Council approves lease with Ellis County ESD No. 11 for Alma Fire Station pending insurance edits

The City Council moved to approve a lease agreement with Ellis County ESD No. 11 for the property at the Alma Fire Station, but required changes to insurance language before the lease is finalized.

Council and staff focused on liability and property insurance coverage under the proposed lease. Speakers raised concerns that the building is over 50 years old and that an insuring agent could require building work after inspection. Council asked that the ESD list the City of Alma as an additional insured and that the lease include a pass‑through clause so the city's premiums for structural coverage could be recovered from the ESD. One councilmember read lease language aloud and said, "It says, lessee shall procure, maintain policies of insurance" (S5).

Council directed staff to add a clause giving the lessee 90 days from the effective date to procure and maintain insurance, to include pass‑through language for the city's structural insurance costs, and to return the revised lease for final paperwork. A motion to approve the lease pending the agreed edits carried in the meeting's discussion.

Why it matters: the lease transfers operational responsibility for the fire station facility to ESD No. 11 while protecting the city from uninsured liability and unexpected premium costs. The changes aim to ensure personal liability for ESD members is covered and to limit risk to city taxpayers.

What’s next: city staff will incorporate the pass‑through and 90‑day insurance procurement clauses into the lease document and send the updated lease to ESD No. 11; the council approved the lease with those contingencies.