HomeMy WebLinkAboutMINUTES - 04191994 - 1.18 TO: BOARD OF SUPERVISORS
FROM: J. MICHAEL WALFORD, PUBLIC WORKS DIRECTOR
DATE: APRIL 12, 1994
SUBJECT: DELTA ROAD OIL AND GAS LEASE - KNIGHTSEN AREA
Project No.: 0674-6U4200
SPECIFIC REQUEST(S) OR RECOMMENDATIONS) &BACKGROUND AND JUSTIFICATION
I. Recommended Action:
APPROVE Subsurface Oil, Gas and Mineral Lease with Capitol Oil Corporation and AUTHORIZE
the Board Chair to sign said lease on behalf of the County.
il. Financial Impact:
The proposed Lessee has paid a $250 processing fee to the County. The lease provides for
.a $30.00 per acre annual rental fee and a one-fifth royalty on production, if any. The primary
term of the lease is for 5 years.
Ill. Reasons for Recommendations and Background:
The lease is basically for the production of natural gas located under a 12.21 acre portion of
Delta Road and Byron Highway near Knightsen. No surface rights are involved. The State
Lands Commission on March 8, 1994, approved this lease for exemption from competitive public
bidding requirements pursuant to Sections 7052 and 7053 of the California Public Resources
Code.
IV. Consequences of Negative Action:
Loss of revenue as outlined in Section 11 above.
Continued on Attachment: SIGNATURE: Ae4,ae
_ RECOMMENDATION OF COUNTY ADMINISTRATOR
_ RECOMMENDATION OF BOARD COMMITTEE
APPROVE OTHER
SIGNATURE(S):
ACTION OF BOARD ON y, y �� APPROVED AS RECOMMENDED �_ OTHER_
VOTE OF SUPERVISORS
_ UNANIMOUS (ABSENT
AYES: NOES:
ABSENT: ABSTAIN:
PS:gI0 an action ttakentand mtt this eredronathe=92:Mthe
c:B0212b.t4 Board of supervi on t e date shown.
ATTESTED: / 9. /9 y 5
Orig. Div: Public Works (R/P) PHIL BATCHELOR,clerk of the Boar
Contact: Pat Smyers (313-2222) of Supervisors and County Adminiotr:to►
cc: County Administrator oepua
Auditor-Controller (via R/P)
P. W. Accounting
Recorder (via R/P)