ITEM TITLE:
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Consider approving a resolution establishing a fee for boathouse space tenants at Lake Lawtonka that declare their premise as a short-term rental and increasing the administrative fee for boathouse sales and/or transfers, allowing for any floor amendments, and authorizing the Mayor and City Clerk to execute the resolution.
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INITIATOR: Dewayne Burk, Deputy City Manager
STAFF INFORMATION SOURCE: Dewayne Burk, Deputy City Manager
BACKGROUND: This serves as a companion provision to the First Amendment in the Lawton Lakes Recreation Area Lease Agreement. It has come to the attention of the staff that some boathouse space tenants at Lake Lawtonka are currently utilizing their boathouses as short-term rentals, a practice permitted under the terms of the previous lease agreement. However, the recently ratified lease agreement explicitly prohibits subletting of these spaces. In alignment with the True North Culture and in the spirit of finding positive solutions, the staff recommends that the Council adopt a resolution. This resolution proposes the establishment of an annual fee of $500.00 to cover oversight and security costs associated with the increased activity resulting from boathouses being used as short-term rentals. This fee would be in addition to the tenants' annual space permit. If approved, tenants utilizing their boathouses for short-term rentals would also be obligated to pay the full rate for their boathouse space permit starting from January 1, 2025.
The increase in the administrative fee for boathouse sales and/or transfers is proposed to go from $75.00 to $1,500.00 or 5% of the sales prices whichever is greater.
EXHIBIT: Resolution 24-_____
KEY ISSUES: N/A
FUNDING SOURCE: N/A
STAFF RECOMMENDED COUNCIL ACTION: Approve Resolution _________ establishing a fee for boathouse space tenants at Lake Lawtonka that declare their premise as a short-term rental and increasing the administration fee for boathouse sales and/or trans...
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