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door, additional electrical to power engine block heaters for the buses, and an electrical sub - <br />meter to monitor electrical usage. There would be no further demise (walls or fencing) to <br />separate the spaces. Mr. Fisher stated this has been approved by the School Board and they <br />would like to start July 1 with a one -year lease. The School is willing to pay a security deposit <br />equal to one month's net rent and is offering $1 per square foot and their share of electric costs. <br />In addition, they will be responsible for snow plowing. This would equate to $5,040 per year. <br />Finance Director Lund stated when Sharp rented this space, he paid $1.21 per square foot. <br />Councilmember Tossey arrived at 5:45 p.m. <br />Councilmember Kuzma asked if all electrical improvements would stay once they vacated. <br />Mr. Fisher stated they did not talk about improvements. <br />Councilmember Kuzma stated if they are getting a good deal on the rent, he would want the <br />improvements and electric door operators to remain with the building. <br />Councilmember Riley asked if this is a portion of the cold storage area. <br />Mr. Fisher stated it is about one -third of the cold storage area and would not harm the rest of the <br />space so the remaining cold storage space could be rented. <br />Finance Director Lund stated the total space is 18,360 square feet and currently tax exempt <br />because it is vacant. <br />City Administrator Ulrich concurred that any improvements made, including the garage door <br />openers should remain. He stated if rented to the school, this portion of the building would <br />remain tax exempt so the City's expenses will be lower than when Sharp rented the space. <br />Councilmember Tossey agreed the improvements should stay if they vacate the building. <br />City Administrator Ulrich stated the Council case and resolution are written so the improvements <br />remain. <br />Mr. Fisher stated he does not think it will be an issue for the School and this can be covered in <br />the Lease Agreement that will follow. <br />Councilmember LeTourneau stated his support. <br />The consensus of the Council was to support approval of the PACT Charter School Letter of <br />Intent subject to review and approval of the City Attorney. <br />Independent Auto Care Lease <br />Finance Director Lund reported that Independent Auto Care is two months (May and June) <br />delinquent paying rent. She reviewed the rent rates and indicated the business owner has stated <br />City Council Work Session / June 25, 2013 <br />Page 2 of 8 <br />