12/16/1981 - Laserfiche WebLink

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F" - DEC 16 . va 48 pmf326 DISCUSSION ON REDUCTION OF YEARLY RENTAL — ST. FRANCIS MANOR Administrator Nelson reviewed the following memo from Attorney Brandenburg and reported that a certificate of insurance has since been received from Mr. Zorc. INDIAN RIVER COUNTY, FLORIDA INTER — OFFICE MEMORANDUM TO: The Chairman and Members of DATE: December 10, 1981 FILE: the Board of County Commissioners of Indian River County SUBJECT: Proposal to reduce the yearly rental on the St. Francis Manor lease .FROM: Gary M. Brandenburg REFERENCES: County Attorney On November 18, 1981, Mr. Frank Zorc appeared before the County Commission to request a reduction in the yearly rental contained within the St. Francis Manor lease. At that time, no definitive action was taken as a result of a 2/2 vote. Mr. Zorc now requests reconsideration of the matter. In the interim, the County Administrator's Office requested additional financial information from the operation, in an effort to verify the necessity of the request. In response, St. Francis Mianor submitted the complete St. Francis Manor fiscal report for F1' 1980, prepared by their accountant together with balance sheets from 1979. Also submitted is a proposed budget for 1982. The Finance Department and their auditing staff -have advised that a current audit by a certified public accountant would be necessary before they can maize any conclusive findings about the Manor's exact financial status. However, it should be noted that the cost of such an audit would probably exceed the savings in the proposed lease reduction defeating the purpose of the request. The Florida Statutes, Section 1?5.35, authorizes the counties to lease countjy property to the highest and best bidders. It appears that this bidding process was followed by the County in August of 1973. Any substantial modification of the lease raises a question whether or not the County must re" -bid under the Statute. For this reason, this writer would recommend the following procedure if the County Commission desires to approve the request. A. Leave the lease intact. B. Establish and make a finding of fact that the donation of $1,000 to St. Francis Manor serves as a valid County purpose. C. Make a donation of $1,000 to the facility contingent upon the funds bein used for a specific purpose as delineated by the Board. 0. Require the facility to supply an affidavit indicating how the funds were- actually ereactually used together with a financial statement from their accountant. 10