AGENDA DATE: 5/6/2020
TITLE:
Title
Proposed Emergency Assistance to Tenants - Old Crozet School Arts (OCSA), The Field School of Charlottesville, The Crozet Artisan Depot LLC, and Crozet Running LLC
BODY
SUBJECT/PROPOSAL/REQUEST: Proposal to support emergency assistance to four County tenants in the form of adjustment or waiver of rents and late fees during the COVID-19 Disaster.
ITEM TYPE: Consent Action Item
STAFF CONTACT(S): Richardson, Henry, Kamptner, Herrick, Stewart, Freitas
PRESENTER (S):
LEGAL REVIEW: Yes
REVIEWED BY: Jeffrey B. Richardson
BACKGROUND: The County has five private sector tenants leasing a total of 24,443.5 square feet in three County owned facilities. The Old Crozet School Arts (OCSA) and The Field School of Charlottesville rent space in the Old Crozet Elementary School. The Crozet Artisan Depot, LLC rents space in the Old Crozet Train Depot. Staengl Engineering, LLC and Crozet Running, LLC rent space at the Crozet Library. The combined monthly rents from the five tenants total $14,055.95. To date, all the tenants’ rents are current and their leases are in good standing.
STRATEGIC PLAN: Economic Prosperity: Foster an environment that stimulates diversified job creation, capital investments, and tax revenues that support community goals.
DISCUSSION: The outbreak of COVID-19 and Governor Northam’s Executive Orders 53 and 55 have affected the operations of many County businesses. These circumstances arose suddenly and could not be considered in business planning. Information regarding each County tenant’s operational situation and efforts to seek aid are provided under separate memorandum (Attachment A). On March 27, 2020, the Board of Supervisors adopted an Emergency Ordinance to Ensure the Continuity of Government During the COVID-19 Disaster, which provides the Board with broad authority to support efforts to stop the spread of the virus. As a landlord, the County may elect (but is not required) to waive rent and/or associated late payment penalties. As proposed, the draft resolutions (Attachments B-E) would support the County Executive, acting as the County’s Director of Emergency Management, in waiving or deferring rent and/or late payment penalties for four of the County’s tenants during May and June 2020 and possibly future months, to be determined. Note that one of the County’s tenants, Staengl Engineering, LLC, is not seeking County assistance at this time.
BUDGET IMPACT: Each rent waiver would result in the following monthly loss of revenue: 1) OCSA - $2,965.77, 2) The Field School of Charlottesville - $4,904.00, 3) Crozet Artisan Depot, LLC - $1,615.14, and 4) Crozet Running, LLC - $2,834.41.
RECOMMENDATION:
Recommendation
If the Board wishes to support any or all of the proposed emergency assistance, staff recommends that the Board adopt the attached resolutions (Attachments B-E).
ATTACHMENTS:
A - Tenant Information
B - Resolution, OCSA
C - Resolution, The Field School of Charlottesville
D - Resolution, Crozet Artisan, LLC
E - Resolution, Crozet Running, LLC