DATE: October 1, 2025
TO: President and Directors of the Harbor District Board
FROM: Public Works Department
TITLE: PROPERTY USE AGREEMENT WITH JAMES GARDNER, DBA OCEANSIDE BAIT CO, INC.
RECOMMENDATION
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Staff recommends that the City Council and Harbor District Board of Directors approve a five-year Property Use Agreement with James Gardner, dba Oceanside Bait Co, Inc., for the use of Harbor District-owned property within the Oceanside Harbor, for a five-year minimum total revenue of $51,844; and authorize the Administrative Officer to execute the agreement.
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BACKGROUND AND ANALYSIS
Oceanside Bait Co., Inc. ("Permittee") has been operating within the Harbor since 1995, providing live bait dispensed commercially to the public and sportfishing boats. The Premises consists of large bait receivers within the water that store live bait.
Throughout the years the agreement has been amended and the current agreement terminated on August 31, 2025. The lease has been in a month-to-month holdover position until the new agreement is approved by Council. Permittee desires to enter into a new five-year Property Use Agreement ("Agreement") with the Harbor District ("District") for ongoing operations at the Premises.
Permittee's continued use at the Harbor will provide a needed service to boaters, sportfishing operators and the public. The proposed new Agreement commences retroactively on September 1, 2025, and terminates on August 31, 2030. The Agreement includes a provision for one (1) additional five-year extension option at the District's calculated fair market rental rate of similar businesses, provided that the Permittee is not in default or breach of any term, condition, or covenant of the Agreement.
Due to the 2024 Rockfish closures imposed by the California Department of Fish and Wildlife which take place annually from January 1 through March 31, the Minimum Monthly Rent will be abated by Two Hundred Dollars ($200) of existing rent during th...
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