Council authorizes annual lease for RV Park 1; requires insurance and sewer tie-in conditions

The Milford City Council voted to authorize Mike Moe and Sherry Wiseman to lease RV Park 1 under an annual renewable agreement that will include infrastructure improvements, a per-occurrence liability insurance requirement and utility billing. The council instructed staff to draft a lease that includes the required insurance (city insurance asked for an additional insured status and a $1,000,000 per-occurrence policy), terms for sewer tie-in and whether the lease will bundle land, water and sewer charges into one monthly payment.

City staff read a financial summary from an emailed performance report: “The initial investment was 377,564 and 45¢. The 2025 net income was $102,064.78. And 2026 income to date is $76,200.51,” the staff member said while summarizing the email. The representative from the RV park (identified during the meeting) said occupancy averages about 50 to 57 of 60 sites, and proposed leasing the entire park to the private operator for $15,000 per month to cover land lease, water and sewer charges; power and garbage would remain separate tenant obligations.

Council members discussed whether the lease should be put out to bid; staff said the city has an existing leasing relationship and does not plan to sell the property, so the council directed staff to check with the city attorney about noticing or bid requirements. The motion, made by Russell and seconded by Scott, authorized staff to draft the lease, require the insurance and return the agreement for signatures. Council also discussed adopting an RV campground utility-rate resolution at a later meeting; staff said there is an existing rate and the resolution's headings need clarification.