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Regular Council Meeting June 13, 2022 Page 5 building over the summer months and Ms. Black answered in the affirmative. Mr. Path said we were almost to the month of July and he did not recommend the City taking possession of the building for the summer months to start renting it. Council Member Pankaj said the City should start looking at that in the future. Mayor Portugal inquired about the time for renewal of the lease agreement. Mr. Path said it was April 30th and discussions had begun because there was a two-year renewal option. A Motion to waive the rent for June, July and August and begin paying again in September was made by Mayor Pro -Tem Hughes and seconded by Council Member Savage and Council Member Knox. Motion carried, 7 ayes — 0 nays. 14. Discuss a request from Supreme All, Inc. to consider donating the Event Center to their non-profit corporation. Mr. Path said this lease was attached to the previous agenda item. He also said that Supreme All, Inc had requested that the City consider donating the facility to their non-profit corporation because they wanted to utilize more of the building than just the kitchen area. Mr. Path said their wish was to provide youth development activities on the weekend and weekdays. Mr. Path informed Council that pursuant to Texas Local Government Code 253.011, the City may transfer property to a non-profit at no expense and without notices and bidding on the condition that the property be perpetually and primarily used for public purposes. He also informed Council if that was not followed, then the building would revert to the City and that the stipulation remains with the deed forever. Mr. Path said the alternative was to place this building out for bid and sell it. Mr. Path explained the primary issue was determining if there was public purpose going into the transaction and then being maintained throughout the life of the new ownership. He said the Council would need to make factual findings that the uses to which Ms. Black intends to put the property are indeed public purposes. Mr. Path explained that Supreme All, Inc. would need to pay for a survey in order to survey off the property for platting purposes and it was advisable that the City require the parking lot be included in this. He said that Ms. Black was at the meeting tonight to answer any questions they might have. Council Member Pankaj said this sounded like a business decision and he could not make a decision without seeing the property. He inquired about the programs and funding. Ms. Black said they were getting the grants going. Council Member Pankaj said he wanted to study this and have more discussion prior to making a decision. Council Member Moore that she thought this would be awesome because the building was close to low-income housing where the kids could walk over to participate in programs. Mayor Portugal asked if there was a board of directors, and said she would like to see the financials of Supreme All. She said they were responsible for tax dollars and it was important that they were transparent. She inquired about grants and fundraisers. Ms. Black said under the current lease agreement, she could not hold fundraisers at the building. Council Member Pilgrim said he would like to see the tax returns for 2019, 2020 and 2021 and the balance sheets. He wanted to know who would regulate the deed restrictions. Mr. Path said the City would not be policing the deed restrictions but if they received a complaint, they would look into it. Council Member Pilgrim asked for an explanation