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HomeMy WebLinkAboutC.054.93009_2041 (2)Chairman Haire asked if the high bidder had complied with all of the proposal requirements. Attorney Pope said everything was in order. He said there was a $25,000 deposit requirement that needed to be made on the date of the lease commencement. Pope asked the WMC representative if he was prepared to make this deposit. Mr. Earl Spencer, of the WMC Company, said he was aware of this stipulation and prepared to make the deposit. PUBLIC HEARING Chairman Haire declared the meeting to be in public hearing session for the purpose of seeking citizen comments in reference to the proposals. Earl H. Spencer, of the WMC Company, asked if the $25,000 deposit was forfeited if his company did not purchase the building. Attorney Pope said the option consideration money ($25,000) would be forfeited. He read from the advertised RFP: "In the event the option to purchase is not exercised, the option consideration and all rentals will be forfeited. " Mr. Spencer asked if someone on the county staff could assist with a walk-through tour of the building. Jeff McKay, President of the Greater Statesville Development Corporation, said the former maintenance supervisor with Bassett (former owner), would be available to assist. Mr. Spencer asked if the lease had been drafted. Mr. Pope said he did not have a standard commercial lease ready, but the terms would be the same as advertised. Pope said the lease signing would probably take place in the next day or so. Chairman Haire adjourned the public hearing. Commissioner Johnson said he wanted to make sure the lease became effective as of January 12, 1999. Pope said this was correct. MOTION by Commissioner Fortner to accept the lease/purchase proposal ($2,750 Monthly rental/Purchase amount $300,001.00) offered by the WMC (Wingate -Monday) Company as outlined in the bid stipulations and read by the county attorney for the property located at 1010 Salisbury Road, Statesville, NC. VOTING: Ayes - 5; Nays - 0. Commissioner Bowles asked about the leasing transaction. Pope said the WMC Company would lease the property until January 12, 2001, and at that time would be given an option to purchase. All rent and the initial deposit will be forfeited if the company chooses not to purchase. Bowles asked how the money would flow if the company exercised the option to purchase. Pope said the money would go to Ircdell County and then it would pass through to the Greater Statesville Development Corporation. Mashburn asked if the monthly rent ($2,750) was a pass through as well. Pope said this was the intent; however, he felt the County should hold this money until the option to purchase was exercised. The money would be held in escrow. Mr. Mashburn said all costs associated with the building, e.g., insurance, would be passed onto the development corporation. Commissioner Johnson said the development corporation would need funds to offset expenses. He asked if the $25,000 would immediately be remitted to the development corporation. Attorney Pope said he wanted to protect the County in case the option to purchase was not exercised. If this happens, the County might have to spend money to get the facility in shape for resale.