Anna Maria commissioners have a homework assignment.
Mayor Dan Murphy tasked the commission with studying the current city pier lease with a mind to the future.
At a meeting Dec. 13, the mayor asked commissioners to return to him by Dec. 31 with their ideal terms for a new lease for a pier tenant contract. Murphy said a new lease — including new terms — could be negotiated with the current tenant, Mario Schoenfelder.
While the first pier pilings are expected to be driven for the new pier in January 2019, Schoenfelder’s lease doesn’t expire until December 2020. Murphy wants to get the ball rolling on a new deal.
“I’d like to be able to start having formal negotiations with the current tenant as soon as possible,” Murphy said in an interview Dec. 14. “So, that’s the reason that I asked for them,” Murphy said of his task to the commission.
Murphy said he had yet to discuss a new lease with Schoenfelder, but emailed him that the city would be looking into new terms for any future contract.
The current lease covers the pier structure, parking area, restaurant and bait shop, all for a flat rate of $11,900 per month.
Schoenfelder’s lease began in August 2000, when he signed on for 10 years with two 5-year options. The monthly payment, which began at $5,000 but is subject to periodic increases, rose to $8,600 by 2010 and $11,600 by 2017, when Hurricane Irma damaged the pier and prompted its closure. The lease is set for renewal in 2020.
The lease puts the responsibility for property tax, utilities, maintenance and liability insurance on the tenant, whereas the city is responsible for fire, casualty, wind and flood insurance.
Some considerations for a new lease are in the length of the agreement, monthly payment and the premises it covers. Murphy told commissioners he did not wish to discuss the matter immediately, but was interested to see if commissioners want the option of adjusting rent, including the addition of a percentage of the revenue from sales at the pier.
Commissioners’ comments are due by Dec. 31.
The next commission meeting will be held 6 p.m. Thursday, Dec. 27, at city hall, 10005 Gulf Drive.