Woodland Park boards explore sale of 500 East Kelly's Road as Merit Academy seeks to buy and repair building

The Woodland Park School District RE-2 board and representatives of Merit Academy met in a joint work session to discuss options for the district-owned facility at 500 East Kelly's Road, which Merit Academy seeks to acquire so it can finance roughly $3,000,000 in safety and facility repairs.

The conversation centered on three problems: the building’s deferred maintenance (an estimated $3 million in needed repairs), Merit Academy’s inability to obtain capital financing while it does not own the building, and the district’s limited financial capacity and legal limits on taking on additional debt or cosigning loans.

Merit Academy representative Keegan said, “Merit Academy covers the operations and superficial maintenance... All of the health, safety, security facets are district responsibility because it’s a district owned building,” and added that contractors will not provide loans or bond collateral to the school while it lacks ownership of the property.

District staff member Aaron Salt said district personnel have called in outside professionals for some urgent problems, adding, “We have called in, professionals, and Jason can probably speak a little bit better to this.” Salt and other board members said the district prioritizes repairs by life-and-safety needs but lacks a holistic, funded facilities plan to address all buildings’ needs.

The meeting reviewed historical enrollment decline and revenue changes that frame the current financing problems. Board members and staff cited a long-term enrollment drop in the district (from a peak of roughly 3,360 students in the early 2000s to about 1,844 in the current counts discussed at the meeting) and the recent loss of a sales-tax revenue stream that had been used as an alternative to bonds.

Board members and Merit leaders discussed alternatives to an outright sale, including long-term lease or a contract for use; district legal limits and financing constraints were repeatedly raised. A Merit representative said outside funders and lenders repeatedly told them they will not underwrite capital projects for a school that does not own its building. The board noted state law gives the district a right of first refusal if a charter school ever sells a building it purchased, and participants asked that contractual language protect the district from a subsequent third-party sale that would remove community control.

On the value and proposed mechanics of a transfer, one board member summarized a proposal floated during the meeting: sell the building for a nominal amount (for example, $1) and include repurchase or right-of-first-refusal provisions so the district could reacquire the property if Merit later vacates it. The district’s counsel and board members prompted that any such transfer would need contract terms spelling out how improvements paid for by Merit would factor into any repurchase price.

No formal motion or vote took place. The boards identified immediate next steps: obtain a professional valuation (appraisal) of 500 East Kelly's Road and for district staff to produce clearer, itemized financial figures showing the district’s potential savings or cost shifts if Merit were to assume responsibility for the building. Aaron Salt was asked to return with accurate financial numbers for the district’s operational savings and exposures; board members also discussed drafting any future resolution collaboratively and in public.

Why this matters: the conversation affects where roughly 500–570 Merit students are educated, the district’s capital-planning options for other buildings and could change who bears the cost of needed safety and facility work. Board members emphasized the need for a clear appraisal, precise cost estimates, and contract language that protects district interests before any transfer would be considered.

The boards adjourned without deciding to sell, lease, or otherwise transfer the property and agreed to reconvene after the appraisal and financial reports are complete.