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HomeMy Public PortalAboutR2060 R E S O L U T I O N NO. 2060 WHEREAS, The Metropolitan St. Louis Sewer District (the "District") is empowered by Plan Section 3.020(12) to enter into contracts; and WHEREAS, the public interest is served when the District leases real property which is not presently necessary for its operation; and WHEREAS, heretofore the provisions of Resolution No. 1960, adopted December 12, 1990 governed the lease of real estate; NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF TRUSTEES OF THE METROPOLITAN ST. LOUIS SEWER DISTRICT THAT RESOLUTION NO. 1960 IS REPEALED AND THE FOLLOWING PROCEDURE IS HEREBY PRESCRIBED FOR THE LEASE OF REAL PROPERTY OWNED BY THE DISTRICT: 1. The Executive Director shall take all measures which in his judgment will result in a lease of real property not subject to an existing lease and not presently necessary for the operations of the District, which lease will be in the best interests of the District. Such measures may include, but not be limited to: 1) advertising the real property for lease by: a) placing ads in one or more newspapers; b) posting notices on the real property and at other locations where such notices are reasonably likely to inform the public of the proposed lease; and/or c) utilizing other print or electronic media resources for such purposes; and 2) negotiating in good faith with bona fide prospective lessees. In addition to the measures stated above, the Executive Director shall obtain in every instance one or more appraisals of the real property's fair market lease value from qualified appraisers or other qualified persons familiar with real estate values. 2. All real property shall be leased for any legal and legitimate purpose which is compatible with the District's contemplated future use of the property, upon such terms and conditions as are prescribed by the Executive Director. Such terms and conditions, including rental compensation, shall be in the best interests of the District; provided, however, that if authorized by separate ordinance, the Executive Director may lease real property to governmental entities, charitable and/or not-for- profit corporations and other similar entities for a nominal amount. 3. In the event the District is unable to lease any real property upon terms and conditions approved by the Executive Director within a reasonable period of time, the District may employ the services of a licensed and qualified real estate broker to obtain a lease and may pay said broker the usual and customary brokerage fee. 4. The Executive Director shall periodically advertise for lease all real property not subject to an existing lease and not presently necessary for the operation of the District. 5. The Executive Director shall review all existing leases of real property within a reasonable period of time prior to the expiration of said lease. Such review shall include examination of: 1) the physical condition of the real property, 3 including improvements, if any; 2) any substantial changes in the real property or proximate areas; and 3) any other substantial factors which may affect the fair market value of the real property. Based upon said review, the Executive Director shall either: 1) renew said lease upon the most favorable terms and conditions available to the District; 2) terminate said lease and implement those procedures enumerated in Paragraph 1 of this Resolution for a new lease of the real property; or 3) continue on a month-to-month basis with the existing lease, pending renewal or termination. 6. All leases of real property by the District shall be authorized by separate ordinance duly adopted by the Board of Trustees. 7. Unless provided otherwise by separate ordinance authorizing a lease of real property, all leases of real property of the District shall provide for the following: 1) that the District reserves the right to terminate said lease, upon proper notification to the lessee, at any time that the real property becomes necessary for the operation of the District; 2) that the tenancy shall be month-to-month or for an initial term not to exceed one (1) year; 3) that option terms, if any, shall not exceed four (4) years; and 4) that the lessee shall provide adequate liability insurance and/or indemnification as determined by the Executive Director. 4 The foregoing Resolution was adopted July 8, 1992.