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HomeMy WebLinkAbout95Sept09 Gerry Sweet• MERIDIAN CITY COUNCIL MEETING: SEPTEMBER 19.1995 APPLICANT: GERRY SWEET ITEM NUMBER;~7~6 2 REQUEST; CONCERNS ON PROPOSED EXPANSION OF CHERRY LANE GOLF COURSE AGENCY CITY CLERK: CITY ENGINEER: CITY PLANNING DIRECTOR: CITY ATTORNEY: CITY POLICE DEPT: COMMENTS CITY FIRE DEPT: CITY BUILDING DEPT: MERIDIAN SCHOOL DISTRICT: MERIDIAN POST OFFICE: ADA COUNTY HIGHWAY DISTRICT: ADA COUNTY STREET NAME COMMITTEE: CENTRAL DISTRICT HEALTH: NAMPA MERIDIAN IRRIGATION; SETTLERS IRRIGATION: IDAHO POWER: US WEST: INTERMOUNTAIN GAS: BUREAU OF RECLAMATION: Y~ OTHER: A~. Materials presented at public meetings shall become property of the City of Meridian. ~ ~~~~~~~ S EP 1 4 1995 CITY OF MERIDIAN September 12, 1995 Mr. Will Berg City Clerk City of Meridian 77 E. Idaho Meridian, ID 83642 Dear Will: I am writing this letter to request placement on the agenda for the city council meeting scheduled for September 19, 1995. The subject of my request involves questions concerning a proposed golf course expansion at the Meridian Cherry Lane Golf Course. Please confirm with me in writing, or by phone, when you have completed your scheduling. Thank you for your time and assistance: Sincerely, Mr. GSweet 2567 NW 12th Meridian, ID 83642 887-1085 October 13, 1995 Mr. Gerry Sweet 2567 NW 12th Meridian, ID 83642 887-1085 Dear Mr. Sweet, We are submitting these answers to your questions concerning the proposed expansion of the Cherry Lane Golf Course in hope that they may help you realize the complexity of this issue. We appreciate your interest. If you have any further questions please don't hesitate to ask. Question #1: Are you satisfied with the current lease between the City of Meridian and Cherry Lane Recreation, Inc.? The $6,000 lease payment was part of the lease agreement 17 years ago when the golf course was to be completed in a two year period. No property tax funds were used for the construction of the first nine holes nor for the completion of the next nine holes of the golf course. Do you believe that the payment of $6000.00 per year, as proposed in the lease for expansion of the Cherry Lane Golf Course to 18 holes, provides a reasonable return to the taxpayers of Meridian when our neighbors in Nampa generate approximately $125,000 (appropriated $130,000 95/96 FY) per year from their 18 hole golf course? The agreements of Nampa and Meridian are totally different. You can't compare them as equal. Question #2: Where wilt this balance of money come from, and what assurances do we have that it will be available when it is needed? The balance of the budgeted amount of $520,000 is from donations. There are no assurances of what amount will be donated, but donations can come in as money, labor, or materials. The golf course will be built with whatever funds are available at the time of construction. What written contracts or guarantees do we, or will we have on the repayment schedule of the $350,000 to the Sewer ~ Water "enterprise fund". As each building permit is issued, the golf course development fee will be collected and will be applied to the principle and interest of the loan: What will happen if Cheny Lane Recreation, Inc. defaults on the repayment of the $350,000 loan? Cherry Lane Recreation, Inc. has nothing to do with the $350,000 loan. If the houses adjoining the golf course are not completed within a certain period of time, and therefore the $650 per home "late comer fee" is not collected in a timely fashion, will. the developers be required to pay off the loan? If not, where will the money come from to complete the course? The golf course development fee plus interest will be collected for every project built and be used to pay off the loan. Question #3: Is all of the land in the existing 9 hole golf course deeded to the City of Meridian? Yes Is all of the land in the proposed 9 hole. expansion deeded to the City of Meridian? ff not, where will the money come from to complete the course? No & Yes All the land for plan A concept is not deeded to the City. All of the land for plan B concept is deeded to the City. Question #4: What other so call "informal agreements" exist between Cheny Lane Recreation and the City of Meridian in addition to the informal pledge for Cherry Lane Recreation to build a new club house? None, we are currently working on formalizing the club house agreement. Is it prudent for the City of Meridian, in protecting the best interests of the Meridian taxpayers, to be involved in these "informal agreements"? There are no informal agreements. Question #5: Is there any legitimate. reason why the City of Meridian needs to rush to finalize the proposed expansion dealings, considering the fact that the current lease extends through October 2, 2003 (year 2023)? This project was started in 1978 and it should be brought to a conclusion. We don't receive any benefits until it is completed. This amenity is deemed to be positive for the City, but without the development of the golf course, the City will lose the ownership of the land. Question #6: Do you believe it~would be reasonable for the City of Meridian to explore the possibility of renegotiating the lease with Cherry Lane Recreation, when comparing the $6,000.00 per year payment received by the City. of Meridian versus the approximate $125,000 (appropriated $130,000 95/96 FY) per year received by the City of Nampa for their 18 hole golf course? Qualified yes, it is reasonable for the City to explore the possibility of renegotiating the lease. The terms of that re-negotiation would be set entirely by the lessee and subject to the City's financial capabilities to meet those terms. Question #7: What is the current status of the proposed expansion plan between the City of Meridian and Cherry Lane Recreation? Specifically, what steps have already been taken, and what is the proposed methodology and time frame proposed for completing the expansion plan? There is no expansion plan between the City of Meridian and Cherry Lane Recreation. Question #8• What will the proposed $6,000.00 per year lease payment for the 18 hole course be appropriated for by the City of Meridian if the proposed expansion is completed? By law the lease funds would be revenue in the General Fund. Each year the City Council would appropriate the funds as it sees fit, probably going to golf course improvement. ant P. Kingsford, ay Ronald R. Tolsma, City Councilman f~ ./ . Yerri ton, C~i Councilman alt W. Morrow, City Councilman