07/21/2008 Meeting Minutes - Laserfiche WebLink

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Regular Council Meeting 7-21-08 Page 11 . First Reading of Ordinance No. 2008-25, entitled "An ordinance authorizing and directing the Mayor to negotiate and enter into a non-drilling, non-trespassing oil and gas lease with Seagull Development Corp. regarding certain property known as Permanent Parcel Nos. 831-13-005 (4.75 acres), 831-22-031 (1.22 acres), 831-22-002 (2.5 acres) and all contiguous Village owned properties including S.O.M. Center Road." Introduced by Mayor Rinker and Council as a Whole. Instead of suspension, Council President Buckholtz stated that he knows there is some information out. He has had some conversations. This went to P&Z. Questions were forwarded to the Law Deparhnent. They are still researching this. In our last meeting with Mr. Giordano, we talked about supplying the Law Department with Leases and with the results from a vote. Have we gotten some or all or any of that? Mr. Diemert replied that we have gotten a good amount of it as recently as late this afternoon. They are getting them together for us. We have some that axe still coming in. It appears that the vote is still in the process over at Stonecreek. They did them by mail, so they are only 50% in. The votes appear to be 5 out of 6 in favor of entering into the Lease. It looks as though in the Bonnieview/Beech Hill area that they will be able to drill two sites if the Village is part of it and one without. One site is in the Village, the other is in Mayfield Heights across the street from Stonecreek. As we get the Leases in, we are marking up the map indicating where those areas are to verify that they would have enough land to do what they are saying they can do with the Leases that they have. Planning Commission did forward five good questions to look into and we will prepare a written response to them within the next week or so. Mayor Rinker asked when Planning and Zoning meets again in relation to our next Council meeting. Mrs. Mills replied that they have a meeting on August 4th. Council meets on August 18''. Caucus meets on the 4tn Dr. Parker asked Mr. Diemert if he said that with our participation they can drill two from the Bonnieview area. Mr. Diemert replied that is correct. Dr. Parker asked if without our participation they can only drill one. Mr. Diemert said that is correct. Dr. Parker asked what the expected dollars were again for our expected participation. Mayor Rinker replied we will get $30,000.00 and depending on the functionality of the well, we would get something around in the range of $2,000-3,000.00 a month on a good day with no indication of how long that lasts. Dr. Parker knows there is a lot of concern with this. If we don't participate, we don't get the money, but we also reduce the number of wells in half in that residential area. Mayor Rinker asked Dr. Parker if he was here for the Caucus. Dr. Parker stated he was unable to be there, but he did read the Minutes. He knows there will not be anything on our Village property. Mayor Rinker stated that the question is whether the Village goes in on this or not, would that change the wellhead on the Bonnieview property. The answer he recalls was, no it won't. It changes the other site, it does not change that. He would recommend that among other things, this was part of the discussion only and part of what he wanted to do is ask the Law Director in writing to make specific request basically echoing what we had asked at the Caucus meeting just so everyone is sure that is part of the due diligence. He would add that to this process. That was