Dolores, Colorado) 7 B00D TO Mayor and Trustees From: Ken Charles DT: October 24, 2022 RE: Workshop materials fori the discussion with the community center board members lattended the October 11 Community Center board meeting. Besides normal business items, the board also turned their attention to the need for a new floor and several other smaller capital items. This willl be a$30,000-$40,000 expense. As you: see from the budget information the community center operates on less than $30,000. As the building ages the need for additional repairs or upgrades will increase. In 2022, the community center received $4500f from thei town through the community donations program for primarily kitchen repairs. The town also plows snow from the community center parking lot. The community center board has discussed the concept oft the Town of Dolores taking ownership and therefore responsibilityl for the operations and maintenance of the facility. While Thave had discussions with an individual board member, this was thei firsti timelmet with the entire board.Idon'ts sense thisis something that the board thinks is imminent nor are all board members comfortable with such a move. The community center board requested a meeting withi town officials to 1) give an over view of the community center's operations, how iti functions, who uses the center etc., and 2) have ani initial discussion about transfer of ownership. Pros Many small communities own and operate community centers. So, iti is common. Off hand in our region, Mancos, Silverton, Pagosa Springs, City of Ouray, Ouray County all own and operate community centers. Community Centers are an asseti tot the community in that they provide a service to the community asa place to hold events, community groups, such as senior citizens, regularly use community centers. Itisa place for weddings or memorials, festivais and other private indoor events. Local governments have access to grant funds for capital improvements that not-for-profits do not. Cons The major concern is financial. It would be a new facility to manage and maintain. It is unlikely that the center would be able to break even, so there would be a new budgetary item(s) in the town budget to balance the center budget. Janitorial and management services (same person) are onlya a $7,200 expense. Those two line items would certainly increase, if the town had al half-time person performing those duties. Small towns like Dolores do struggle financially to maintain these facilities, just as the not-for- profit community center organization currently does. Liquor licensing would need to be worked out. Currently, political affiliated organizations use the community center. Wouldi this be an issue? There are other options then outright ownership fori the town. For example, thet town could become a strategic partner with the center by contributing funds for larger maintenance items and improvements. Could utilization of the center increase and could the town assist with that. 420 Central Ave, P 01 Box 6301 Dolores, CO. 81323 Ph. 970-882-7720 fax. 970-882-7466 www.owpofdolores.com u -S s 5 9 $ 95 5 $ 9 - S S & S S S S u S s S 3 S S S 3 3 S - 4 $ $ s $ 5 - S s 9s S S 5 1 $S S 5 3 S 3 5 3 5 S 5 5 5 S 4 5 S S 1 wwws 3 9 -S S ooo S S S S -S S 5 S 5 S S -S 5 I 4 0 Dolores, Colorado) E 1900 TO Mayor and Trustees From: Ken Charles DT: October 24, 2022 RE: List ofi information Galloping Goose No. 5 . Jon Kelly Summary I. Various records pertaining to Acquisition of the Goose No.5 5in: 1954 I. Lease of Flanders Park1 to the Dolores Rotary Club and subsequently the GGHS IV. Current lease and operating agreement betweeni the Town and the GGHS 420 Central Ave, P 01 Box 630 Dolores, CO. 81323 Ph. 970-882-7720 fax. 970-882-7466 www.ownordolores.com October 24, 2022 Current Situation: Galloping Goose No. 5-Attorney's Report The Galloping Goose was acquired by the Town of Dolores andi is presently leased to the Galloping Goose Historical Society pursuant to a long-term lease that requires maintenance of liability insurance with the Town as a named insured. Historical society volunteers regularly operate the Goose on the Durango and Silverton raill line as well as on the Cumbres and" Toltec raill line between Chama, New Mexico and Antonito Colorado. Members of the public routinely ride the Goose on these excursions. The Town staffisr recommending transferring title to the Goose to the Historical Society under an agreement that would require title to revert to the Town of Dolores in the event that the Society ever dissolved or wished to sell it." This is similar to an arrangement the City of Durango made with al historic locomotive it Goose is a railroad car andi is not titled as a motor vehicle. owned. Reasons to Transfer Title: Town staffa and the Town Attorney are concerned about the potential for liability to the Town under the present arrangement. Although the Goose is insured by the historical society with the Town as a named insured, ownership oft the Goose presents novel legal questions when it is operated on railways and during transport, especially while operating out of state. The Goose wasi recently involved in a car-train collision when in operation in Durango and requires regular and extensive maintenance. Transfer of legal ownership would eliminate these liability conçerns. Reasons Not to TransferTitle: Past Town boards, however, have worked hard to retain ownership of the Goose, viewing it as a special heritage of the Town of Dolores. Transferring title would reverse the work of prior boards. (These concerns can be addressed through a carefully drafted transfer agreement that would require transfer ofownership back to the Town at such time as the Historical Society dissolves or wishes to surrender Present lease arrangement gives the Town at least some limited oversight on how the Goose is cared by the Historical Society. Transfer of ownership would leave the Trustees with no oversight. ownership). Attorney's Recommendation: Iti ist the Town Attorney's opinion that the public interest would best be served by eliminating any possibility ofl liability for accidents while the Goose is in use on the rail lines or in transport by transferring title. This would be pursuant to an agreement that would revert title to the Town of Dolores as discussed above. Recorded at. Reception No Recorder. KNOW ALL MEN BY THESE PRESENTS: That PIERPONT to him in hand paid at or bofore HO/100 the ensealing of TI RIO GRANIE FULLER, JR., a5 Rocciv SO:PIEPL,PAILIDAD COMPAHY, TYC UR Donver ANP FIITY' in AHD the State of Colorado, of tho first part, City for andi and in considerution County Dollars, 1A whereof County 1 is herely grant.and convey unto thr CP contincn ther-in. at Ridgway, Colorado. SOUTIERN RAILIOAD and encumbrincos of prior to tho duto of this or delivary of thoso presents by CTPK oP DOLORIS aokowledged, Montozuma haa said of the ,in the Stato of Colorado, of the sccond part, the bargained and sold, and by theso presents doos rocoipt purty of the sacond part, 1b3 ing property, goods and chuttels, to-wit: EmatrFaaihhsms; Rnil Hotor 33 successors or assigus, tho follo:. cortents 'nrl cquipment: attachoi thuroto :o. 5, sopeti.r wiu: Ponvor and Rlo Grande Westorn Railrond is,". on 3idotrac!: of Court lor tho District of Colorado in thc Unilod Stutcs Vistrict RAUE AR) UST COMPAITY Vs. TIE RIO ORAIDE case of CLIAL LAIO. :R! confirna by Court or'dor datod 9177, dated Junc 23, 1952, and sold frau undl cloar of all clalms, July, lions 17, 1952. Said muporty :1 Suid Woi tor bus is sold "as 1u," "whoro Suid salo 1: mudo pursuant to order of COMPAIX, Consolidated Causo Ho. evory lind, S.ncluding taxos accruing ualc, locotud.at TOIAVE. AND TO HOLD tho same, unto the said crecutors, administrators, successors or nssigns, forover. party of tho second part, its Agrou.aaxa6 maBPhria.pa KOVArAEXXXXNA: A7AAriRO TSN XMIA: sokMX3xXXX uuto SE thv'sd6:6Ealia PpaV/padaNana, horeby.niade- IN WITNESS WIEREOF, The party of the firat and soul this tvonty-oipht: Signul, senled and dolivored: in the presenca of or'ussigis,- 4.D.1052. part has hereunto sot hls hand E dayo! Jul.y T RTC GRAHE RAILEOAD" COSYY" -[SEAL) -[SEAL) [SDAL] STATE Or COLORADO, City and Comty of Denvor j- 1052 Thu by" foragoing Pieryont ustrument was acknowledged beforo mo this 2th doy uf July, WITNISS my hand uud Pullor, officialscul. Jr., as Recolvor of Tho Rio Granda Scuthorn! My commission expirus march1qs4 Ra:lresd Company. ary Publie PLtlmyk ar: MAI AeAMEIAT IE by natural PersON insort or porsnns nano Inzert mamo or nnas: by DArBON aettnr in Stuhlury Mallen, AckiviloiyncnL, thon LnorL 1uune Sunaion of wuehotticer 1947, or an otticerw, xocutor, us CE tho prowidont or othor othor otticora reprosairlative auch or ABLATTALS corporatlon, cnpnelty sftiegr 35/ A. BILL oP SALK,--Thul Draifur-fleblosea) Pie. Co., Mtes, Rolinaoa'Lagal Diauks, 18403 svout Sh Denver, Colv, naining it. Nu, eety: Nov.22, 1999 RE: The Galloping Goose #5 To Whom It May Concern: I,Jack C. Kinkade, along with other members of the Dolores-Rotary Club purchased Rail Motor Bus No. 5(The Galloping Goose #5)f for" The Dolores Rotary Club from The Rio Grande Southern Railroad Company. Wel had thel bill ofsale made out to the" Town ofl Dolores in case the Dolores Rotary Club ceased to exist. We wanted the Galloping Gooses #5 to always be a part of! Dolores. Ifthe Rotary club folded or lost its charter, then the * Galloping Goose # 5" would revert to the Town of Dolores. We paid $250.00 for the Goose in 1952. Verytrulyours, VJack CI Kinkade State ofColorado County ofl Montezuma GEIS Subscribed and sworn before me this 23rd day ofl Nov. 1999. Notary Public My commission expires: 9-2-2695 THE RIO GRANDE SOUTHERN RAROAD COMPANY PIERPONT FULLER, JR.., RECEIVER 828 Symes Bulldlag DENVER 2, COLORADO C.W, GEN. GRAEDING MANAGER AND AUDITOR R.R. BOUCHER SUPERINTENDENT July 28, 1952 Louis F. Pell, Jr. Atborncy at. Law Box 437 Dclores, Colorado Dear Hr. Poll; Thank you for thc 0250 in payment for cose Tho Goose is now roady i'or delivory cn a Ho. 5. I am enclosing the bill of sale transferring titlo of the Gooso to the City of Doloros. - sidins at Ridgway. While wo are vatching tho proporty as woll as we can, I would liko to have you tako possession as soon as possiblo. I am making this bill of sale to the City of Bolores, rather than to thc Rotary CIuh, wit tho idoa that then thero can be no question as to tho tranuaction beins subject to the Volorado sulcs tnt. I a not so surc that a salc to the Ro Lary Club voula bo czempt. Howcvor, 11 you profor, I will redruw thu bill of salco Yours yory truly, Receivor Ehcan. PP-3 The Town ob Dolozes Montezuma Coynty Colorado Dolores, Colorado 12-13-54 Dolores Rotary Club, R. W. Phillips : President Dolores, Colo. Sir : ThelPoard of Trustoes of the Town of Dolores, Colorado granted permission, at Regular Meeting of December ?th, 1954, to The Dolores Rotary Club to place their Galoping Goose in the N. W. Corner of the Town Fark, , ( Flariders P-rk ). Very Sincerly 4 V. Rush Ruk hy Towm Clerk Dolores, Colo. 3A Che Balloplg B00sE istorbcal Socbetg of Dolores, goc. Gallopinge DOLORES, COLORADO A567 GALLOPING GOOSE HISTORICAL SOCIETY 2641 82-492/1021 OPERATING ACCOUNT PH, 970-882-7082 POBOX297 DOLORES,CO 81323 FuRs DOLORES 970-564-1400 September 9, 2014 9-82oik sa500 00 60 Dollars 0 E e TgacDaier Town of Dolores P.O. Box Dolores, Lwony She Gotbre Dtate Bank 970-882-7600 CORTEZ. For Selamdlense TWOS SIGNATURES REQUIRED-- a 630, CO81323 OPEE leYatza 1021049275 36839401 02645 Honorable Mayor & Please find enclosed checki in the amount of $25.00 with respect to our Land Lease agreement with the Town of Dolores. Automatically rénewed for another 25 year term, running from and including the 31* day of December, 2014, and continuing and including the 31st of December 2039. Thanky you, Sincerely, Mag Denise Bowyer Business Manager, GGHS 3 Box297 . Dolores, Colorado 81323 . (970) 882-7082 . Fax [970) 882-3243 . wlopngposascom: "ghss@centurytelnet Ge Ballpbng B00SE istorbeal Sochetg of Dolores, ge. Gallnping DALARES, COLORADO Boz 297 . Dolares, Colorado 81323 . 870-882-7082 August 21, 1997 Town ofDolores PO Box 360 Dolores CO 81323 Ini reviewing our files we have found that we need to pay on our land lease for thel land which the Dolores Depot rests upon. This ninety-nine year lease runs from 19891 to 2088. and the one dollar payment is due each year on September 1st. According toi my records I can only find that wel have paid the $1.00 on November 22, 1993. Therefore including this currents year's payment, we owe you for the years of1989, 1990, 1991, 1992, 1994, 1995, 1996, and 1997. Ihave enclosed check number 1279 for $8.00. This should get up to this current year. Thank you Janet Wagner S Treasurer Galloping Goose Historical Soceity ofDolores, Inc. COIORADO HISTORICAL SOCIETY The Colorado History Museum 13001 Broadway Denver, Colorado 80203-2137 COREGINAL March 14, 1994 Jim Cattles Mayor, Town of Dolores Box 630 Dolores, CO 81323 Dear Mayor Cattles: We are pleased to announce the listing on March 9, 1994 of the Galloping Goose No. 5, 421 Railroad Avenue, Dolores in the State Register of Historic Properties for the State of Colorado. The official list of State Register Properties is maintained by the Colorado Historical Society. If you have questions about the nomination or the State Register program, please contact Holly Wilson (303) 866-4684 for further information. Sincerely, A BeHha President, Colorado Historical Society James E. Hartmann JEH/HW:jc LEASE AND OPERATINGAGREEMENT (TOWN OF DOLORES- - THE GALLOPING GOOSE: HISTORICALSOCIETY) WHEREAS, the Town of Dolores, Colorado is the owner of the Galloping Goose No. 5 (hcrcafter "the Goose"), located in Flanders Park at the replica Rio Grande Souther Railroad Depot, Dolores Colorado, and WHEREAS, it was the intent of the original purchasers who donated the Goose to the Town of Dolores, placed the Goose ini the' Towns name, that the Goose remain in the Town ofl Dolores, Colorado tos showcase an important part of the Town's history, and as a visible part oft the' Town's identity, and WHEREAS, the Galloping Goose Historical Society (hereinafter referred to as Society) is a non-profit organization formed for the purpose to preserve and promote the history of the Historical Rio Grande Southern Railroad, and the restoration, operation and maintenance of Galloping Goose No. 5,and WHEREAS, the Society entered into an agreement with the Dolores Rotary Club to restore and operate Goose No. 5 (aka Motor No. 5) with Rotary to retain ownership of Goose No. 5 without the knowledge that the Town of Dolores was the legal owner of the Goose No. 5 and that the staled purpose of" "the Society" is the restoration and operation of Goose No. 5, and WHEREAS, the Society has over the years constructed a Replica Railroad Depot (hereafter referred to as Depot) and restored Goose No. 5 to a historically accurate operating condition as is feasible, and THEREFORE the Town and the Society hereby enter into this agreement and agree as follows: 1. The Town hereby leases the Goose exclusively to the Society, at no cost, for display at the Depot located in Flanders Park Dolores, Colorado and for operating on narrow gauge railroads that fall under the regulations of the Federal Railroad Administration or the Colorado Department of Transportation. 2. The Society shall be solely responsible for entering into agreements with the owners and 3. The Town Manager or the Town Board of Dolores' designee shall act for the Town in all matters concerning this agreement, unless otherwise stated. The President of the Society and a designee appointed by the Society's Board of Directors shall act for the Society in all matters operators of any railway to operate the Goose oni its tracks. concerning this agreement, unless otherwise stated. 4. In the first quarter of each calendar year, the Society shall provide the Town with its plan for expected operations of the Goose for that calendar year. The Town shall have the right to review the plan and discuss changes with Society within 30 days of the submittal by the Society. Ifthe' Town does not discuss changes with the Society within such 30 day period, the plan shall be deemed acceptable as submitted. 5. The plan for Goose operations may be modified throughout the year, the Society shall submit such modifications to the Town and the Town shall have the same right to review such modifications within 31 days ofs submittal and discuss changes as provided in Paragraph 4. 6. Special events may arise such that the Goose needs to be operated on too short a notice to fulfill the conditions in Paragraph 5. The Society shall inform the Town of such an event as soon as possible, and make the best effort to discuss the event with the Town as soon as possible. The Town shall retain a right of written approval for expected operations (Paragraph 5), as well as modified operations (Paragraph 6)ifthe Town responds to the notices from the Society within the 30 day time period set forth in Paragraph 4. The Town shall also retain a right of written approval of special events submitted pursuant to this Paragraph 6. Any such rights of approval shail not be unreasonably withheld by the Town. In the case of an event that does not allow 30 days for ai response by the Town, the notice from the Society shall state the latest date that a response would be needed from the Town concerning the event. Should the Town not respond by the date specified, then the operation of the Goose in the designated event shall be deemed acceptable as submitted. 7. Ifnecessary the Society shall coordinate the movement of the Goose in and out of Flanders Park with the Town Manager or Board designee; provided, however, it is understood and agreed that the: responsibility for movement oft the Goose shall rest solely with the Society. 8. The Society shall have the sole responsibility for the general maintenance oft the Goose in its restored historical look and working configuration, using generally accepted historical preservation and restoration techniques. 9. The Society shall be responsible for acquiring and maintaining, as its sole cost and expense, adequate liability insurance coverage during the term of this Agreement, in such amounts as the Town may reasonably approve. The amount ofi insurance required during any given year shall be determined subsequent to review of the plan of expected operations as provided for in Paragraph 4, 5 and 6 above. The Society shall also maintain adequate liability insurance to satisfy the requirements of the owner of any particular railway on which the Goose will operate. The Society shall name the Town ofDolores as an additional insured on the all of the Society's policies concerning the Goose. The parties shall exchange copies ofi insurance coverage which each has on Goose No. 5 after the procedure set forth in Paragraph 4 above. 10. The Society shall bei responsible for all costs of operating and maintaining the Goose. 11. The Society shall be responsible for raising the funds required to operate and maintain the Goose and for administering the acquisition and expenditure of such funds. The Society shall be responsible for administering the terms of grants or donations for such funds from public and private institutions and from individuals. 12. The Society may receive revenue as result of operating the Goose. All revenue received by the Society will remain with the Society for use in covering costs of operation and maintenance, for use in educational activities associated with the Goose, or for other restoration and preservation projects that fulfill the stated objectives ofthe Society. 13. The Town shall consider providing assistance and support that are within its means, such as providing work and storage space, utilities, and reasonable use ofTown service subject to the approval ofthe" Town Manager or Board's designee. 14. The Town agrees to continue its insurance coverage ofthe Goose (replacement cost). 15. Should any grant application or contract with the Society require a signature from the Town as owner of the Goose, the Town Manager or Board designee shall sign after authorization by Town Board for the Town. The signature of the Town Manager or Board designee only recognizes that the Town is owner of the Goose and shall not bind the Town to any of the terms of any agreement or contract entered into by the Society. 16. In the first quarter of each calendar year, the Society shall provide the Town with the Society's annual report on the operation and maintenance of the Goose including income and expenses of Society attributable to the Goose forj past calendar year. 17. The Society acts through its Board of Directors. The members of the Board of Directors are: not employees of or agents for the Town. The Society shall have no authority, express or implied, tol bind the Town to any agreements or understandings. 18. For any agreement or contract into which it enters, the Society agrees toj perform the scope of work in accordance to the terms and conditions set: forth in such an agreement or contract and to be responsible for the work ofits subcontractors. 19. The Society shall indemnify, save, and hold harmless the Town, its officers, employees and agents, against any and all claims, damages, liability and court awards, including attorney fees, costs and expenses incurred as a result of any act or omission by the Society or its volunteers and subcontractors inj performance oftheir duties under agreemients and contracts entered into by Society. 20. Subject to the protections, immunities, monetary and other limits of the Colorado Governmental Immunity Act, the Town shall indemnify, save, and hold harmless the Society, its directors, volunteers and agents, against any and all claims, damages, liability and court awards, including attorney fees, costs and expenses incurred as a result of any act or omission by the Town or its employees and agents in performance of their duties under agreements and contracts between the Town and the Society. 21. The members of the Society's Board of Directors are jointly and severally obligated to 22. The term of this agreement shall be ten years. The agreement shall be automatically renewed for additional periods of five years each unless or until either party decides to terminate the agreement at the end ofa current period of the agreement, by giving a minimum of nine months written perform according to the terms oft this agreement. notice oft the intent oftermination. 23. Should the Society cease to exist, this agreement shall be terminated. Should the Society be unable toj perform maintenance duties for aj period oftwelve months or more, this agreement shall be terminated. The Society shall give notice to the Town ifit decides to disband or can no longer actively maintain the Goose. Should the Town perceive that the Society no longer exists or no longer provides maintenance for a period of a year or more, the Town shall give notice to the Society that iti intends to terminate the agreement ini ninety days. The Society shall have the right to provide reasonable grounds to continue the agreement. One of the possible reasonable grounds shall be that the Goose will not be in operation for a period of more than a year and requires no maintenance during that period, but that the Society does intend to continue with operations and maintenance as events warrant. 24. This Agreement may not be assigned by either party without the express written permission ofthe other party, which permission may be withheld at the discretion ofthe non-assigning party. 25. This Agreement shall be construed and interpreted in accordance with the laws of the State of Colorado, and as sO construed and interpreted, shall be binding upon the respective parties, their successors and permitted assigns. IN WITNESS WHEREOF, this Agreement is entered into between the Town ofDolores and the Galloping Goose Historical Society this 22nd day of] June, 2015. GALLOPING GOOSE: HISTORICALSOCIETY OF DOLORES INC,ACOLORADO NON-PROFIT ORGANIZATION BY: President yhtk ATTEST: President Ah Vicel z THE TOWN OF DOLORES ASTATUTORYTOWN BY: Falhcbn Duvall Truelsen, Mayor AA Lana Hancock, Town Clerk : Ch Michael F. Green, Town Attorney