Laserfiche WebLink
KITTITAS COUNTY <br />DEPARTMENT OF PUBLIC WORKS <br />PUBLIC WORKS — BOARD OF COUNTY COMMISSIONERS <br />STUDY SESSION STAFF REPORT <br />STUDY SESSION DATE: August 26, 2019 <br />TOPIC: Merrill Hangar Proposal <br />ACTION REQUESTED: Provide Direction <br />LEAD STAFF: <br />Mark R. Cook <br />RECOMMENDATION: <br />Accept Mr. Merrill's proposal and provide construction specifications. <br />BRIEFING SUMMARY: <br />• Mark Merrill desires building a hangar to County specification at ELN. <br />• Rather than pay a land lease rate, Merrill proposals gifting the hangar to Kittitas <br />County at the end of a twenty year lease. <br />BACKGROUND: <br />Recently, staff was approached by Mark Merrill discussing the likelihood of constructing <br />a private hangar at ELN. Mr. Merrill requires no utilities and proposes building a metal <br />hangar to County specification. Rather than paying a twenty year land lease, Mr. Merrill <br />proposes dedicating the hangar to the County at the end of twenty years. <br />DISCUSSION: <br />Staff proposes using our standard aeronautical lease ensuring maintenance provisions are <br />maintained throughout the twenty year period. Dedication of the hangar at twenty years <br />is expected to return a higher financial yield during the last twenty years of useful life by <br />generating building lease in addition to land lease for the future hangar tenant. <br />FISCAL IMPACTS: <br />Assuming Lot H-14 (0.31 acres); the loss of land lease is: 20 X $0.14 X 13,504 SF = <br />$38,000 (=/-). <br />Minimal future twenty year revenue: 20 X $0.18 X 13,504 SF + $1.20/SF X 1,400 SF X <br />20 = $82,214. <br />ATTACHMENTS: <br />Exhibit 1: ELN Binding Site Plan <br />Page i of 2 <br />PUBLIC WORKS BOARD OF COUNTY COMMISSIONERS WORK SESSION STAFF REPORT <br />