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HomeMy WebLinkAbout09-22-2025 Amendment No. 3 - Agricultural Ground Lease between the City of SLO and Central Coast AG Network1 AMENDMENT NO. 3 AGRICULTURAL GROUND LEASE BETWEEN THE CITY OF SAN LUIS OBISPO AND CENTRAL COAST AG NETWORK This Amendment No. 3 to the Agricultural Ground Lease (“Lease”) is entered ________________, by and between the City of San Luis Obispo (the "City") and Central Coast Ag Network, a California public benefit non-profit corporation ("CCAN"). RECITALS A. The City owns certain agricultural land within City limits, commonly identified as the Calle Joaquin Agricultural Reserve, 0 Calle Joaquin, San Luis Obispo. B. CCAN is a nonprofit corporation whose purpose is to champion a sustainable local and regional food system to ensure a nourishing, diverse and abundant supply of food that is resilient, safe and secure, and CCAN seeks to manage the on-site agricultural production and agricultural education and activities under sustainable agriculture practices. C. On January 7, 2013, the City and CCAN entered into the Lease for the purpose of putting the majority of the Premises into active sustainable agricultural use, while permitting development of a portion of the Premises, not to exceed the percentage allowable per zoning regulations, for facilities for the aggregation, light processing and distribution of agricultural products grown locally or on the Premises as part of a local food system as well as facilities to provide educational and agricultural support. D. On February 1, 2013, the City acquired additional property and on May 2, 2013, entered into Amendment No. 1 with CCAN to add this additional property into the Premises. E. On January 27, 2022, the City entered into Amendment No. 2 that extended the term for another 40 years, and amended terms to reflect operational changes, as well as to incorporate updates in local and state legislation governing water use in the context of the Sustainable Groundwater Management Act (SGMA). F. On June 18, 2025, the City received a letter request from CCAN (City Farm SLO) requesting the addition of approximately 1.5 acres of contiguous City land to the existing Lease area. G. Both City and CCAN desire to expand the lease area with this Amendment No. 3, and the existing Lease rate of $1.00 per year will continue in consideration of CCAN’s ability to also continue to expand its delivery of clear and measurable community benefits and accomplishment of significant City goals, plans, or policies, as provided for under Section 475-C of the City’s Financial Management Manual. AGREEMENT 1. The area of the City’s Lease with CCAN is hereby amended to include an additional area of approximately 1.5 acres, as shown on Exhibit A, which is incorporated herein. Docusign Envelope ID: FB818671-BD8B-4FED-83A4-90E75BA4DAC0 9/22/2025 | 7:50 AM PDT 2 2. The additional land area will be operated and managed consistent with all other terms and conditions of the Lease, which shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed the day and year first written above. CITY OF SAN LUIS OBISPO _________________________________ Mayor ATTEST: ____________________________ City Clerk Approved: ____________________________ City Manager Approved to as form: ____________________________ City Attorney CENTRAL COAST AG NETWORK, a California public benefit non-profit corporation __________________________ President ___________________________ Secretary Docusign Envelope ID: FB818671-BD8B-4FED-83A4-90E75BA4DAC0 3 EXHIBIT A Docusign Envelope ID: FB818671-BD8B-4FED-83A4-90E75BA4DAC0