Title
RESOLUTION AUTHORIZING A FIVE (5) YEAR LEASE AGREEMENT WITH RPK BASEBALL, LLC AND NORTHWOODS LEAGUE, INC. FOR THE USE OF WADE STADIUM THROUGH 2020.
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CITY PROPOSAL:
RESOLVED, that the proper city officials are hereby authorized to enter into a five (5) year lease agreement, substantially in the form attached as Exhibit 1, with RPK Baseball, LLC, d/b/a Duluth Huskies Baseball Club, and Northwoods League, Inc. for use of Wade Stadium by the parties for professional baseball through 2020. Payments received under the Lease Agreement shall be deposited into the Special League Fund 210, Agency 030, Organization 3190, Revenue Source 4625-04.
Statement of Purpose
STATEMENT OF PURPOSE: This resolution authorizes a new five year lease agreement with RPK Baseball, LLC, d/b/a Duluth Huskies Baseball Club (“Huskies”), and Northwoods League, Inc. to allow the Huskies baseball team to use Wade Stadium as its home field and play baseball games through the 2020 playing season.
Since 2002, the Duluth Huskies, under the auspices of the Northwoods League, has played baseball at Wade Stadium. The previous lease agreement expired on December 31, 2015, and the parties desire to lease Wade Stadium for an additional five years.
In year 2016 of the lease agreement, the League and Huskies will pay to the City a rental fee of four hundred twenty-five dollars ($425.00) per game. It is estimated that the League and/or Huskies will play thirty-six (36) games per season for a total rental fee of fifteen thousand three hundred dollars ($15,300.00) in 2016. Rent payments shall increase by three percent 3% each year of the agreement.
In addition to rent payments, Huskies or its assigns shall provide twenty-five thousand dollars ($25,000.00) in capital improvements to Wade Stadium throughout the term of the agreement. Huskies shall contribute five thousand dollars ($5,000.00) annually to the City in each year of the agreement (“Annual Contribution”). The Annual Contribution shall be deposited into the Special League Fund and specifically earmarked for improvements at Wade Stadium. The Annual Contribution does not have to be used in the calendar year that it was paid and may rollover into the following year(s) until such time that the City and Huskies jointly agree on a capital improvement project. Any capital improvement project funded by the Annual Contribution(s) must benefit all users of Wade Stadium.