Title
Consider approving Resolution No. 2015-016 authorizing the City Manager to execute a notice of termination of lease agreement between Honors Academy and the City of Farmers Branch, and take appropriate action.
Body
BACKGROUND:
In 2010, the City entered into a lease agreement with Honors Academy regarding the property located at 13605 Webb Chapel Road. In December, 2013 the Texas Education Agency (TEA) announced its intent to revoke the charter of Honors Academy. Subsequent legal action between TEA and Honors Academy has left the status of the Honors Academy charter unclear, though Honors Academy stopped providing classroom instruction at its Farmers Branch location in November, 2014.
DISCUSSION:
The lease agreement between the City and Honors Academy is currently valid until August 14, 2016. However, the lease agreement provides for termination provided the City gives written notice of termination no later than March 15. The lease agreement as approved in 2010 requires rent payment of $10.00 per year from Honors Academy. Exercise of this early termination option would therefore have negligible impact to revenues.
RECOMMENDATION:
Recommended motion by City Administration to approve Resolution No. 2015-016 authorizing the City Manager to execute a notice of termination of the lease agreement between Honors Academy and the City of Farmers Branch.
ATTACHMENTS:
1. Resolution No. 2015-016