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home : features : features February 5, 2016

12/19/2012 8:46:00 AM
School district gains revenue by renting empty offices, classrooms to JTED

Sue Tone

An agreement between the Humboldt Unified School District and Mountain Institute, the Yavapai County Joint Technical Education District school, is bringing HUSD $24,647 this school year.

The additional revenue comes from renting out space at the east campus of Bradshaw Mountain High School for the Sports Medicine and Culinary Arts programs. The Sports Medicine courses, new this past semester, take place in the former high school wrestling and training rooms. It is open to all students in Yavapai County through JTED.

Because this program is offered through JTED and not the high school, JTED covers the cost of the instructor's salary and the use of the rooms. According to the Facilities Use Agreement approved by the HUSD and JTED governing boards, JTED also will pick up the cost of a half-time custodian for the additional cleaning needs and will pay a prorated portion of the utilities.

"This was a different type of agreement than our typical facility rental agreement," said Cynthia Windham, HUSD director of finance. Windham said she used templates from other types of use agreements, tweaked them and ran it through the district's attorney.

At one point, the discussion included JTED's desire to add Yavapai College to the agreement on a sublease, but the attorney nixed that idea. Yavapai College had expressed interest in developing a culinary program using the east campus kitchens, which JTED already is using in its culinary program.

JTED is paying $3,521 per month for a total 7,042 square feet, or 50 cents per square foot, retroactive to Oct. 1 and through May 31, 2013. The Humboldt District rents out the old district office building on Highway 69 for 75 cents per square foot.

"Because of our relationship with JTED and the fact that they are servicing our students, we negotiated for 50 cents per square foot," Windham said. "They needed space on short notice; this isn't a permanent arrangement."

Three tenants occupy about one-third of the Highway 69 building. One business is on a 5-year lease, and the other two are 2-year leases with a two-year option.

"At this point, we are projecting, at a full year, just over $25,000. As time goes on, we're hoping to eventually have the other suites rented," Windham added.

Ken Johnson, HUSD project manager, said the building was empty for less than six months before the governing board approved the first tenant in April 2011.

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