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1962-0139RESOLUTION NO. 62R 139 A RESOLUTION OF THE CITY ODUNCIL 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 in- clude 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 sub- stantially interfere with the use of the property for playground or park purposes, and that by the terms of said lease the re- covery of all oil, gas and hydrocarbon substances will be accom- plished 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: Lot 43 of Tract No. 3067, as per map re- corded in book 93 pages 12 and 13 of Miscellaneous Maps, in the office of the county recorder of said county. PARCEL 2: That portion of the northwest quarter of the southeast quarter of Section 17, Township 4 South, Range 10 West, in the Rancho Los Coyotes, as per map recorded in book 51 page 10 of Miscellaneous Maps, in the office of the county recorder of said county, lying easterly and northeasterly of the easterly and northeasterly line of Tract No. 2425, as per map recorded in book 74 page 15 to 18 inclusive of said Miscellaneous Maps. EXCEPT that portion thereof included within Tract No. 3067, as per map recorded in book 93 pages 12 and 13 of said Miscellaneous Maps. PARCEL 3: The South 330.18 feet of lot 26 of the Anaheim Investment Company's Tract, as per map re- corded in Book 7 pages 33 and 34 of Miscellaneous Maps, in the office of the county recorder of said county. PARCEL 4: That portion of the north half of the southeast quarter of the northwest quarter of Section 20, Township 4 South, Range 10 West, in the Rancho -1- Finance Dir Manager R/W 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, described as follows: Beginning at an iron pipe tagged L. S. 2783 and ac- cepted as the southwest corner of said north half of the southeast quarter of the northwest quarter; thence North 0 17' 22" West 666.78 feet to the northwest corner of said north half of the south- east quarter of the northwest quarter, being a point on the southerly line of Lot 9 of the Kellogg Home- stead Tract, as per map recorded in book 8 page 51 of said Miscellaneous Maps, North 89° 14' 47" East 1.51 feet from a concrete monument with a one -inch iron pipe in the center, said monument being the southwest corner of said lot 9; thence North 89° 1 41 47n East 1335.0 feet to the Northeast corner of said north half of the southwest quarter of the northwest quarter, being the southeast corner of said lot 9, thence South 0° 08' 31" East 668.)01 feet to the southeast corner of said north half of the southeast quarter of the northwest quarter; thence South 89° 191 02" West 1333.34 feet to the point of beginning. EXCEPT that portion thereof lying southerly of the northerly line of Tract No. 3882, as per map re- corded in book pages 26, 27 and 28 of said Miscellaneous Maps. PARCEL 5: That portion of lot 9 of the Kellogg Home- stead Tract, as per map recorded in book 8 page 51 of Miscellaneous Maps, in the office of the county recorder of said Orange County, described as follows: Beginning at the southeast corner of lot 8 of said Tract; thence along the southerly prolongation of the easterly line of said lot 8, South 0° 23 36" East 520.98 feet to a point on the southerly line of said lot 9, North 89° 1 41 47" East )015.98 feet from a concrete monument with a 1 -inch iron pipe in the center marking the southwest corner of said lot 9, thence North 89° 14' 47" East 890.61 feet to the southeast corner of said lot 9, said point also being on the center line of Kellogg Road (now Nutwood Street) of said Kellogg Homestead Tract; thence North 0 08' 31" West 521.00 feet along the East line of lot 9 to the northeast corner of said lot 9; thence South 89° 14 47" West 892.89 feet to the point of beginning. PARCEL 6: That portion of the northeast quarter of the southwest quarter of Section 17, Township 4 South, Range 10 West, in the Rancho Los Coyotes, as per map recorded in book 51 page 10 of Miscellaneous Maps, in the office of the county recorder of said county, described as follows: Beginning at the intersection of the center line of Orange Avenue with the center line of Primrose Street as shown on a map of Tract No. 2369, recorded in book 74 pages 1 to 6 inclusive of said Miscellaneous Maps; thence North 89 30 06" East 137.60 feet along the center line of said.Orange Avenue; -2- thence South 0° 2 5L1" East 130.00 feet to the true point of beginning; thence North 89° 30 06" East 83.02 feet to the beginning of a non tangent curve, concave northwesterly having a radius of 163.95 feet, a radial line through said point bears South 65° 151 26" East; thence southwesterly 22.95 feet along said curve, through a central angle of 8° 01 08 thence South 89° 30 06" West 71.81 feet parallel with the center line of said Orange Avenue; thence South 0° 29t 54" East 5.00 feet; thence South 89° 30 06" West 50.00 feet; thence North 0° 291 54,E West 25.00 feet; thence North 89° 30= 06" East 50.00 feet to the true point of beginning. EXCEPT that portion thereof included within Tract No. 2712, as per map recorded in book 101 pages 40 to 42 inclusive of said Miscellaneous Maps. PARCEL 7: An undivided 5/8746 interest in the southeast quarter of the northeast quarter of the south- west quarter of Section 17, Township 4 South, Range 10 West, in the Rancho Los Coyotes, as per map recorded in book 51 page 10 of Miscellaneous Maps, in the office of the county recorder of said county. EXCEPT that portion thereof described as follows: Beginning at the northeast corner of said southeast quarter of the northeast quarter of the southwest quarter; thence South 0° 20 16" West 368.27 feet to the northeast corner of the South 4i acres of said southeast quarter of the northeast quarter of the southwest quarter; thence South 89° 58 12" West 150.00 feet along the North line of said South 42 acres to the southwest corner of the land described in the deed to Emogene Stracner, recorded January 26, 1955, in book 2936 page 531 of Official Records; thence North 0 20 16" East 169.00 feet; thence South 89 58 12" West 26.00 feet; thence North 0° 20 16" East 199.15 feet to the north line of said southeast quarter of the northeast quarter of the southwest quarter; thence North 89° 55' 50 East 176.00 feet to the true 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 in- clude land in the following exploratory area: The South half (Si) of Section 17; the Southeast quarter (SEA) of Section 181 the Northeast quarter (NEi) and the North half of the Southeast quarter (N1-SE) and the North 30 feet of the South half of the Southeast g (S2SEi) of Section 19; the North half (N and the North half of the South half (NzS*) and the North 30 feet of the South half of the South half (SzS of Section 20; the West half of the Northwest quarter (WzNW) and the North 30 feet of the Southwest quarter of the Southwest quarter (SWSWi) of Section 21, all in Township 4 South, Range 10 West, as said sections are shown on the map recorded in Book 51 at Page 10 of Miscellaneous Maps, in the office of the County Recorder of said County. 4. 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) $1,630.00 as consideration for the execu- tion 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 exploratory 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 exploratory area, sixteen and two thirds per cent (16 -2/3 of the net proceeds re- ceived from the sale of all gas produced, saved, and sold from the lands now or here- inafter 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 orclock P.M., in the City Council Chamber in the City Hall in 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 -4- 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 $1,630.00 as provided in Paragraph 5 (a) above. BE IT FURTHER RESOLVED that the City Council does hereby advise 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 leased 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 re- serves 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: CLERK OF THE ANAHEIM 40 MAYOR OF T 1E CI OF ANAHEIM (SEAL STATE,OF CALIFORNIA COUNTY OF ORANGE CITY OF,ANAHEIM ss• I, DENE M. WILLIAMS, City Clerk of the City of Anaheim, do hereby certify that the foregoing Resolution No. 62R -139 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 -139 on the 13th day-of February, 196-2. IN WITNESS WHEREOF, I have hereunto set-my hand and affixed the official seal of the City of Anaheim this 13th day of February, 1962. CITY OF ANAHEIM