March 4 Special Board Meeting Minutes

Thursday, March 4, 2021
5:00 p.m. at the

The meeting was called to order at 5:04 p.m.  Board members present were Roger Lindgren, James Kaseno, Andrew Sauter Sargent, Allen Hahn and Jackie Eid. MaryBeth Tillmans and Janice Olson were absent.

Purpose: Discuss guidance the Town Board will give to the Harbor Commission to consider re Halvorson and like leases.

This may be the first of a series. 

 Board members brought their concerns / ideas about the elements of such leases that they thought should be considered essential.

Discussion was held.  Some of the concerns/ ideas were:


  • Needs to provide clarity to the business – 10 to 20 years
  • Price indexed to CPI or?
  • Base price based on property square feet and feet of Dock space at 2020 prices. Lump together and apply 10-20% discount
  • Leave Large Quantity Boat Slip Lease Discount in place.
  • Amount of rate increase to 38% for Halvorsons.
  • Have a recreational slip rate and a commercial slip rate.
  • Town required to give 5 year notice of non renewal.
  • If an extended lease, there should be penalty for breaking the lease. Pay year in advance and forfeit.
  • Limited liability – flood, washout ……
  • Well defined boundaries
  • Same terms available to all businesses in town marina – extended lease – option on adjacent bulkhead dock for commercial purpose (no sublease).
  • There are no enforcement clauses.
  • As far as adding a Penalty Clause, what are we trying to accomplish? There is no security deposit for any of the leases nor has there ever been. There is a Default Clause in the current agreements.
  • Points in contract need to be clear.
  • A lease that is good for the town and Halvorsons
  • The Halvorsons need security.

Storage Yard Lease with Halvorson Fisheries

  • The rate of $0.10 per square foot seems very low. Either raise it to what other shop owners pay or establish verbiage for discount.
  • For comparison: the other side of the harbor brings in $4050.00 in rent ($810.00 x 5). Halvorson side as proposed would bring in $1770.00.  Very similar space used.
  • Consider shrinking the lot size to 50’x160’ to allow for handicap parking spot and access to break wall pier.
  • Public right away needs to be defined to use break wall.
  • Possibly reduce yard space.


  • Figure out how the Hipsher boat fits into the lease. At this point the lease states “This use applies only to boats owned by the Halvorson Fisheries.”
  • Halvorsons don’t own the Hipsher boat and they do not charge them.
  • Remove from Premise description in both the Boat Slip Lease Agreement and Storage Yard Agreement: “This applies only to boats owned by Halvorson Fisheries.”
  • No subleases – 5 year grace period on current sublease.


  • What is benefit to harbor – commercial fishing is a definite benefit
  • What is value to Lessee – where else and for what price could they get the same facilities .
  • Find models from other entities that accomplish the desired goal.
  • This is not personal.
  • What is purpose of incentive – employment – what are Town of Bell FTEs
  • Continue with Clarity and Transparency.
  • Maintain property rights for Town of Bell.
  • Protect the town’s interest
  • Create a lease good for the town and Halvorsons. The board wants the Halvorsons to stay and be successful.

The board will continue to review and prepare a document for the Harbor Commission for them to use to proceed with the creation of leases.

At 6:03 a.m.  A. Sauter Sargent made to a motion to adjourn the meeting and J. Eid 2nd the motion.  Unanimous decision.  Passed.

Respectfully submitted,

MaryBeth Tillmans – Clerk