City offers county two options on lease set to expire next week

Salina city commissioners Monday handed the Saline County Commission an ultimatum on a new Kenwood Park lease that could -- depending on how the county responds -- force organizers to discontinue or relocate the Tri-Rivers Fair after this year.

City commissioners voted to give county commissioners two options: sign a 10-year lease agreement similar to one proposed earlier and rejected; or sign a license agreement, which would allow this year's county fair to go on as scheduled, but the lease would expire and a brand new lease would have to be negotiated. If a lease couldn't be agreed upon, the county would have to vacate Kenwood Park by the end of the year.

The current 50-year lease with the county for the use of Kenwood Park, which is owned by the city, expires March 19. City officials want county officials to sign a 10-year agreement which could be terminated early but only for the specific purpose of developing a hotel-convention facility.

Such a facility could be developed with either a public-private developer partnership or developed solely by the city at a minimum investment of $1 million.

Under the terms of the lease, the county would receive either a one-year or two-year termination notice, but the city would have to wait at least one year before issuing a termination notice. That means the earliest date that the county would have to relocate would be Aug. 31, 2011, under the public-private development option, or Aug. 31, 2012, under the public development option.

"Depending on who you talk to, some might believe there's really no demand to have that type of development at the Bicentennial Center," City Manager Jason Gage said. "I've heard comments about that. So my thought would be, if that's the case, then the risk of Saline County being provided notice and asked to leave the facility is minimized even more. So it makes the lease even that more palatable."

Lease guarantees 3 or 4 fairs

Under the city's proposed lease, the county would be guaranteed three or four consecutive county fairs before officials would have to find another location for the fairgrounds and expo center. The city is offering to help the county find new property for those activities.

"I want the point to be made very clear that there's at least two and a half years ... three and a half years in the different scenarios that the county could participate in their planning process," Mayor John Vanier said.

Vanier's comments were echoed a few moments later by commissioner Alan Jilka.

The city's strategic plan, which was adopted in October 2006, calls for the city to have control of the park land should a development opportunity arise, he said.

"Clearly, we don't have one of those at the moment, that's why we're giving up, in the lease, at least three more fairs," Jilka said.

"To me, the whole scenario shows the folly of having two local government entities that represent nearly the same group of people, having to haggle over this," Jilka said. "That might have worked back in the 19th century when Gypsum, Smolan, Brookville and Salina were all about the same size, but things have changed.

"I hope the county commissioners will look at this agreement as serving everybody's interests. They're guaranteed at least three more fairs and possibly many more."

If the county chose, instead, the license agreement, it would be a stop-gap measure, permitting this year's county fair to go on as scheduled by allowing the county to occupy the portion of the park where the expo center is located through Aug. 31. The existing lease would expire March 19, and no extension of the current agreement could be negotiated between the parties after that date.

If county commissioners sign the licensing agreement and aren't able to negotiate a brand new lease, or if they don't sign either agreement, the county would have until the end of the year to remove any buildings it wants to save and move to a different location.

"You've got to have someplace to move them to," said County Administrator Rita Deister, who watched the city commission's discussion from the audience.

Deister wouldn't comment on her reaction to the city's proposal, but she said that it would be brought up for county commissioners' discussion today. County commissioners have their weekly formal meeting at 11 a.m. in Room 107 of the City-County Building.

n Reporter David Clouston can be reached at 822-1403 or by e-mail at dclouston@salina.com.

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harley1 says....
Not all together true Jake, people from outside city of salina pay in sales tax of which was not given an option for outside people to vote on. So outside the city have helped pay for the 99 million dollar school bond your new swimming hole and other things that you yourself have voted on. Be glad that people from outside the city of salina help in that way.
3/12/2009

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Dear Jake says....
What city services do we get in the county? No help during the ice storm, no snow removal, no trash service, water or sewer. We also pay taxes in the county that city does not pay for emergency services etc. We do enjoy the peace of country living and assist Salina by paying sales tax for their schools and swimming pool when shopping in town.
3/12/2009

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jake says....
Many seem to forget that the residence of Salina pay county taxes but those that live outside the city limits don't pay ANY city taxes but still enjoy many of the city services. No one has been "kicked out" of anything. It appears that the city is just trying to leave themselves options should a better use of Kenwood show itself, be it development or more green space.
3/12/2009

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wondering? says....
Can City Commissioners or County Commissioners sell or commercially develop ground that is designated as a public park
3/11/2009

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salinagirl says....
Do that many people attend or show at the fair? This seems to be a huge issue that affects less than 1% of the population. I bet if the fair was canceled hardly anyone would notice in August.
3/10/2009

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says....
The city seems to not be willing to work with the county at all. It's either their way or the highway. Why doesn't the county kick the city out of Oakdale park, take that over and put the Expo center and arenas on that property. The county owns it, and there would be no cost for the land, just the buildings. The city is a bunch of stuffed shirts any way.
3/10/2009

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says....
Who are these people? Are the city commissioners so vain they think the county should bow down before them? We are not the same group of people. We (who live in the county) do not get to vote on their intelligent (choices) issues like "swimming pools". But they get to vote on issues like axing the Expo Center. Remember - the city is in the county, but the county is not in the city. I think the County should let them have their old junk buildings and outdated plumbing back. Then kick the city out of Oakdale. Sell it to a chemical factory and build an Expo Center south of town. Maybe the Salina City Commissioners could expand further and try to run Ottawa County? Ellsworth? And good luck on filling that Hotel by the BiCentenial Center after a factory moves into Oakdale......
3/10/2009

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