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Council debates lease and repair-credit terms for proposed public works building; final costs unclear

City Council (City of Live Oak) · March 26, 2026
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Summary

Council considered Resolution 2026-06 to lease a building from the estate of Danny Mott for public works use; staff said the building is structurally sound but electrical service was destroyed and restoring power will drive costs. The lease would allow the city to perform repairs and take credits against monthly rent; council continued discussion with no recorded vote in the transcript.

Council heard a resolution to authorize the mayor to sign a lease with Terara Mott, personal representative of the estate of Danny Mott, for a building proposed for public works use.

Staff said the building is structurally sound but electrical service was torn down during a storm; restoring electricity will be a significant cost and air-conditioning assessment depends on power restoration. A building official said there is no major structural work required but electrical reconnection and system checks will determine final repair costs.

Lease language read into the record would allow the city to perform necessary repairs (including electrical repairs) and then receive an itemized list from the lessor; the city would be entitled to a credit against monthly rent beginning the month after delivery of the itemized costs. Councilmembers noted an earlier referenced rent figure of $5,000 per month and asked how large repairs would be handled; staff confirmed that major improvements could be amortized through reductions to monthly rent under the lease terms.

A motion to approve Resolution 2026-06 was made and seconded and the item moved into discussion; the transcript does not record a final vote on the lease within the provided segments. Council also asked staff to provide more precise repair estimates and noted that some interior improvements would support public-works organization (front office for intake, storage/organization areas in back).

Next steps: staff will obtain electrical repair estimates, provide a cost/benefit analysis showing how repair costs translate into lease credits, and return to council with proposed lease terms and a recommended action.