My Northern Wisconsin

Covering Ashland, Iron, Lincoln, Oneida, Price, Rusk, Sawyer, Taylor, and Vilas Counties


PCUL SEEKS $180,000 PER YEAR FROM CITY TO LEASE ELK LAKE PARK PARKING LOT


An approximately .8-acre parcel, about 175 feet x 200 feet, remains at the center of discussion for Price County United Limited (PCUL) and the City of Phillips.

   
Image provided by PCUL in lease agreement document

After PCUL took ownership on the "Lionite" property on April 1, 2024, the City of Phillips contacted PCUL about doing a land swap or purchasing the .8-acre portion of the Elk Lake Park parking lot that is owned by PCUL.  (See related article.)  PCUL refused these offers and presented the city with a lease agreement.

The agreement, presented on January 24, 2025, would allow public access and parking for the municipal park and the boat landing with the following terms.  The City of Phillips would enter into a two-year lease with biannual renewals.  The base rent would be $15,000 per month, which would equate to $180,000 per year.  The City of Phillips would be responsible for all permits and permissions required for operations and would need to maintain the area, including putting up any signage, grading, snow removal, and general maintenance.  The City of Phillips would need to include the parcel under its umbrella liability policy with indemnification to PCUL.  The city would also need to indemnify PCUL for costs and expenses resulting from "defending against eminent domain, condemnation, takings, or adverse possession claims initiated by Tenant (City of Phillips) for any portion of the Premises."  All subleasing would need to be approved by PCUL.

The lease states the $180,000 per year rental money would be "used for advancement of Phillips including promotion of community redevelopment and revitalization."

Council members of the City of Phillips, not interested in the lease that was presented, stated it was a non-starter, and if they spent $180,000 to lease .8 acres, the taxpayers would not be happy, they would not get re-elected, and it felt like the lease was using the property as a revenue stream for a non-profit.

The City of Phillips responded with three options for PCUL to consider:  buy it, trade it for another piece of land, or lease it for 99 years at no charge to the city.  The options would also eliminate the liability issue that PCUL stated they were addressing by offering a lease.

However, PCUL President Lynda Ludwig stated those options were not suitable.

My Price County asked the officers of PCUL the following questions:

Why are you not interested in any of those three options?

How are you helping the city if you are asking for $15,000 per month ($180,000 per year) to lease a .8-acre parcel?

How did you determine the rental amount of $15,000 per month?

If My Price County receives a reply from PCUL, the responses will be published on this article.

PCUL will have a meeting on Thursday, March 6, 2025, from 6 p.m. to 7:30 p.m., at the BW University Learning Center located at 165 County Road F.  The public is invited to attend.

This is a developing story, and more information will be provided as it is received.

To see the lease proposed by PCUL, click the link:  
.pdf   PCUL Lease Proposal.pdf (Size: 480.64 KB / Downloads: 86)

[Image: justinlindgren.jpg]
JUSTIN LINDGREN, PHILLIPS SCHOOL BOARD CANDIDATE:  Justin Lindgren feels he is qualified to be a school board member because he has been a teacher and has completed coursework in school administration.  He feels he has the insight on both sides to see what needs to be fixed.  He is calling for change, transparency, and communication on the school board.  "I have spent 12 years serving both the community and the school district, and I would be honored to have the opportunity to continue this."
(This post was last modified: 03-04-2025, 08:32 PM by My Northern Wisconsin.)