Dec 3, 2015 TEMPE, Ariz.
City of Tempe and Bridgestone Agree to Lease Extension on Tempe Town Lake Rubber Dams
The City of Tempe and Bridgestone Industrial Products America, Inc., today announced an agreement to extend and amend the city's existing lease on the rubber dams supplied by Bridgestone Industrial Products America, Inc. at Tempe Town Lake.
The rubber dam bodies have enabled the City of Tempe to dam the Salt River and create Tempe Town Lake. When the warranty on the original rubber dam bodies expired six years ago, Bridgestone Industrial Products agreed to rent replacements to the city for an additional five years, allowing the city time to evaluate and select the steel gate technology that is currently being installed as the replacement dam system for Tempe Town Lake.
The original termination date for the lease was Dec. 26, 2015. Today’s amendment extends the lease until June 1, 2016.
"We are glad to support the City of Tempe and its citizens with the project at the lake that has become a hub of commerce for the city," said James Wheeler, Bridgestone Industrial Products, Director of Operations and Finance & Secretary.
Under the original lease, the rent for the additional five-month rental period would have been $1.5 million. Under the amendment agreed to by Bridgestone and Tempe, that rent is reduced to $740,000, and if the bladders are removed by June 1, 2016, the rent is further reduced by an additional $500,000, to $240,000.
This lease extension allows the city to temporarily move most of the water in Tempe Town Lake to the Salt River Project's canals while the city removes the leased rubber dam bodies, and performs additional maintenance at the lake. Moving the water to the SRP canals is a conservation effort that also saves the city the cost of replacing most of the water.
”Tempe Town Lake is a treasured and valuable economic engine, tourist attraction and recreation destination,” said Tempe Public Works Director Don Bessler. “This is an important agreement with Bridgestone that enables the city to complete the installation of the new western dam at Town Lake and ensure that this incredible asset is preserved and able to continue thriving for the benefit of our community. The city appreciates Bridgestone’s ongoing partnership in extending the lease and agreeing to reduced rent.”