REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF THE COUNTY OF SAN BERNARDINO
AND RECORD OF ACTION
January 5, 2021
FROM
TERRY W. THOMPSON, Director, Real Estate Services Department
SUBJECT
Title v
Lease Agreement with the Town of Apple Valley for Office Space for the First District Supervisorial Office in Apple Valley
End
RECOMMENDATION(S)
Recommendation
Approve a four-year lease agreement with the Town of Apple Valley for the period of January 5, 2021 through January 4, 2025 with one four-year option to extend the term of the lease for 2,088 square feet of office space located at Town Hall at 14955 Dale Evans Parkway in Apple Valley for the First District Supervisorial Office in the amount of $228,012, which includes a license to use the Council Chambers and Conference Center at Town Hall and Civic Center Park with amphitheater at 14999 Dale Evans Parkway in Apple Valley for County events at no additional cost.
(Presenter: Terry W. Thompson, Director, 387-5000)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Provide for the Safety, Health and Social Service Needs of County Residents.
Operate in a Fiscally-Responsible and Business-Like Manner.
FINANCIAL IMPACT
Approval of this item will not result in the use of additional Discretionary General Funding (Net County Cost). The total cost of this four-year agreement is $228,012. Lease payments will be made from the Rents budget (7810001000) and reimbursed from the First District’s budget (1001001000). Sufficient appropriation is included in the 2020-21 Rents and First District budgets and will be included in future recommended budgets. Annual lease costs are as follows:
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Year |
Annual Lease Cost |
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January 5, 2021 - January 4, 2022 |
$40,092 |
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January 5, 2022 - January 4, 2023 |
$50,112 |
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January 5, 2023 - January 4, 2024 |
$62,640 |
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January 5, 2024 - January 4, 2025 |
$75,168 |
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Total Cost |
$228,012 |
BACKGROUND INFORMATION
Supervisor Paul Cook was elected as the First District Supervisor, effective December 7, 2020. The recommended action will approve a four-year lease agreement with the Town of Apple Valley (Town) for the period of January 5, 2021 through January 4, 2025 with one four-year option to extend the term of the lease for 2,088 square feet of office space at Town Hall located at 14955 Dale Evans Parkway in Apple Valley in order to provide efficient delivery of services to the various clients the First District Supervisorial Office (First District) serves. The lease also includes a license to use the Council Chambers and Conference Center at Town Hall and Civic Center Park with amphitheater at 14999 Dale Evans Parkway in Apple Valley for County events at no additional cost.
Retired Colonel Paul Cook’s military career spanned 26 years. He was an infantry officer who served with distinction in the United States Marine Corps and a veteran of the Vietnam War. His actions in combat earned him a number of honors, including two Purple Hearts and the Bronze Star Medal with Valor Device.
Continuing his lifetime commitment to service, Supervisor Cook distinguished himself in the California State Assembly by fighting government corruption, reducing taxes, and increasing penalties on sex offenders who prey on children. During his time in Congress, he helped rebuild a military weakened by eight years of bad policy, championed the largest tax cut in a generation, and authored a landmark bill on public lands in the desert. His commitment to law and order, reducing government, and lowering taxes have helped protect working families throughout California, and he has been a tireless advocate for veterans and military families.
The Real Estate Services Department (RESD) negotiated a four-year lease agreement with one four-year option to extend the term of the lease, with an initial monthly rental rate of $3,341 ($1.60 per square foot/full service gross), for 2,088 square feet of leased space located at 14955 Dale Evans Parkway in Apple Valley. The leased space is located in the Apply Valley Town Hall and includes a 1,938 square foot furnished office and storage/supply room and a 150 square foot conference room. In addition to the leased space, the County will have two reserved parking spaces for constituent use along unassigned parking and shared use of a break room with direct access from leased space, the server room with available rack space for internet and phone needs, weight room with lockers, and public counter space sufficient to conduct County business with access to the Supervisor through the public lobby of Town Hall. The lease also provides the County with a license to use Council Chambers and Conference Center at Town Hall and to use Civic Center Park with amphitheater at 14999 Dale Evans Parkway in Apple Valley for events at no cost but otherwise on the same terms and conditions as the lease during each event use. The lease contains a non-standard indemnity that requires the County to indemnify the Town.
Staff has reviewed the recommended action pursuant to the California Environmental Quality Act (CEQA) and has determined that it does not constitute a project. Accordingly, no further action is required under CEQA.
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Summary of Lease Terms |
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Lessor: |
Town of Apple Valley (Doug Robertson, Town Manager) |
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Location: |
14955 Dale Evans Parkway, Apple Valley |
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Size: |
2,088 square feet of office space |
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Term: |
Four years commencing January 5, 2021 |
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Options: |
One four-year option |
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Rent: |
Cost per square foot: $1.60* Full Service Gross |
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Monthly: $3,341 |
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Annual: $40,092 |
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*Low-range for comparable facilities in the Apple Valley area per supporting lease comparables on file |
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Annual Increases: |
Approximately 25% |
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Custodial: |
Provided by Lessor |
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Maintenance: |
Provided by Lessor |
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Utilities: |
Provided by Lessor |
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Insurance: |
Both Parties are self-insured Public entities |
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Right to Terminate: |
Both the County and the Town have the right to terminate with 90-days’ notice |
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Parking: |
Sufficient for County needs |
PROCUREMENT
This lease with the City is exempt from the procurement process required by County Policy 12-02 - Leasing Privately Owned Real Property for County Use (Policy) because the Policy does not apply to leases of premises owned by a federal agency, the State, a city, a county, a school district, a special district, or other public entity.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Agnes Cheng, Deputy County Counsel, 387-5455) on December 17, 2020; First District Supervisorial District (Tim Itnyre, Chief of Staff, and Dakota Higgins, Deputy Chief of Staff, 387-4830) on December 17, 2020; Purchasing Department (Bruce Cole, Supervising Buyer, 387-2148) on December 10, 2020; Finance (Stephenie Shea, Administrative Analyst III, 387-4919 and Carl Lofton, Administrative Analyst, 387-5404) on December 18, 2020 and County Finance and Administration (Matthew Erickson, County Chief Financial Officer, 387-5423) on December 18, 2020.
(PN: 677-8321)