DATE: July 11, 2016
TO: Board of Supervisors
SUBMITTED BY: Lisa A. Smittcamp, District Attorney-Public Administrator
Robert W. Bash, Director of Internal Services/Chief Information Officer
SUBJECT: Retroactive Lease Agreement with Heritage Centre, LLC
RECOMMENDED ACTION(S):
TITLE
Approve and authorize the Chairman to execute a retroactive lease agreement (“Agreement”) with Heritage Centre, LLC (“Heritage”), for office and basement storage space located at 3151 N. Millbrook, Fresno, CA for use by the District Attorney-Public Administrator, effective July 1, 2017 through June 30, 2022 not to exceed five consecutive years, consisting of a one-year base term and four automatic one-year extensions, total not to exceed $1,365,473.
REPORT
Approval of the recommended action will create a one-year lease with four automatic one-year extensions for 15,833 square feet of office space($1.35 per square foot increasing at $.02 per year) and 8,032 square feet of basement storage space (fixed at $750.00 per month) for the District Attorney-Public Administrator. The Agreement maximum for the one-year base term and four automatic one-year extensions, shall not exceed $1,365,473.
ALTERNATIVE ACTION(S):
There are no alternative actions as current vacant County facilities are unable to provide adequate and appropriate office space.
FISCAL IMPACT:
The District Attorney’s Welfare Fraud Unit is fully funded by the Department of Social Services (DSS) while the In-Home Supportive Services Fraud and Training Units are partially funded through DSS and Net County Cost. The rent for 15,833 square feet of office space and approximately 8,032 square feet of basement space, including on-site parking stalls, will start at $21,374.55 ($1.35 per square foot) per month for the office space plus $750.00 for the basement space (a total of $22,124.55 per month) through June 30, 2018. Beginning July 1, 2018, rent for the office space portion will increase by $.02 per square foot and by an additional $.02 per square foot each July 1 thereafter. Storage space rental shall remain at $750 per month during the entire potential 5 year term Total rent charges are included in the District Attorney-Grants Org (2862) for FY 2017-18 and will be included in future budgets.
RETROACTIVE AGREEMENT:
The recommended agreement is retroactive due to revisions to the Primary term.
DISCUSSION:
Services provided at Heritage include Welfare and In-Home Supportive Services fraud investigation and prosecution as well as Training. The current lease expired June 30, 2017 and the new lease will allow these programs to continue operations in this space. If the District Attorney - Public Administrator were to relocate prior to the expiration of the base term the space would be occupied by an alternate County Department.
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with the Clerk - Agreement with Heritage Centre, LLC
CAO ANALYST:
Jeannie Z. Figueroa