HomeMy WebLinkAboutR2006-027S:\Our Documents\Resolutions\06\Mincral Lease Procedures Res-2.doc
RESOLUTION NO.OO
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DENTON, TEXAS PRE-
SCRIBING THE MANNER IN WHICH THE CITY WILL LEASE ITS OIL, GAS OR OTHER
MINERAL INTERESTS IN LANDS; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, the Attorney General recently ruled in Opinion No. GA-0441 that a munici-
pality may lease oil, gas and other mineral interests in land under the authority of Section
253.005 of the Local Govt. Code on the terms determined by the City Council and that it does
not have to competitively bid such mineral leases. NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES:
SECTION 1. The findings and recitations contained in the preamble of this resolution
are incorporated herein by reference.
SECTION 2. The City Council hereby approves the following procedures for the leasing
of oil, gas and mineral interests in City land:
a. A notice will be published in a newspaper of general circulation announcing that the
City is receiving proposals for the.leasing of oil, gas and/or mineral interests in cer-
tain City land.
b. City staff and/or City consultants will negotiate with one or more proposers and make
a recommendation to the City Council as to which proposer offers the City the best
lease, taking into consideration any and all factors that the City in its sole discretion
determines to provide the most prudent lease. The negotiations are not limited to any
set criteria, and the City and the proposers may negotiate and re-negotiate any and all
terms, including terms not within the original proposals.
c. The City Manager, or his designee will make a recommendation to the City Council
of the best lease as provided for in Subsection 2.b. The City Council may approve
the recommended lease, approve another lease that it determines is the best lease, or
decline to approve a lease.
SECTION 3. Nothing herein shall be.construed to limit the City Council's authority to
lease oil, gas, and/or mineral interests pursuant to any other procedure or method that the Coun-
cil deems appropriate, including without limitation the authorization by Council of direct nego-
tiation with a single lessee.
SECTION 4 This resolution shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the y~ day of 2006.