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BOCC debates whether Granby hangar leases should require lessees to insure county-owned buildings

Grand County Board of County Commissioners · September 10, 2024
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Summary

Commissioners discussed whether county hangar leases should keep lessees responsible for building replacement even when the county insures county-owned hangars. Legal counsel said commercial leases can shift maintenance to lessees; commissioners asked staff to research peer counties and clarify liability vs. structural insurance.

County staff raised a policy question about five county-owned hangars at the Granby Port: current leases require the lessee to be responsible for the hangar, "even in the case of natural causes," while the county also insures the buildings under its CAP policy. Airport staff said a prospective lessee could not obtain insurance because the lease made the lessee responsible for a building they do not own.

County legal counsel cautioned that commercial net leases frequently place maintenance and certain risks on lessees, but said the BOCC must decide what policy best serves the county. Commissioners asked staff to compare peer county approaches and clarify what liability insurance covers versus county coverage if a major natural disaster occurs; staff were directed to return with recommendations.