                  14

            3.         Length of leases/renewals Chapter 11, pages 14 and 15

            4.         Rate adjustments Chapter 12, page 16

            5.         Sub-lease restriction Chapter 13, page 17

            6.         Ownership of improvements Chapter 18, page 24

 

 

 

 

 

 

 

 

 

Additional suggestions included:

 

            7.         More extensive advertising

            8.         Developing overslope design parameters

            9.         Establishing a lease schedule Chapter 3, page 5, Chapter 4, page 6

           

            *           Page references refer to City of Homer, Property Management Policy and                                          Procedures Manual

 

 

It was the consensus of the Commission that Lease Policy as written provided adequate consideration of items 1 though 6 above and did not represent a barrier to long term leasing of City owned Homer Spit land.

 

The Port and Harbor Advisory Commission strongly recommended more extensive advertising associated with future RFPs.  The Commission also recognized the importance of developing overslope design parameters with the goal of moving future commercial development off of the uplands and onto overslope boardwalk where appropriate.

 

The Port and Harbor Advisory Commission passed the following specific recommendations to the Homer City Council:

 

            STRYDOM/ULMER – MOVED TO RECOMMEND TO THE CITY COUNCIL THAT    THEY RENEW RFP’S FOR PORT AND HARBOR LOTS THAT HAVE NOT RECEIVED       BIDS THREE TIMES PER YEAR EVERY 90 DAYS.

 

            There was no additional discussion.

 

            VOTE:  YES.  NON OBJECTION.  UNANIMOUS CONSENT.

 

            Motion carried.

 

Recommendations

 

            Please consider the following recommendation to the Lease Committee regarding future    RFP’s for lease of Homer Spit lands:

                        1)         Advertise locally, regionally and in the Pacific Northwest.

                        2)         Facilitate the development of overslope design parameters.

                        3)         Develop a RFP lease schedule of more frequent duration, i.e. every 90                                               days

 

 

 

 

 

 

 

 

Fiscal Note: Some additional advertising costs