FO-R-1: Lease/ Licence to Occupy Selection Criteria

Classification: 
Facilities Development
Code: 
FO-R1

REGULATION

Surplus Space Lease and License Criteria will assist with the selection of proponents who could lease or license surplus building space, by incorporating the criteria into all selection processes. The purpose of the “Primary Criteria” is to ensure organizations meet the requirements of the Board and that some form of a social contribution is made to the community. The “Secondary Criteria” provides direction to ensure the proponent is a solid entity from which the Board would wish to enter into a lease or license arrangement.

SURPLUS SPACE LEASE AND LICENSE CRITERIA
PRIMARY CRITERIA:
Maximize Revenue and Minimize Costs:
• Willingness to enter into a ‘triple net’ lease; the lessee or licensee agrees to pay all real estate taxes, building insurance and maintenance in addition to rent, utilities and custodial fees.
• Length of proposed term acceptable to the Board. Must be less than ten years, including all options and rights of renewal, unless to another school district or approved by the Minister of Education.
• Any lease will require specific Board bylaw approval prior to being granted.
• Lessee or licensee to take full responsibility for any renovation and restoration costs.
Supplemental to Public School K-12 Offerings:
• Aligns with the Board’s beliefs and land use policy.
• May provide value-added benefits or services to the Board.
• Not for operation of an Independent School as defined by the BC Independent School Act, except that this policy shall not apply to a lease or license that prior to July 01, 2016 the Board has granted or agreed in writing to grant, including any fixed definite and enforceable rights of renewal.
Minimize Impact on Community:
• Must comply with Board Policy “KMGA: Incompatible Land Uses Near Schools”.
• Must comply with Board Policy “FNC: Community and Commercial Use of Facilities and Grounds” and Board Regulations FNC-R-1, FNC-R-2, FNC-R-3 and FNC-R-44.
• May provide value-added benefits or services to the community at large (i.e. childcare, advanced education, housing, a public authority, partnership).

SECONDARY CRITERIA:
Zoning Considerations:
• Consider whether intended use is allowed within existing zoning and community plan.
• Rezoning may be considered provided it is entirely at the user’s expense and would not interfere with the Board’s ability to reuse the space for educational purposes in the future.
Financial Strength of Lessee or Licensee; insurance coverage, three years’ financial statements:
• Willingness to provide financial records at time of application and as requested.
• Ability to maintain its operation and programming expenses in a way that is financially viable and sustainable.
• Agreeable that all capital and ongoing operational and maintenance costs are to be borne by the lessee or licensee.
• Proof of adequate liability insurance on terms required by the Board.
Type of Organization:
• Must provide information on organization/company/society and include information on owner(s)/director(s)/board member(s).
• Information on proposed use to include: 1) type of use/activity, 2) participants and number of users, 3) population served by the primary use, 4) partnerships, and 5) special events (exceptional to use and hours of operation – including schedules).
• Hours and days of operation / Parking and access to space.
Occupancy Date:
• Statement with proposed term of lease or license and occupancy date.
• Willingness to commit to key milestone dates, with the goal to have the earliest commencement and occupancy dates as possible.
Potential to Share Facility:
• Willingness to share space for use by the Board and the community at large.
• Proposed use of playground and fields including number of users, seasonal use and daily use.

Adopted Date: 
Friday July 01, 2016