HomeMy WebLinkAbout25L - LICENSE AGMT - K.LEE GIF
CITY COUNCIL MEETING DATE:
~
~
REQUEST FOR
COUNCIL ACTION
CLERK OF COUNCIL USE ONLY:
NOVEMBER 15, 2004
TITLE:
APPROVED
LICENSE AGREEMENT WITH
K. LEE GIFTS
D As Recommended
D As Amended
D Ordinance on 1 st Reading
D Ordinance on 2nd Reading
D Implementing Resolution
D Set Public Hearing For
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CITY MANAGER
CONTINUED TO
FILE NUMBER
RECOMMENDED ACTION
Direct the City Attorney to prepare and authorize the City Manager and the
Clerk of the Council to execute a License Agreement with K. Lee Gifts for
a gift shop at The Depot at Santa Ana.
DISCUSSION
K. Lee Gift Shop has been located in the alcove area adjacent to the entry
doors serving the bus bays on the southwest side of The Depot since July
1, 1998. In this location, K. Lee Gifts has provided a limited
merchandise mix for the travelers, visitors, and tenants of The Depot.
The existing Lease Agreement expired on June 30, 2004. Therefore, staff
is recommending entering into a License Agreement with K. Lee for a term
of two years beginning July 1, 2004, and ending June 30, 2006, with two,
one-year extensions by mutual agreement. Under the new agreement, monthly
compensation to the City will be $576.81 per month for year one and $660
per month for year two.
The only alternative is not to execute the License Agreement and terminate
gift shop operations at The Depot. This alternative would result in a
loss of revenues of $6,921.72 for FY 04-05 and $7,920 for FY 05-06.
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License Agreement with K. Lee Gifts
November 15, 2004
Page 2
FISCAL IMPACT
Funds from the License Agreement payments will be deposited in The Depot
at Santa Ana Rental - K. Lee revenue account (account no. 67-01-5493).
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patricia C. Whitaker
Executive Director
Community Development Agency
APPROVED AS TO FUNDS AND ACCOUNTS:
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