Fiscal Note
The proposed resolution authorizes use of the updated farm lease master template. It further authorizes the administrative approval and execution of negotiated City farmland leases by the Department or Division head of the City agency administratively assigned to each of the City properties, the DPCED Director, or their assigns. Annual rents collected from leases using land administered by the City’s Storm Water Utility shall be deposited in the Storm Water Utility Fund; rents collected for the use of the lands administered by the City’s Engineering Division, Parks Division, or the Economic Development Division shall be deposited into the General Fund. If leases are not executed with farmers for these properties, the agency administratively responsible for the property will be responsible for the maintenance costs. Additional revenues and expenditures in 2025 are expected to be minimal and will be absorbed within agency budgets. Any additional lease revenue or expenditure authority needed for property maintenance will be built into the appropriate agency's future budgets.
Title
Authorizing the use of a Farmland Lease Master Template for those City-owned lands being rented for farming, the administrative approval of City staff to negotiate lease terms, and the execution of lease documents by the City’s Director of the Department of Planning, Community and Economic Development, or assigns. (Citywide)
Body
WHEREAS, the City of Madison (“City”) owns various properties located within the City and surrounding areas (“City Properties”) that have been historically farmed, these properties are currently being held for future uses, most often stormwater and/or park purposes; and
WHEREAS, leasing the City Properties for farming purposes, where there is interest from farmers to do so, is a use that not only generates revenue for the City but alleviates the cost and staff time that would otherwise be required by the City to maintain these Properties during the interim period; and
WHEREAS, the City’s current lease template had not been comprehensively reviewed in years until, as a result of a discussion at an April 2019 Common Council meeting, the Mayor directed City staff and the Madison Food Policy Council’s established Regional Agriculture & Food Sovereignty (successor to Urban Agriculture) Work Group (“Work Group”) to review, update, and recommend revisions to the City’s farm lease terms and conditions to reflect current best practices; and
WHEREAS, on March 5, 2024, the Common Council approved Resolution File ID #81655 directing Economic Development Division staff to revise the farmland lease template language in accordance with the findings and recommendations determined by the Work Group, with the understanding that many of the terms and conditions would be subject to case-by-case negotiations based upon the specific needs and conditions of each individual lease; and
WHEREAS, City staff from the City’s Economic Development Division and Attorney’s Office have prepared the attached master template for farmland leases (“Master Lease Template”) based on the direction provided by the Work Group, with input and collaboration from other interested parties including Dane County, City Parks Division, City Stormwater Division, Public Health Madison & Dane County, and the City Food Policy Council; and
WHEREAS, together with the updated and revised language, terms and conditions to be used for all future farmland leases, the Master Lease Template also provides the flexibility to adjust certain conditions, such as term, renewal, rent, and special site conditions for each individual lease, as needed; and
WHEREAS, granting City staff the authority to administratively negotiate, approve and execute farmland leases using the Master Lease Template will improve efficiency, facilitate timely leases in advance of each growing season, and ensure the City’s interests are memorialized between the parties to the respective leases prior to the use of the City Properties by virtue of a signed farmland lease.
NOW THEREFORE BE IT RESOLVED, that the City’s Common Council hereby authorizes the administrative negotiation and approval of City farmland leases, substantially, though not exclusively, on the terms and conditions of the attached Master Lease Template, in a form approved by the City Attorney’s office; and
BE IT FURTHER RESOLVED, that, with the approval of the Department or Division head for the City agency administratively assigned to each of the City Properties, the City’s Director of the Department of Planning, Community and Economic Development, or assigns, is authorized to execute each City farmland lease; and
BE IT FINALLY RESOLVED, that the Master Lease Template and approval process shall be effective January 1, 2026.