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<br />440 y is
<br />would be turned in within the next 12 months. There are only 11 other such play-
<br />grounds in the United States.
<br />REPORT ON BID OPENING, LEASE OF PORTION OF STUFLSAFT PARK FOR MINING•OPERATIONS.
<br />City Attorney stated that the following bids were received:
<br />Hall B. Piggott and Richard L. Dinely: will pay a royalty of 14% of all net profits
<br />received over the sum of 425,000.00 and 50% of all net profits received in excess -i
<br />of 45o,000.00.
<br />'In"making computations of net profits, there must first be decucted from the gross
<br />proceeds the cost of mining, hauling, processing and any other reasonable expense
<br />properly chargeable against said operation including the cost of inspection as is
<br />to be provided for in the'lease. 1 7
<br />Southern'Engineering Corporation bid with the following terms:
<br />1. No.cash bonus is offered.
<br />2. Twenty percent of all mercury recovered, before expenses are deducted.
<br />3. For financial responsibility, we refer you to the Farmers National Bank, Los
<br />mazts to be covered by a performance bond, such bond will be given.
<br />5. The site to be returned to a condition useable for park purposes but inasmuch
<br />as the present slopes are as much as 60 degrees a "level" condition would be
<br />impracticable, unless this term is intended to mean benching or terracing.
<br />6. All other conditions as outlined in the "Invitation to Bid" will be complied
<br />with in full.
<br />Indian Monument Uranium Mining Corporation bid on the following basis: Fifteen per cent
<br />gross rayalty on all ore which has a mercury content of ten pounds or less per
<br />ton and twenty-five per cent gross royalty on all ore having a mercury content
<br />of more than ten pounds per ton.
<br />In the alternative, a ten per cent gross rayalty on all ores mined and a fifty-
<br />fifty division of the"net profits after the deduction of the ten per cent gross
<br />' royalty, the cost of installation of the furnace and All operating expenses.
<br />Homes by Sterling, Oddstad Homes, offer to lease from the City such land as is deter-
<br />mined by, -A. F. Oddstad, Jr., to contain cinnabar in quantities which will be econ-
<br />omically feasible to process. Such lease shall give the Lessee, A. F. Oddstad, Jr.,
<br />full right to explore, develop, excavate and remove,ores, process ores, and market
<br />mercury extracted from ore. At the conclusion of the mining operation, the above
<br />lease shall be concelled.
<br />As payment for the leasing of the above property, A. F. Oddstad, Jr., shall give to
<br />the City of Redwood City 50% of the profit derived from the sale of mercury
<br />extracted from the ore on the land owned by the City. Profits shall be determined i)
<br />9
<br />by deducting the cost of the exploration, development, mining, processing and
<br />marketing, as indicated above, which cost shall be $27.00 per ton of ore handled,
<br />which in my opinion will show a profit after the expense, as indicated above, has
<br />been deducted from the sale price.
<br />If, in the opinion of the undersigned, the cinnabar on property being developed by
<br />Oddstad Homes and property owned by the City is determined to be of sufficient
<br />Angeles.
<br />For business references, to the
<br />Los Angeles Chamber
<br />of Commerce.
<br />4.
<br />At such
<br />time as'the Council will clarify
<br />and make specific the
<br />exact reouire-
<br />mazts to be covered by a performance bond, such bond will be given.
<br />5. The site to be returned to a condition useable for park purposes but inasmuch
<br />as the present slopes are as much as 60 degrees a "level" condition would be
<br />impracticable, unless this term is intended to mean benching or terracing.
<br />6. All other conditions as outlined in the "Invitation to Bid" will be complied
<br />with in full.
<br />Indian Monument Uranium Mining Corporation bid on the following basis: Fifteen per cent
<br />gross rayalty on all ore which has a mercury content of ten pounds or less per
<br />ton and twenty-five per cent gross royalty on all ore having a mercury content
<br />of more than ten pounds per ton.
<br />In the alternative, a ten per cent gross rayalty on all ores mined and a fifty-
<br />fifty division of the"net profits after the deduction of the ten per cent gross
<br />' royalty, the cost of installation of the furnace and All operating expenses.
<br />Homes by Sterling, Oddstad Homes, offer to lease from the City such land as is deter-
<br />mined by, -A. F. Oddstad, Jr., to contain cinnabar in quantities which will be econ-
<br />omically feasible to process. Such lease shall give the Lessee, A. F. Oddstad, Jr.,
<br />full right to explore, develop, excavate and remove,ores, process ores, and market
<br />mercury extracted from ore. At the conclusion of the mining operation, the above
<br />lease shall be concelled.
<br />As payment for the leasing of the above property, A. F. Oddstad, Jr., shall give to
<br />the City of Redwood City 50% of the profit derived from the sale of mercury
<br />extracted from the ore on the land owned by the City. Profits shall be determined i)
<br />9
<br />by deducting the cost of the exploration, development, mining, processing and
<br />marketing, as indicated above, which cost shall be $27.00 per ton of ore handled,
<br />which in my opinion will show a profit after the expense, as indicated above, has
<br />been deducted from the sale price.
<br />If, in the opinion of the undersigned, the cinnabar on property being developed by
<br />Oddstad Homes and property owned by the City is determined to be of sufficient
<br />
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