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Committee signs off on direction for revised nonprofit leasing policy, asks staff to prepare written rules
Summary
Athens-Clarke County’s Government Operations Committee directed staff to draft a revised nonprofit leasing policy that sets objective, tiered evaluation criteria, adjusts facility-use hours, clarifies financial tests and preserves a revenue-share for event rentals; staff will return a written policy for formal action.
The Athens-Clarke County Government Operations Committee on Dec. 15 reviewed a revised nonprofit leasing framework and authorized staff to prepare a written policy incorporating the committee’s changes.
County presenters told the committee the proposal creates an objective, standardized set of evaluation criteria for nonprofit leases, including verification documents and a tiered rent structure. Under the staff plan, a base market rate of $6 per square foot would apply to organizations that do not meet a majority of the criteria. Organizations meeting intermediate thresholds would receive a 50% discount; those meeting a higher standard of 'substantial public benefit' could be eligible for a nominal $1-per-year lease.
The presenter said the goal is "moving towards an objective and standardized leasing criteria" so leases are "evaluated consistently and transparently." Commissioners emphasized that the policy must be defensible: the county attorney warned a $1 lease could be vulnerable under the gratuities clause unless the county can show clear, objective evidence of substantial public benefit.
Key changes the committee directed staff to include in the written policy: scholarships that fully cover program seats should count as a no-cost service; the strict residency percentage test was removed; facility-access expectations were reduced to 25 hours per week (MOUs with partner organizations may be counted toward that total); and financial stability should be shown using either the most recent fiscal year or an average of the prior three fiscal years.
Staff proposed 13 total evaluation criteria and a three-tier scoring approach (examples discussed were 6–8 criteria for moderate benefit and 9 or more for substantial benefit), with weighted documentation options including annual reports, client-tracking data and IRS filings. Presenters also outlined a process for allowing lease-rate reductions proportional to approved capital investments (for items such as roofing or HVAC) that reduce county capital liabilities; Central Services would vet such investments and any lease amendments would return to the commission.
Presenters recommended retaining the existing event revenue-share: after the first $3,600 of rental revenue, the county receives 10%. Staff provided historical receipts showing variability in those shares across fiscal years.
The committee voted to authorize staff to draft the full policy for the agenda cycle, with staff aiming for an effective date aligned with upcoming lease expirations — July 1, 2026 was cited as the target. The committee also asked staff to circulate a written draft in advance and offered a short work-session if colleagues requested more explanation.
The committee’s direction does not finalize rent or eligibility rules; staff will return the written policy and any recommended ordinance or administrative changes for formal consideration and vote.
