County Debates Fairness Of Liberty Lake Leases

Liberty Lake companies that pay $100 a year to use public land are getting too good a bargain, Spokane County Commissioner John Roskelley contends.

Five companies lease 90-foot-wide strips along Appleway Avenue. They include Egghead Software, which leases about an acre, and Telect Inc., which wants to increase its lease from about 1 acre to 2-1/4.

On Tuesday, Roskelley objected to Telect’s request, which would double the company’s annual rent to $200. A private landlord would charge far more, he said.

“We’re giving (the leases) away,” said Roskelley. “We ought to at least be getting the fair market value.”

Commissioners put Telect’s lease on hold for at least a week, while county staff determine market value and settle other issues. But the delay doesn’t necessarily mean the company’s rent will increase - at least not to fair-market value, as Roskelley desires.

Commissioner Phil Harris wants to honor the lease or sell the land to Telect. Commissioner Kate McCaslin said she may consider raising the lease to match the tax a private owner would pay on the land - about $1,200 a year, according to early county estimates.

“Telect provides hundreds of well-paying jobs, so I don’t think we ought to be saying this is a giveaway,” McCaslin said.

The narrow strip is part of the old Milwaukee Railroad right-of-way that pierces the Valley. The county bought it years ago to build a limited-access highway.

In the early 1990s, commissioners discussed selling the Liberty Lake portion of the right-of-way, since that portion isn’t needed for a road. They decided not to sell, in case the land ever is needed for a light-rail system.

In the meantime, the county leases the land to companies that own adjacent parcels. The companies can’t put permanent buildings on the public land, since the county can end the leases with just 30 days’ notice.

County engineer Bill Johns said that 30-day clause limits how much the county can charge for the land.

Telect, which has 600 Liberty Lake employees, uses its acre of public land primarily for ponds to hold runoff from the company headquarters, which is on private land. It wants another 1-1/4 acres to expand its parking lot and handle more storm water.

Telect co-founder Judi Williams said the nearby public land was one reason the company settled at Liberty Lake in 1989. The company needs the additional land because it is expanding, she said.

“When we purchased this property, we knew that it (the public land) was here and that the county was willing to lease it to us for $100 a year,” said Williams, adding that “it’s hard to respond” to Roskelley’s comments until she knows how much he wants to raise the rent.

Johns said that if not for the leases, the county would have to mow and maintain the land. As it is, the companies do the work.

“Most of our right-of-ways don’t look that good,” he said.

McCaslin, who represents Liberty Lake and most of the Valley, said constituents have complained that the county land Telect wants is weedy.

“This gives us an opportunity get out of this maintenance, which we’re apparently so ill-equipped to handle,” she said.

, DataTimes MEMO: This sidebar appeared with the story: What’s next? Commissioners put Telect’s lease on hold for at least a week, while county staff determine market value and settle other issues.