REPORT/RECOMMENDATION TO THE BOARD OF DIRECTORS
OF SAN BERNARDINO COUNTY FIRE PROTECTION DISTRICT
AND RECORD OF ACTION
March 11, 2025
FROM
DAN MUNSEY, Fire Chief/Fire Warden, San Bernardino County Fire Protection District TERRY W. THOMPSON, Director, Real Estate Services Department
SUBJECT
Title
Amendment to Lease Agreement with San Bernardino City Unified School District for the New Development of Fire Station 227 in San Bernardino
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RECOMMENDATION(S)
Recommendation
Acting as the governing body of the San Bernardino County Fire Protection District:
1. Find that approval of Amendment No. 1 to Lease Agreement No. 24-354 with San Bernardino City Unified School District, for unimproved land is an exempt project under the California Environmental Quality Act Guidelines, Section 15601 (b)(3) - Common Sense Exemption and conditioning all future uses and development of the vacant land.
2. Approve Amendment No. 1 to Lease Agreement No. 24-354 with the San Bernardino City Unified School District to update the amount of acres and request to expand the land by adding 0.21 acres for a new total of 1.21 acres, for the use of unimproved land (portion of Assessor’s Parcel Number 0154-281-01-0000) located at 3825 North Mountain View Avenue in San Bernardino, and adjust the rental rate, increasing the contract amount by $64,050, from $305,000 to $369,050, with no change to the 50-year term commencing on the “Commencement Date” as defined in the lease agreement.
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)
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COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Provide for the Safety, Health and Social Service Needs of County Residents.
Pursue County Goals and Objectives by Working with Other Agencies and Stakeholders.
FINANCIAL IMPACT
Approval of this item will not result in the use of Discretionary General Funding (Net County Cost). The total cost of Amendment No. 1 (Amendment) to Lease Agreement No. 24-354 (Lease), which is a 50-year ground lease, amounts to approximately $369,050, which includes an initial payment of one dollar, a lump sum payment of $305,001, which has already been made by the San Bernardino County Fire Protection District (SBCFPD), and a remaining balance of $64,050 due after the Commencement Date which shall take place 10 business days after all Entitlements and/or Agency Approvals have been completed. Then, there will be subsequent annual rent payments of one dollar for the duration of the Lease term. Lease payments will be made from the Real Estate Services Department (RESD) Rents budget (7810001000) and reimbursed from the SBCFPD Valley Regional Service Zone budget unit (5802272434). Sufficient appropriation is included in SBCFPD’s 2024-25 budget.
BACKGROUND INFORMATION
It is recommended that the SBCFPD Board of Directors (Board) approve this Amendment with the San Bernardino City Unified School District (School District) to update the leased acreage to 1.21 acres and adjust the rental rate to a total lump sum payment of $369,050.
On May 7, 2024 (Item No. 58), the Board approved the 50-year ground Lease which includes a 49-year extension option and allows SBCFPD to lease approximately one acre of unimproved land (a portion of Assessor’s Parcel Number 0154-281-01-0000) located at 3825 North Mountain View Avenue in San Bernardino (Property). The Lease terms originally included an initial payment of one dollar, followed by a lump sum payment of $305,000 after the Commencement Date, and an annual rent of one dollar thereafter.
A recent reassessment of the Property identified a discrepancy in the amount of acres compared to the design needs of a preferred site for replacement Fire Station 227, which required an adjustment to reflect the acres that may be occupied by SBCFPD. Additionally, the rental rate has been revised to align with the updated acres and current market conditions, resulting in an adjusted lump sum payment increase of $64,050.
Approval of this Amendment will enable the Project and Facilities Management Department (PFMD) to solicit competitive bids for a Capital Improvement Program Project to allow for the potential construction of a replacement SBCFPD Station 227, currently located at 282 West 40th Street in San Bernardino. SBCFPD plays a critical role in providing emergency and fire protection services to the City of San Bernardino and surrounding jurisdictions.
On May 7, 2024 (Item No. 58), the Board for SBCFPD found that the ground lease agreement to acquire the Property is exempt from California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) - Common Sense of the CEQA Guidelines (Title 14 of the California Code of Regulations). The Lease is intended to acquire the Property as a preferred site for potential future use and development of a fire station, subject to CEQA compliance at such time, as there are currently no specific development plans in existence that would allow for meaningful environmental review at this time.
Approving the Amendment will ensure that the Lease accurately reflects the revised acreage and rental rate and allow SBCFPD to plan for critical infrastructure for fire protection services.
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Summary of Lease Terms |
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Lessor: |
San Bernardino City Unified School District Dr. Scott Wyatt, Board President |
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Location: |
3825 North Mountain View Avenue, San Bernardino, CA 92410 |
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Size: |
1.21 acres portion of Assessor’s Parcel Number 0154-281-01-0000 |
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Term: |
50 Years |
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Options: |
One 49-year option to extend |
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Rent: |
$1 as an initial payment and a total lump sum payment of $369,050 with $64,050 of the total payable after the Commencement Date and $1 in annual rent thereafter |
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Custodial: |
Provided by SBCFPD |
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Maintenance: |
Provided by SBCFPD |
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Utilities: |
Provided by SBCFPD |
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Insurance: |
The Notice of Insurance, as required by the Lease, is on file with RESD |
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Holdover: |
Month-to-month basis upon the same provisions of the Lease, including the rent |
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Right to Terminate: |
SBCFPD may terminate with 90-day notice |
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Parking: |
Sufficient for Lessee needs |
PROCUREMENT
County Policy 12-02, Leasing Privately Owned Real Property for County Use shall not apply to leases of real property owned by a federal agency, the State, a city, a county, a school district, special district, or other public entity. The Board or the County Administrative Office, pursuant to County Resolution No. 2000-248 shall, as required by law, approve all such leases.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (John Tubbs II, and Rick Luczak, Deputies County Counsel, 387-5455) on February 13, 2025; San Bernardino County Fire Protection District (Dan Munsey, Fire Chief/Fire Warden, 387-5952) on February 14, 2025; Purchasing (Dylan Newton, Buyer, 387-3377) on February 13, 2025; Finance (Ivan Ramirez, 387-4020, and Eduardo Mora, 387-4376, Administrative Analysts) on February 19, 2025; and County Finance and Administration (Paloma Hernandez-Barker, Deputy Executive Officer, 387-5423) on February 24, 2025
(AR:501-7579)