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1962-0140RESOLUTION NO. 62R 140 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM DECLARING ITS INTENTION TO LEASE PROPERTY FOR THE PRODUCTION OF OIL, GAS AND OTHER HYDROCARBONS. WHEREAS, the City Council of the City of Anaheim, County of Orange, State of California, is authorized to acquire and hold real property pursuant to the statutory authority under which it was granted; and WHEREAS, the City of Anaheim is the owner of the real property hereinafter described; and WHEREAS, by letter to the City Council of the City of Anaheim dated August 21, 1961, an offer has been received to lease the hereinafter described real property and to include said real property in an exploratory area embracing adjoining property, a form of which lease accompanied said letter of August 21, 1961, and is on file in the records of the City of Anaheim; and WHEREAS, the City Council finds and determines that the leasing of the hereinafter described property will not substantially interfere with the use of the property for playground or park purposes, and that by the terms of said lease the recovery of all oil, gas and hydrocarbon substances will be accomplished by slant drilling from surface locations outside of the boundaries of said property. NOW, THEREFORE, IT IS RESOLVED AND ORDERED by the City Council of the City of Anaheim as follows: 1. The City Council of the City of Anaheim hereby declares its intention to lease the property here- inafter described for the production of oil, gas, asphaltum and other hydrocarbons, and to include said property in an exploratory area embracing adjoining property. 2. The property to be leased is described as follows: PARCEL 1: The West one -half of the East 20 acres of the northwest quarter of the southwest quarter of Section 7, Township L South, Range 10 West, in the Rancho Los Coyotes, as per map recorded in book 51 page 7, et seq., of Miscel- laneous Maps, in the office of the county recorder of said county, EXCEPT therefrom the northerly 766.00 feet. PARCEL 2: The east half of the east 20 acres of the northwest quarter of the southwest quarter of Section 7, in Township South, Range 10 West, in the Rancho Los Coyotes, as per map recorded in book 51 page 7, et seq., of Miscellaneous Maps, in the office of the county recorder of said county, EXCEPT the north 766.00 feet. PARCEL 3: The south half of the northeast quarter of the southwest quarter of Section 7, Township 4 South, Range 10 West, in the Rancho Los Coyotes, as said section is shown on a map recorded in book 51 page 10 of Miscellaneous Maps, in the office of the county recorder of said county. Finance Dix Manager R/W PARCEL 4: That portion of the north half of the southwest quarter of the southwest quarter of Section 7, Township 4 South, Range 10 West, in the Rancho Los Coyotes, as said section is shown on a map recorded in book 51 page 10 of Miscel- laneous Maps, in the office of the county recorder of said county, described as follows: Beginning at the northwest corner of said north half of the southwest quarter of the southwest quarter; thence North 88° 56 54" East 550.73 feet along the northerly line of said north half of the southwest quarter of the southwest quarter to the northwest corner of the East 20 acres of the southwest quarter of the southwest quarter of said section; thence South 0 23t 03" East 664.37 feet along the westerly line of said East 20 acres to the southerly line of said north half of the southwest uarter of the southwest quarter; thence South 88° 5 17" West 552.53 feet along said southerly line to the westerly line of said section; thence North 0 131 45" West 664.33 feet to the point of beginning. together with all right, title and interest which the undersigned may now have or hereafter acquire in the above- described premises and in the real property included in any avenues, alleys, highways, roads or streets adjacent to the above described premises, without any right in Lessee to use the surface or that portion of the subsurface lying above the depth of five hundred (500) feet below the surface of the above- described premises. 3. Said lease shall be an individual lease and may include land in the following exploratory area: The Southeast quarter of the Southeast quarter (SE *SE of Section the East half of the Northeast quarter (E NE*) and the East half of the Northeast quarter of the Southeast quarter (EiNE *SE of Section 12 in Township 4 South, Range 11 West, as said Sections 1 and 12 are shown on the map recorded in book 51 at page 11 of Miscellaneous Maps in the office of the County Recorder of said County; also the South half of the South half of the Southwest quarter (S *SZSW4 of Section 6; the West half (W4) of Section 7; the West half (W4) of Section 18; and the North- east quarter of the Northwest quarter (NE4NW of Section 19, in Township 4 South, Range 10 West, as said Sections 6, 7, 18 and 19 are shown on the map recorded in book 51 at page 10 of Miscel- laneous Maps, in the office of said County Recorder. L. The minimum term for which said land will be leased shall be two (2) years from the date the bid is awarded. The maximum term for which said land will be leased shall not exceed thirty -five (35) years from the date the bid is awarded. 5. The minimum rental for which said land will be leased shall be: (a) $2,180.00 as consideration for the execution of said lease and as rental for the first two years commencing on the date the bid is awarded. (b) Thereafter $60.00 per acre, per year until drilling operations are commenced within the exploratory area or said lease surrendered or terminated as to the property described in the foregoing Paragraph 2. (c) The lessors in said exploratory area will pool their interests and will share in all benefits accruing to a production unit within the exploratory area in the ratio which the acreage owned by each lessor bears to the entire acreage of a production unit within said explor- atory area. The benefits which shall accrue and which are to be so pooled and shared thereto will be sixteen and two thirds per cent (16 2/3 of all oil, asphaltum, and other hydrocarbons extracted and saved from the land now or hereinafter subject to a production unit within said explor- atory area, sixteen and two thirds per cent (16 2/3 of the net proceeds received from the sale of all gas produced, saved, and sold from the lands now or hereinafter subject to a production unit within said exploratory area, and the sale value of sixteen and two- thirds per cent (16 2/3 of the gasoline credited to a production unit within said exploratory area. BE IT FURTHER RESOLVED that March 20 1962, at 3:00 o'clock P.M. in the C ty ounc 1 C am er in the City ITTIMIT the City of Anaheim, State of California, is hereby fixed as the time and place for a public meeting of said City Council, at which meeting sealed proposals to lease will be received and considered. BE IT FURTHER RESOLVED that this Resolution shall, before the date of such public meeting, be published once a week for four successive weeks in the Anaheim Bulletin, a newspaper of general circulation in the County where said real property is situate. BE IT FURTHER RESOLVED that bidders may base their bids upon the form of_oil and gas lease heretofore received by the City Council as hereinabove recited. The one variable, biddable factor will be the amount paid as consideration for the execution of said lease and rental for the first two (2) years, which sum shall be a minimum of $2,180.00 as provided in Paragraph 5 (a) above. BE IT FURTHER RESOLVED that the City Council hereby advises that the use of the surface overlying the oil property described in the foregoing Paragraph 2 shall not be substantially interfered with by the lease of the oil property described in the foregoing Paragraph 2 for the production of oil, gas and other hydrocarbons, and that the recovery of all hydrocarbon substances shall be from a site other than the lease land, and shall be accomplished by slant drilling. BE IT FURTHER RESOLVED that each bid submitted shall be accompanied by a bank money order, certified check or cashier's check to the order of the City of Anaheim in the amount of the bid for said lease under Subparagraph (.a) of Paragraph 5 hereof, and each bidder shall agree in writing that he will reimburse the City of Anaheim for the cost of publishing this Resolution of Intention in accordance with the foregoing paragraph, should the bid of such bidder be accepted. BE IT FURTHER RESOLVED that the City Council reserves the right to reject any and all bids and to withdraw said oil property from the lease. AND BE IT FURTHER RESOLVED that any and all bids shall be delivered to Mr. Keith A. Murdoch, City Manager of the City of Anaheim, whose address is City Hall, Anaheim, California, not later than the date and hour hereinabove mentioned for the opening and considering of bids. THE FOREGOING RESOLUTION is approved and signed by me this 13th day of February, 1962. ATTEST: C CLE OF 2 I 'Y OF ANAHEIM STATE OF CALIFORNIA) COUNTY OF ORANGE ss. CITY OF ANAHEIM (SEAL) I, DENS M. WILLIAMS, CITY CLERK OF the City of Anaheim, do hereby certify that the foregoing Resolution No. 62R -140 was introduced and adopted at a regular meeting provided by law, of the City Council of the City of Anaheim, held on the 13th day of February, 1962, by the following vote of the members thereof: AYES: COUNCILMEN: Chandler, Coons, Fry, Thompson and Schutte NOES: COUNCILMEN: None ABSENT: COUNCILMEN: None AND I FURTHER CERTIFY that the Mayor of the City of Anaheim approved and signed said Resolution No. 62R -140 on the 13th day of February, 1962. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the C ity of Anaheim this 13th day of February, 1962. CI CLERK OF THE CITY OF ANAHEIM