REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
December 16, 2025
FROM
TERRY W. THOMPSON, Director, Real Estate Services Department
SUBJECT
Title
Amendment to Lease Agreement with the City of Chino Hills for Office Space and Patio Area in Chino Hills
End
RECOMMENDATION(S)
Recommendation
1. Find that approval of Amendment No. 4 to Lease Agreement No. 09-71 with the City of Chino Hills for office space and patio area is an exempt project under the California Environmental Quality Act Guidelines, Section 15301 - Existing Facilities (Class 1).
2. Approve Amendment No. 4 to Lease Agreement No. 09-71 with the City of Chino Hills to:
a. Extend the lease term for four years by exercising the existing option, following the current term which expires on February 28, 2027, for the period from March 1, 2027 through February 28, 2031.
b. Add one four-year option to extend the term of the lease.
c. Update the use and maintenance provisions, and standard lease agreement language.
d. Continue leasing approximately 2,500 square feet of office space and 840 square feet of patio area at 14000 City Center Drive in Chino Hills for the Fourth District Board of Supervisor’s Office.
e. Increase the total lease amount by $4, from $18 to a new total amount of $22.
3. Direct the Real Estate Services Department to file the Notice of Exemption in accordance with the California Environmental Quality Act.
(Presenter: Terry W. Thompson, Director, 387-5000)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Operate in a Fiscally-Responsible and Business-Like Manner.
FINANCIAL IMPACT
Approval of this item will not require the use of Discretionary General Funding (Net County Cost). The total cost of Amendment No. 4 (Amendment) to Lease Agreement No. 09-71 (Lease) is $4 commencing on March 1, 2027, following the expiration of the existing term. Lease payments will be made from the Real Estate Services Department (RESD) Rents budget (7810001000) and be reimbursed from the Board of Supervisors (Board) Fourth District budget (1004001000). Other costs associated with this Amendment include carpet and paint, which will be paid directly from the Fourth District budget. Sufficient appropriation will be included in future recommended budgets in both the Rents and Fourth District budgets. Annual Lease costs are as follows:
|
Year |
Lease Cost |
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March 1, 2027 - February 29, 2028 |
$1 |
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March 1, 2028 - February 28, 2029 |
$1 |
|
March 1, 2029 - February 28, 2030 |
$1 |
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March 1, 2030 - February 28, 2031 |
$1 |
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Total Cost |
$4 |
BACKGROUND INFORMATION
On January 27, 2009 (Item No. 24), the Board approved the six-year Lease, with one four-year option to extend the term of the Lease with the City of Chino Hills (City) for 2,500 square feet of office space located at 14000 City Center Drive in Chino Hills (Premises). The original term of the Lease was for the period of April 1, 2009 through March 31, 2015. In the 16 years since the Lease was originally approved, the Board has approved three amendments to add 840 square feet of outside patio area, extend the term of the Lease, add options to extend, and update standard lease agreement language.
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Amendment No. |
Approval Date |
Item No. |
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1 |
April 21, 2015 |
54 |
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2 |
December 18, 2018 |
53 |
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3 |
February 28, 2023 |
60 |
The Fourth District has requested that RESD negotiate an amendment to allow the Fourth District to assume responsibility for the cost of replacing the carpet and repainting the interior of the Premises. The carpet and paint have not been replaced since the Fourth District first occupied the space in April 2009, and the Fourth District has expressed interest in updating the finishes. As the annual rental rate for the Premises remains well below current market value, the Fourth District has proposed to assume responsibility for these costs.
The existing Lease term expires on February 28, 2027. This Amendment exercises the existing four-year option to extend and adds one additional four-year option for potential future lease extension. The current term will continue through February 28, 2027, and the extension term will be from March 1, 2027 through February 28, 2031. The Amendment will also update the rental rate schedule and revise the use provision to clarify that if the Premises is no longer used for the Fourth District’s office and the County elects to assign the space to another department, the Lease will be amended and a fair market rental rate will be negotiated. In addition, standard lease agreement language will be updated. All other terms and conditions of the Lease will remain unchanged.
The project to approve the Amendment was reviewed pursuant to the California Environmental Quality Act (CEQA) and determined to be categorically exempt under CEQA Guidelines, Section 15301 - Class 1 Existing Facilities because the proposed Lease is to secure property to operate within the existing structure with negligible or no expansion of existing use.
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Summary of Lease Terms |
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Lessor: |
City of Chino Hills Benjamin Montgomery, City Manager |
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Location: |
14000 City Center Drive, Chino Hills, CA 91709 |
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Size: |
2,500 square feet of office space, and 840 square feet of patio area |
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Term: |
Current term is March 1, 2023 through February 28, 2027, followed by an extension from March 1, 2027 through February 28, 2031 |
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Options: |
One four-year option |
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Rent: |
$1.00 annual rent |
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Annual Increases: |
None |
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Improvement Costs: |
None |
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Custodial: |
Provided by Lessor |
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Maintenance: |
Provided by Lessor, with the exception of replacing the carpet and repainting the Premises, which will be Lessee’s responsibility when deemed necessary by Lessee |
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Utilities: |
Provided by Lessor |
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Insurance: |
Lessor and Lessee are both self-insured public entities |
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Holdover: |
Upon the end of the term, if permitted by Lessor, the Lease shall continue on a month-to-month term upon the same terms and conditions which existed at the time of expiration |
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Right to Terminate: |
County has the right to terminate with 90-days’ notice |
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Parking: |
Sufficient for County needs |
PROCUREMENT
Not applicable.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (John Tubbs II, Deputy County Counsel, 387-5455) on October 30, 2025; and County Finance and Administration (Eduardo Mora, Administrative Analysts, 387-4376) on November 25, 2025.
(YG: 665-0268)