Board approves lease of closed Heard/Hurd campus to Beyond Autism after public comment raised concerns

The Phoenix Elementary District Governing Board on June 24 approved a lease for the recently closed Heard/Hurd campus to a private day program operator, Beyond Autism, after a lengthy public comment period and board discussion about market value, community engagement and special‑education impacts.

Public comment was sharply critical of the lease terms and of the process. Parent Allison Gulick told the board she supports programs that serve students with disabilities but criticized what she described as closing a district school and leasing the building to a private ESA‑funded provider. “If ESA funding caused the crisis, why is the district potentially profiting from it now?” Gulick asked, and she said parents of students with disabilities feel “forgotten” and “driven out of this district.” An electronic commenter, Paul Booth, requested market analyses, details about utilities and janitorial costs, and projections of net revenue and potential loss of students and ESA voucher funding.

District staff and board members said the district received multiple inquiries about available buildings and that Beyond Autism approached the district looking for space after outgrowing its current facility. According to the draft lease summary presented at the meeting, the tenant would pay $240,000 per year for roughly 11,000 square feet (district staff said the proposed rent equates to about $22 per square foot for the portion leased and that utilities and janitorial services are included in the rent). The CFO and facilities staff told the board that the district used a broker’s market analysis to set the rate and that the lease revenue would be placed partly in the civic fund and partly used to cover campus costs.

Board members raised specific concerns about prior statements that the building needed to be closed for safety or condition reasons. One board member said the district had previously characterized the campus as having an unsafe HVAC and declining enrollment, and later questioned why a tenant would occupy the building if it were unsafe. District staff replied that the building needed a “refresh” — painting and grounds work — but that it was not structurally unsafe, and that tenants would be responsible for tenant‑side improvements and any agreed‑upon upgrades above the district’s $5,000 approval threshold.

Another recurring public concern was the effect on district enrollment and special‑education funding. The electronic commenter noted the average ESA voucher for a student with disabilities and asked for a projection of potential student loss. District staff said Beyond Autism accepts vouchers but also private pay and that the district already places some students in private day programs when in‑district services are not appropriate; staff said they do not expect the lease to cause a material loss of district students.

After discussion, President Carmen Trujillo moved to approve the Beyond Autism lease and Board member Alicia Bink seconded. Roll call vote recorded: Doctor Alicia Bink: Yes; Erica Valle: Yes; President Carmen Trujillo: Yes. The motion passed and the board approved the lease. Staff said the district expects to finalize exchange of keys in July and that the tenant aims to begin operations in time for its academic calendar; the lease is “as‑is” and tenants will obtain board approval for improvements above $5,000.

Board members asked facilities staff for a written summary of the broker’s market analysis, the lease net revenue expectations (separating real estate rent and service/utility pass‑throughs), and a memorandum explaining how lease proceeds will be applied to guardrail priorities. Several board members also requested a clearer family engagement process to involve neighbors and families when buildings change use in future transactions.

The board approved the lease at the meeting and the district will return with final signed documents and the requested supporting analyses.