REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
August 5, 2025
FROM
TERRY W. THOMPSON, Director, Real Estate Services Department
MELANIE OROSCO, County Librarian, County Library
SUBJECT
Title
Amendment to Lease Agreement with Springfield, LLC for Library and Office Space in Adelanto
End
RECOMMENDATION(S)
Recommendation
1. Find that approval of Amendment No. 8 to Lease Agreement No. 02-962 with Springfield, LLC, for library and office space, is an exempt project under the California Environmental Quality Act Guidelines, Section 15301 - Existing Facilities (Class I).
2. Approve Amendment No. 8 to Lease Agreement No. 02-962 with Springfield, LLC through the use of an alternative procedure as allowed per County Policy 12-02 - Leasing Privately Owned Real Property for County Use, to extend the term of the lease for three years, for the period of September 1, 2025, through August 31, 2028, by exercising the existing three-year option to extend, following a permitted holdover period from October 1, 2024, through August 31, 2025, adjust the rental rate schedule, add one three-year option to extend the term, and update standard lease agreement language for 4,200 square feet of library and office space for the County Library, at 11497 Bartlett Avenue Suites C-1 through C-4 in Adelanto, in the amount of $308,040, for a new total contract amount of $682,512.
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.
Provide for the Safety, Health and Social Service Needs of County Residents.
FINANCIAL IMPACT
Approval of Amendment No. 8 (Amendment) to Lease Agreement No. 02-962 (Lease) will not result in the use of Discretionary General Funding (Net County Cost). The total cost of the Amendment is $308,040. Lease payments will be made from the Real Estate Services Department (RESD) Rents budget (7810001000) and reimbursed from the County Library (Library) budget (6404012600). Sufficient appropriation is included in the 2025-26 budget and will be included in future recommended budgets. Annual lease costs are as follows:
|
Lease Year |
Annual Lease Cost |
|
*October 1, 2024 - August 31, 2025 |
$61,908 |
|
September 1, 2025 - August 31, 2026 |
$79,632 |
|
September 1, 2026 - August 31, 2027 |
$82,020 |
|
September 1, 2027 - August 31, 2028 |
$84,480 |
|
Total Lease Cost: |
$308,040 |
*Permitted Holdover Period
BACKGROUND INFORMATION
On September 24, 2002 (Item No. 42), the Board of Supervisors (Board) approved the Lease, with two two-year options and one one-year option to extend the term for 4,200 square feet of library and office space for the Library, located at 11497 Bartlett Avenue Suite C-1 through C-4 in Adelanto (Premises). The original term of the Lease was for the period of October 1, 2002, through September 30, 2007. In the 23 years since the Lease was originally approved, the Board has approved seven amendments to extend the term, add options to extend the term, adjust the rental rate schedule, and update standard lease agreement language.
|
Amendment No. |
Approval Date |
Item No. |
|
1 |
October 16, 2007 |
33 |
|
2 |
July 14, 2009 |
38 |
|
3 |
September 13, 2011 |
31 |
|
4 |
September 25, 2012 |
53 |
|
5 |
May 19, 2015 |
62 |
|
6 |
September 25, 2018 |
36 |
|
7 |
September 21, 2021 |
37 |
Library requested that RESD negotiate the Amendment to extend the existing term, which expired on September 30, 2024. Approval of this Amendment was delayed due to continued negotiations concerning the terms. On October 1, 2024, the Lease went into a permitted holdover and the Library has continued to occupy the Premises and abide by the terms of the Lease.
The Amendment will extend the term for the period of September 1, 2025, through August 31 2028, by exercising the existing three-year option to extend, following a permitted holdover period from October 1, 2024, through August 31, 2025, add one three-year option to extend the term, adjust the rental rate schedule, update the termination language to allow the County the right to terminate with a 120-day notice and update standard lease agreement language. All other terms of the Lease 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 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.
|
Summary of Lease Terms |
|
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Lessor: |
Springfield, LLC Hendon Harris, Managing Member |
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Location: |
11497 Bartlett Avenue, Suites C-1 through C-4, Adelanto |
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Size: |
4,200 square feet of library and office space |
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Term: |
September 1, 2025, through August 31, 2028 |
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Options: |
One three-year option |
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Rent: |
Cost per square foot per month: $1.58 |
|
|
Monthly: $6,636 |
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Annual: $79,632 |
|
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*Low-range for comparable facilities in the Adelanto area per the competitive set analysis on file with RESD |
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Annual Increases: |
3% |
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Improvement Costs: |
None |
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Custodial: |
Provided by County |
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Maintenance: |
Provided by Lessor |
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Utilities: |
Provided by County |
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Insurance: |
The Certificate of Liability Insurance, as required by the Lease, is on file with RESD |
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Holdover: |
Month-to-month term upon the same terms and conditions, including the rent, which existed at the time of expiration |
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Right to Terminate: |
County has the right to terminate the Lease by providing a 120-day notice |
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Parking: |
Sufficient for County needs |
PROCUREMENT
Policy 12-02 requires a thorough and detailed review by the County Administrative Office (CAO) or designee, to validate the need for and provide a competitive analysis of any lease with a term of more than 20 years. Approval of the Amendment will yield an aggregate term of 26 years, and a potential aggregate term of 29 years if the extension option is exercised.
RESD, acting in its approved capacity as the CAO designee to review proposed real property leases under Policy 12-02, completed a market analysis of comparable properties and found the current rental rate, including annual increases during the three-year extended term, to be competitive. Policy 12-02 provides that the Board may approve the use of an alternative procedure to the use of a Formal Request for Proposal (RFP) process whenever the Board determines that compliance with the Formal RFP requirements would unreasonably interfere with the financial or programmatic needs of the County, or when the use of an alternative procedure would otherwise be in the best interest of the County. The site best meets the long-term requirements of the Library, minimizes disruption to Library operations and saves on moving costs.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (John Tubbs II, and Daniella Hernandez, Deputies County Counsel, 387-5455) on July 7, 2025; Library (Melanie Orosco, County Librarian, 387-2220) on July 2, 2025; Purchasing (Ariel Gill, Supervising Buyer, 387-2070) on July 1, 2025; County Finance and Administration (Celia McDonald, 387-4286, and Eduardo Mora, 387-4376, Administrative Analysts) on July 15, 2025.
(YG: 655-0268)