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Consider directing staff to bring a resolution to raise the rental rates for full-time campers, trailers, boathouses, dry stalls, and wet stalls located at Lake Lawtonka’s recreation areas for calendar year 2024 by an amount not to exceed 25% excluding the five boathouses formerly managed by the School House Slough concessionaire with said rate increases to take effect on January 1, 2024 and direct staff to evaluate the feasibility of a two-tiered fee structure for Lake Lawtonka’s recreation areas, differentiating between Lawton residents and non-residents.
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INITIATOR: Deputy City Manager Dewayne Burk
STAFF INFORMATION SOURCE: Deputy City Manager Dewayne Burk, Parks & Recreation Director Larry Parks, Lakes Superintendent Jim Bonnarens
BACKGROUND: The City of Lawton recently employed a consultant (Halff and Associates) to provide council with a Lake Lawtonka and Lake Ellsworth Recreation Area Master Plan. As part of the master plan, Halff and Associates proposed an increase in rental rates at the Lakes Recreation Areas, including the Schoolhouse Slough area. The plan's recommendations were aimed at maintaining and improving the recreational facilities and services provided in these areas. Because significant improvements are needed to the infrastructure and amenities to make the city’s lake recreational areas a more desirable destination, it is important that a revenue mechanism be identified that could assist with said improvements as well as ongoing maintenance.
As a part of staff’s analysis, a study was conducted to determine the residence status of Schoolhouse Slough lease holders since they consist of the majority of the full-time occupants located at Lake Lawtonka. This study revealed that 40% of Schoolhouse Slough lease holders (127 out of 313) reside within the City of Lawton, while 60% of the respective lease holders are not Lawton residents. Considering these findings, it is unlikely that the Lawton Residents would be willing to support funding improvements at the lakes when there are other priorities across the city. Based on this information, staff recommends the following actions to the City Council:
1. Begin incrementally raising the rental rates at Lake Lawtonka’s recreational areas over a three-year period with an initial increase of approximately 25% for calendar year 2024. This increase is in line with the data provided in the lake’s masterplan to gradually achieve a fee that is more reflective of the fair market value.
2. Issue RFPs for the installation of WiFi and to upgrade the waterline infrastructure.
3. Consider earmarking lease revenue generated at the city’s lakes for use in improving and maintaining the lake recreational areas.
4. Evaluate the feasibility of a two-tiered fee structure for lake lease holders, differentiating between Lawton residents and non-residents. Providing a discounted rate to the residents of Lawton could help incentivize Lawton’s residents to utilize one of their greatest assets for which they own.
On November 8, 2023, staff presented a recommendation to the Lakes and Lands Commission to raise the rental rates for full-time campers, trailers, boathouses, dry stalls, and wet stalls located at Lake Lawtonka’s recreation areas for calendar year 2024 by an amount not to exceed 25% excluding the five boathouses formerly managed by the School House Slough concessionaire. The Lakes and Lands Commission declined to support the increase citing concerns that they wanted some assurance that the revenue generated would be reinvested back into the lakes for improvements. In addition, the Commission also reasserted their desire for Council to create an authority that would be charged with overseeing the management and operation of the recreational use of the city’s lakes. Their belief is that the authority would be better suited to address the concerns of the citizens that utilize these areas.
EXHIBIT: Halff Fee Recommendations, Schoolhouse Slough Proposed Fees, Pricing and Amenities Sheet, Lakes Annual Budget FY 23-24
KEY ISSUES: Does the Council wish to raise lease rates at the Lake Lawtonka’s recreation areas.
FUNDING SOURCE: N/A
STAFF RECOMMENDED COUNCIL ACTION: Direct staff to bring a resolution to raise the rental rates for full-time campers, trailers, boathouses, dry stalls, and wet stalls located at Lake Lawtonka’s recreation areas for calendar year 2024 by an amount not to exceed 25% excluding the five boathouses formerly managed by the School House Slough concessionaire with said rate increases to take effect on January 1, 2024 and direct staff to evaluate the feasibility of a two-tiered fee structure for Lake Lawtonka’s recreation areas, differentiating between Lawton residents and non-residents.