River Heights reviews Old School finances and prioritizes repairs after tenant complaints about cold and power issues

River Heights city staff and property manager Catalyst told the City Council on Feb. 3 that the city-owned Old School business complex generated roughly $91,000 in revenue in 2025 but still faces pressing maintenance liabilities that could threaten tenancy.

The mayor said staff and Catalyst met with the building’s manager and accountant to reconcile finances and that the records “are on the same page.” Catalyst reported the building was fully leased for 2025, bringing in about $91,000 from rent, late fees, administrative processing and CAM fees. Catalyst accounted for roughly $24,000 in direct operating expenses (cleaning, grounds, pest control, snow removal and routine repairs), while the city is still reconciling larger historic CAM costs from earlier years.

Why it matters: Council members and tenants said the building’s aging mechanicals and envelope create both tenant discomfort and a long-term liability. Council member questions focused on whether the current revenue stream is sufficient to cover a major capital expense, such as a new boiler or comprehensive HVAC upgrade.

Tenants and manager describe cold, power interruptions

Dwight Whitaker of Cache Valley Humanitarian Center, a long-standing tenant and anchor user of the building, told the council that some north-side rooms register in the 40s and that the gym sometimes reaches about 50 degrees. Whitaker said recent attempts to supplement heating with electric heaters and an iron “trips the breakers” and that staff must wait for someone with access to the boiler room to reset power. “It’s been a real struggle this month,” he said, adding that Catalyst and public works staff have been responsive.

City staff and council discussion

Public Works Director Clayton Nelson described ongoing manual operation and troubleshooting of the pneumatic controls and boiler since Christmas. He said the system “is operating itself” as of the prior week but still requires repairs and that some partitioned rooms never had functional radiators due to the original piping layout, so occupants rely on space heaters.

Council members raised several options: hiring a mechanical engineer to evaluate long-term solutions, pursuing targeted replacements (for example, replacing single-pane metal windows with double-pane units), or incremental fixes such as new steps on the east side to meet fire-marshal clearance. A contractor estimate cited in the meeting placed full-window replacement at about $63,000 for the building.

Funding considerations and next steps

Staff and council discussed pursuing grants and other outside funding; possible grant partners mentioned included Rocky Mountain Power and the community development block grant contact in Bragg County who has experience with historic rehabilitation. The mayor recommended determining a long-term technical solution before committing to a major expenditure. Council members suggested prioritizing steps and windows as near-term capital items and exploring an interfund loan or targeted bonding only if grants and other sources do not cover needed work.

The council asked staff to compile cost estimates and grant opportunities ahead of upcoming budget discussions so members can prioritize projects (HVAC, steps, windows) in the capital program.

Ending

Council concluded the item with direction for staff to gather estimates and grant options and to consider short-term safety items (east-side steps and heating remediation) before the budget cycle.