REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF BOARD GOVERNED COUNTY SERVICE AREAS
AND RECORD OF ACTION
August 18, 2026
FROM
NOEL CASTILLO, Director of Public Works - Special Districts
TERRY W. THOMPSON, Director, Real Estate Services Department
SUBJECT
Title
License Agreement with County Service Area 70, Zone Cedar Glen, for Use of County Service Area 70, Zone D-1 for Office and Storage Space in Lake Arrowhead
End
RECOMMENDATION(S)
Recommendation
1. Acting as the governing body of County Service Area 70, Zone D-1:
a. Find that approval of License Agreement with County Service Area 70, Zone Cedar Glen, for use of 1,732 square feet of office and storage space, is an exempt project under the California Environmental Quality Act Guidelines, Section 15301 - Existing Facilities (Class 1).
b. Approve License Agreement with County Service Area 70, Zone Cedar Glen, for the non-exclusive use of a total of 1,732 square feet of office and storage space at 29419 Torrey Road (Assessor’s Parcel Number 0330-011-38-0000) in Lake Arrowhead which:
i. Approves a no-fee License Agreement for a 10-year term commencing September 1, 2026 through August 31, 2036, including one 10-year automatic option to renew.
ii. Approves the termination of Agreement No. 13-431, following a permitted month-to-month holdover from July 1, 2023 through August 31, 2026.
c. Direct the Real Estate Services Department to file the Notice of Exemption in accordance with the California Environmental Quality Act.
2. Acting as the governing body of County Service Area 70, Zone Cedar Glen:
a. Approve a no-fee License Agreement with County Service Area 70, Zone D-1, for the non-exclusive use of a total of 1,732 square feet of office and storage space at 29419 Torrey Road (Assessor’s Parcel Number 0330-011-38-0000) in Lake Arrowhead, for a 10-year term commencing September 1, 2026 through August 31, 2036, including one 10-year automatic option to renew.
b. Approve the termination of Agreement No. 13-431, following a permitted month-to-month holdover from July 1, 2023 through August 31, 2026.
(Presenter: Terry W. Thompson, Director, 387-5000)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Promote and Fulfill the Countywide Vision.
Operate in a Fiscally-Responsible and Business-Like Manner.
FINANCIAL IMPACT
Approval of this item will not result in the use of Discretionary General Funding (Net County Cost). There will be no revenue generated under the proposed License Agreement (License). The License is provided at no cost for the 10-year term commencing September 1, 2026 through August 31, 2036. Administrative costs and fees associated with the Notice of Exemption and California Environmental Quality Act (CEQA) will be funded by County Service Area 70, Zone D-1 (CSA D-1) (1301301408). Adequate appropriation has been included in the CSA D-1 2026-27 recommended budget.
BACKGROUND INFORMATION
On June 25, 2013 (Item No. 100), the Board of Supervisors (Board) approved Agreement No. 13-431, a 10-year revenue License with County Service Area 70, Zone Cedar Glen (CSA Cedar Glen), with a total cost amount of $120,000, for a period of July 1, 2013 through June 30, 2023, including one five-year option to extend the term.
CSA Cedar Glen License expired June 30, 2023, and has remained on a month-to-month holdover pursuant to the License Agreement because this is a no-fee, public agency-to-public agency agreement for continued public use. The holdover allowed uninterrupted road maintenance operations while the parties agreed a long-term agreement was in their mutual best interest.
Approval of this item will authorize a 10-year license agreement, with one 10-year automatic option to renew, between CSA D-1 and CSA Cedar Glen for continued non-exclusive shared use by CSA Cedar Glen of 1,732 square feet of CSA D-1-owned office space and exterior storage space because of the continuing need for CSA Cedar Glen to provide services to its customers in the Cedar Glen area.
CSA D-1 occupies a total of 1,732 square foot office and warehouse facility, together with an additional warehouse building, located at 29419 Torrey Road in Lake Arrowhead (Premises) as a headquarters for its operations near Papoose Lake in Lake Arrowhead. CSA D-1 utilizes the facilities to direct the operations of employees assigned by Special Districts to the Lake Arrowhead area and for storage of equipment needed for their operations.
CSA Cedar Glen is responsible for the operation and maintenance of the domestic water supply system for Cedar Glen. Since September 2008, CSA Cedar Glen has shared office space and stored equipment within the Premises. Upon Board approval of this board item, Agreement No. 13-431 will be terminated and replaced by this license agreement. The new agreement will be a no-fee agreement between CSA Cedar Glen and CSA D-1.
The proposed no-fee license structure reflects the continued shared operational use of the facility by two Board-governed County Service Areas providing public services within the Lake Arrowhead and Cedar Glen communities. The arrangement supports the efficient delivery of services through continued co-location and shared use of the facility.
The project to approve the License was reviewed pursuant to CEQA and determined to be categorically exempt under Section 15301 - Class 1 Existing Facilities because the proposed License continues an existing use of previously disturbed land with negligible or no expansion of use. Accordingly, no further action is required under CEQA.
|
Summary of License Terms |
|
|
Licensee: |
County Service Area 70, Zone Cedar Glen |
|
|
|
|
Location: |
29419 Torrey Road (Assessor’s Parcel Number 0330-011-38-0000) in Lake Arrowhead |
|
|
|
|
Size: |
1,732 square feet of shared office space and interior and exterior storage space |
|
|
|
|
Term: |
10 years, September 1, 2026 through August 31, 2036 |
|
|
|
|
Options: |
One automatic 10-year renewal option |
|
|
|
|
Rent: |
No Fee |
|
|
*Low-range for office and storage space in the Lake Arrowhead area per the competitive set analysis on file with the Real Estate Services Department (RESD) |
|
|
|
|
Annual Increases: |
None |
|
|
|
|
Improvement Costs: |
None |
|
|
|
|
Custodial: |
Shared between CSA D-1 & CSA Cedar Glen |
|
|
|
|
Maintenance: |
Shared between CSA D-1 & CSA Cedar Glen |
|
|
|
|
Utilities: |
To be provided by CSA D-1 |
|
|
|
|
Insurance: |
Both parties are self-insured, public entities |
|
|
|
|
Holdover: |
Upon the end of the term, if permitted by Licensor, the License shall continue on a month-to-month term |
|
|
|
|
Right to Terminate: |
Either party may terminate within 30-days’ notice |
|
|
|
|
Parking: |
Shared parking consistent with existing operations |
PROCUREMENT
Not applicable.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (John Tubbs II, Deputy County Counsel, 387-5455) on August 13, 2026; Special Districts (Henry Mac, Division Manager, 389-8822) on July 16, 2026; Purchasing (Jessica Barajas, Supervising Buyer, 387-2065) on July 16, 2026; and County Finance and Administration (Matthew Dalton, 387-5005, and Eduardo Mora, 387-4376, Administrative Analysts) on July 29, 2026.
(CM: 840-266-0977)