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6.2 Farm Lease Agreement CITY OF SALINA REQUEST FOR CITY COMMISSION ACTION DATE 05/09/2005 TIME 4:00 P.M. AGENDA SECTION NO: ORIGINATING DEPARTMENT: APPROVED FOR AGENDA: 6 CITY ATTORNEY ITEM NO. Page 1 2 BY: Greg Bengtson BY: ITEM: Resolution No. 05-6187 A Resolution Authorizing the Mayor to Sign a Farm Lease Agreement with Quenten L. Swenson and Dennis D. Swenson for the Solid Waste Landfill Property BACKGROUND: The City's Solid Waste Landfill is located upon a section (one mile by one mile) of real estate owned by the City. Since 1977 the City has leased to Quenten L. Swenson and Dennis D. Swenson the cultivated and pasture portions of the section not currently utilized for landfill purposes. Over the years the farm lease has been extended and modified through various addenda. The proposed lease is a new, self-contained lease for a term of five years. The proposed lease makes only three relatively minor substantive changes to the current lease. First, the per acre rent for the pasture land has been slightly modified (from $15.24 to $16.00) based upon a review of current pasture rental rates in Saline County. Second, subparagraph (d) has been added to section 7 to make clear that the City or its agents can access the property for environmental testing purposes. As a practical matter, that activity has been occurring over the years without objection from the tenant. Third, the general liability coverage requirements have been modified from at least $300,000 to $500,000. FISCAL NOTE: The financial terms of the proposed lease remain essentially identical to the current lease. RECOMMENDED ACTION: Adopt Resolution No. 05-6187.