Authorize a five-year lease agreement, with two five-year renewal options with Eugene Bragg Smith, Jr. Trust dba E-Bar-S Ranch, for approximately 275 acres of City-owned land in Dallas and Kaufman Counties, to be used for agricultural purposes for the period January 1, 2026 through December 31, 2030 - Estimated Revenue: Dallas Water Utilities Fund $11,512.00

The City Council is set to authorize a five-year lease agreement for approximately 275 acres of City-owned land located in Dallas and Kaufman Counties. The land will be leased to Eugene Bragg Smith, Jr. Trust dba E-Bar-S Ranch for agricultural purposes, specifically cattle grazing. The lease term is from January 1, 2026, through December 31, 2030, with two additional five-year renewal options. The estimated revenue for the Dallas Water Utilities Fund is $11,512.00 over the initial five-year term, with annual rental payments increasing incrementally from $2,155.00 in 2026 to $2,425.00 in 2030. The lessee is responsible for all upkeep, maintenance, security, and operational costs, including fencing, debris removal, and levee repair, as the land is part of the Lake Ray Hubbard watershed.

This lease agreement will generate revenue for the Dallas Water Utilities Fund through the agricultural use of city-owned land. Residents may see continued agricultural use of the 275 acres in Dallas and Kaufman Counties, with the lessee responsible for all maintenance and upkeep.

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