Title
Resolution to Approve a Lease with Ann Arbor Rowing Club for Use of Bandemer Park (8 Votes Required)
Memorandum
This memorandum and resolution requests City Council approve a lease with the Ann Arbor Rowing Club (AARC) for use of portions of Bandemer Park.
The existing lease between the City and AARC for use of Bandemer Park is set to expire, after 15 years. This updated lease clarifies and updates certain lease terms to better reflect actual practice, while retaining the general conditions of the current lease.
The AARC, a Michigan nonprofit organization, has the mission to provide and promote a safe, affordable and educational rowing experience for the residents of Ann Arbor and the surrounding area. The City supports such programming and wishes to continue the partnership and lease conditions.
The new lease is also for a period of 15 years. The longer lease term assists nonprofit organizations with fundraising should improvements to the site be desired. Agreements with LSNC and the Friends of the Ann Arbor Skatepark have similar durations.
Annual payments were arrived at per the terms of the expiring lease, that states rent shall be not less than $5,100 annually plus ½ the percentage that the Consumer Price Index shall have increased over and above the CPI as of May 1, 2001.
Rental payments will be deposited in the Bandemer Fund for the purpose of improvements and maintenance at Bandemer Park and Argo Dam. Fifty percent of payments shall be designated for Bandemer Park improvements and maintenance and fifty percent shall be for Argo Dam maintenance, over the life of the lease.
The Park Advisory Commission unanimously recommended approval of this contract at their June 20, 2017 meeting.
Staff
Prepared by: Colin Smith, Parks & Recreation Services Manager
Reviewed by: Derek Delacourt, Community Services Area Administrator
Approved by: Howard S. Lazarus, City Administrator
Body
Whereas, It is the desire of the City and the Ann Arbor Rowing Club to continue a lease arrangement for the use of Bandemer Park;
Whereas, The AARC has requested continued use of Bandemer Park;
Whereas, The City prepared a lease agreement specifying the responsibilities, obligations, rent; the terms of which AARC has accepted;
Whereas, The annual revenue is recognized in the Parks & Recreation Bandemer Fund,
Whereas, The term of the agreement shall be fifteen years; and
Whereas, The Park Advisory Commission unanimously recommended approval of these contracts at their June 20, 2017 meeting,
RESOLVED, That City Council approve the Bandemer Park Lease for use by The Ann Arbor Rowing Club; and
RESOLVED, That the Mayor and City Clerk be authorized and directed to execute the lease agreement after approval as to substance by the City Administrator and approval as to form by the City Attorney.