Agenda Packets - 2011/07/05 - Laserfiche WebLink

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Lease Proposal at MVCC July 5, 2011 Page 2 During the meeting on June 27th, staff brought up two concerns for the council to consider regarding the proposal—credit history and whether the use would be a good fit for the City’s Community Center. Regarding the former, the City does not have established criteria to assess whether a proposed tenant has the financial means to pay the rent for the duration of the lease and whether the proposed tenant has a positive rental history. Because the City so infrequently is in a position to review such leases, perhaps formal criteria are unnecessary, however in this case, should the Council determine that the use would not be inconsistent with the intended purpose of the facility, we would request suitable financial reporting from the church to confirm their ability to pay. Regarding whether the use would be a good fit for the Community Center, staff continues to feel uncomfortable with the proposal. While the Reverend has reminded the Council that a church has leased space at the Community Center previously, it should be noted that the City did not enter into a lease agreement with that entity—the City inherited the tenant when it resumed management operations of the banquet center. In addition, there were multiple use conflicts and disruptions reported as a result of that entity which perhaps biases staff’s present opinion of whether the City should lease to a religious entity. Staff is certain that Redeemed Life Church and New Horizons Resource Group are wonderful entities serving the community and the greater public good, however it may not be the best fit for our space. The following examples were provided to the Council on June 27 and are repeated herein for reference and possible discussion should the Council not support the Redeemed Life Church / New Horizons Resource Group proposal: - School type uses (e.g., adult education, classrooms, administrative functions) - Quasi-governmental entities (e.g., RCWD, conservation districts, DNR, Census, etc.) - Social Service entities (e.g., food shelf, care crew, housing assistance, legal aid, etc) - Professional office uses (e.g., lawyer, accountant, mediator, dispute resolution, etc.) - Tourism and marketing bureaus, travel agent, insurance, financial planning, etc. Recommendation: Staff seeks direction from the Council as to whether we need to prepare a suitable lease agreement with Redeemed Life International / New Horizons resource Group for Council consideration. Respectfully submitted, ________________________ James Ericson City Administrator