Department of the City Manager’s Office
Reference: Lease Renewals for Historic City Hall
To: Mayor Gregory Mills and Members of City Council
Through: Marv Falconburg, Acting City Manager
Prepared By: Nicole Samson, Strategic Initiatives & Governmental Affairs Manager
Date Prepared: January 21, 2020
PURPOSE
To present the option to continue to lease space at Historic City Hall to nonprofit organizations.
STRATEGIC FOCUS AREA
Financially Responsible
Strong Regional Relationships and Partnerships
BACKGROUND
The City owns Historic City Hall, located at 22 South 4th Street, and has been leasing space in this building to nonprofit organizations since 2011. The organizations that are currently located in the building include the American Highland Cattle Association, the Colorado Horse Council, the Colorado Thoroughbred Breeders Association, and the Rocky Mountain Quarter Horse Association. Section 17.3 of the Brighton City Charter states that City Council may not “mortgage or encumber public utilities or permanent public buildings or real or personal property except by ordinance or majority vote of the electors at the option of the Council.” Therefore, staff is requesting Council’s approval of leasing office space to the nonprofit organizations.
FINANCIAL IMPACT
Leasing the office space at Historic City Hall helps to defray the cost of utilities and general maintenance of the building and surrounding property. These four leases will offset approximately $2,737 a month in costs to keep the building open. Also, it provides reasonably priced office space for local nonprofit organizations. The rent charge is based solely on the cost of the utilities and maintenance at an amount equal to the space renting. The total cost to the City to pay the utility and maintenance costs for the building is $9,995 a month.
STAFF RECOMMENDATION
Approve the proposed ordinance.
OPTIONS FOR COUNCIL CONSIDERATION
1. Approve the proposed ordinance, which approves leasing office space to nonprofit organizations that are currently operating out of Historic City Hall.
2. Do not approve the ordinance and stop leasing space to the nonprofit organizations currently operating out of Historic City Hall.
ATTACHMENTS
An Ordinance of the City Council of the City of Brighton, Colorado, approving four lease agreements for City-owned real property located at 22 South 4th Street (The “Historic City Hall”), and authorizing the City Manager to execute said lease agreements on behalf of the City
Leases for the American Highland Cattle Association, the Colorado Horse Council, the Colorado Thoroughbred Breeders Association, and the Rocky Mountain Quarter Horse Association