Title
Rocky Mountain Line Tech Program Property Lease Resolution
Presenter:
Joe Awad, Acting Energy Services Officer
Eric Tharp, Acting Chief Executive Officer, Colorado Springs Utilities
Body
Summary:
Colorado Springs Utilities is seeking City Council approval of a Resolution finding a public purpose in a lease of less than fair market value to the State of Colorado, Department of Higher Education, by the State Board for Community Colleges and Occupational Education for the use and benefit of Trinidad State Junior College in support of the Rocky Mountain Line Technician Program.
Previous Council Action:
N/A
Background:
Section 10.2(d)(iii)(2) of The City of Colorado Springs Procedure Manual for the Acquisition and Disposition of Real Property Interests provides that if the rent under a lease in which the City is landlord is for less than fair market value, then City Council, acting by resolution, must find a public purpose in the below-market lease.
Colorado Springs Utilities has been working with Trinidad State Junior College in support of the Rocky Mountain Line Technician Program since 2008, when it entered into a Memorandum of Understanding regarding what was then known as the “Rocky Mountain Lineman School,” which provided for the collaboration of Colorado Springs Utilities and Trinidad in the formation of a program to help train students to become line technicians in the electric utility service industry (the “Original MOU”).
Since the Original MOU was signed, Trinidad has established its Line Technician Program, which provides a benefit to the electrical and communications utility industry, in general, and to Colorado Springs Utilities, more specifically, by providing training and development opportunities for future electric line technicians. This program provides important hands-on laboratory training and practical application in the line technician field.
Colorado Springs Utilities wishes to continue its collaboration with Trinidad by entering into a zero-dollar, five-year lease with Trinidad for a portion of its Pinello Ranch site for use by Trinidad to provide hands-on field training to participants in the Rocky Mountain Line Technician Program at Trinidad State Junior College. Under the Lease, Trinidad will be responsible for all costs associated with use of the Pinello Ranch site. In addition to the Lease, Colorado Springs Utilities has worked to update the Original MOU to develop a new MOU with Trinidad State Junior College.
Financial Implications:
N/A
Board/Commission Recommendation:
This item was presented at the June 20, 2018 Utilities Board meeting as a discussion item.
Stakeholder Process:
Colorado Springs Utilities has worked closely with Trinidad State Junior College and the Colorado Department of Higher Education to prepare the lease.
Alternatives:
Approve the attached Resolution finding a public purpose in the below-market lease; or do not approve the attached Resolution.
Recommended Action
Proposed Motion:
Move approval of the proposed Resolution
Summary of Ordinance Language
N/A