Belknap County discusses phased rent increase to reach market rate in courts lease talks
Summary
County staff told commissioners the Administrative Office of the Courts wants market-rate rent under recent legislation; staff proposed phasing a rent increase toward $18.21 per square foot by year two and aligning terms with the Department of Corrections' lease schedule while exploring two- or four-year lease options.
County staff updated commissioners on negotiations with the Administrative Office of the Courts about renewing a lease for courthouse space. Staff said the courts cited new legislation requiring payment of market rates and that bringing the court lease to market would create a first-year cost impact the courts said they could not absorb immediately.
Staff proposed options including a two- or four-year lease structure with a staged approach to reach the suggested market rate of $18.21 per square foot by year two. Staff said the courts are currently paying $15.99 per square foot and that a phased approach — for example, partial adjustment in year one followed by the full market rate in year two — could be acceptable to both parties. Commissioners emphasized aligning lease timing and rates with the Department of Corrections’ lease schedule so agencies in the same building do not diverge on rent policy.
Commissioners asked for clarity on lease length and whether a shorter term with a quicker adjustment or a longer term with phased increases would better serve county interests. Staff said they would relay commissioners’ feedback to the Administrative Office of the Courts and return with a proposed lease language and schedule.
What’s next: County staff will follow up with the Administrative Office of the Courts, explore lease-term options and report back to the commission with a proposed structure that balances court constraints and county policy.
