Council to get Memorial foundation details at Monday’s informal meeting

City officials are hammering out the details of how the foundation from the proceeds of the Memorial Health System.

 

Details will be shared with city council – and the public – at Monday’s informal council meeting, said City Attorney Chris Melcher.

 

Governance of the new foundation is the sticking point.

 

“I think the public will be reassured if the mayor’s office is involved in choosing the initial board,” said Steve Bach, “of course, with council approval. I respect the city charter that says council appoints boards and commissions.”

 

The foundation will be created from the $74 million up-front payment by the University of Colorado Health, as well as any money left over from paying Memorial’s debts and ending the retirement pension obligation. It will be seeded annually with a $5.6 million in lease payments.

 

Colorado Springs doesn’t have to create the foundation, because the lease agreement is with another nonprofit organization. But city officials decided early in the leasing process to segregate money from the lease for a nonprofit foundation that will focus on local health and wellness.

 

The council will vote on the lease agreement itself at Tuesday’s council meeting, as well as vote on resolutions segregating money for retirement pension obligations and debt.

 

But the lease might have at least one addition. Council member Tim Leigh asked Chris Melcher to see if UCH would agree to take over annual maintenance costs – about $50,000 – of Boulder Park, which is adjacent to Memorial’s central campus. Melcher said he planned to discuss the addition with UCH leaders this afternoon