DATE: November 3, 2020
TO: Board of Supervisors
SUBMITTED BY: Delfino E. Neira, Director, Department of Social Services
Robert W. Bash, Director of Internal Services/Chief Information Officer
SUBJECT: Lease Agreement for Department of Social Services - Veterans Service Office
RECOMMENDED ACTION(S):
TITLE
Approve and authorize the Chairman to execute a Lease Agreement with Mill Avenue Properties, LLC., Mill Avenue Properties II, LLC, Mill Avenue Properties III, LLC, and Mill Avenue Properties IV, LLC for 3,438 square feet of office space located at 1320 E. Shaw, Fresno, CA 93710 for use by the Department of Social Services - Veterans Service Office, effective December 1, 2020, not to exceed five consecutive years, which includes a three- year base contract and two optional one-year extensions, total not to exceed $365,941.
REPORT
Approval of the recommended action will permit the Department of Social Services Veterans Service Office to remain at its current location at Shaw and N. 6th Street in Fresno for up to an additional five years. The office assists veterans, their spouses, widows, and dependents in applying for Federal and State disability benefits. The compensation maximum for the first year is $68,898, with no increase in Net County Cost. The Department has occupied this office space since October 2015. This item pertains to a location in District 2.
ALTERNATIVE ACTION(S):
Your Board could choose not to approve the recommended lease agreement. However, staff has been unable to find any alternative properties that meet all the requirements of the Department and match what is currently offered at the current location, at the same or lower cost.
FISCAL IMPACT:
There is no increase in Net County Cost associated with the recommended action. The maximum amount of the recommended lease agreement for the period of December 1, 2020 through November 30, 2025 is $365,941. The cost for the recommended lease agreement will be offset with State and Federal Social Services funds ($315,060), 2011 Realignment ($32,314) in lieu of State General Funds for Child Welfare Services and Adult Protective Services Programs that were realigned to counties through Assembly Bill (AB) 118, 1991 Social Services Realignment ($16,036), and the required Net County Cost ($2,531) which offsets the General Relief Program share of cost. Total cost for FY 2020-21 will be $45,932. Sufficient appropriations and estimated revenues are included in the FY 2020-21 Adopted Budget for the Department of Social Services Org 7110, and will be included in subsequent budgets.
DISCUSSION:
The Department of Social Services - Veterans Service Office (DSS - VSO) currently occupies 3,438 square feet of office space located at 1320 E. Shaw, Suite 105, Fresno, CA. 93710, and has been at this location since October 2015. The DSS - VSO assists veterans, their spouses, widows, and dependents in applying for Federal and State disability benefits through the Federal Department of Veterans Affairs. Currently, the DSS - VSO has six staff members, who assisted approximately 6,000 Fresno County veterans in obtaining services last year.
The office location is adjacent to the Federal Department of Veterans Affairs Vet Center (VA Vet Center), which provides a great benefit to local veterans, as they receive services from both the DSS - VSO and the VA Vet Center at one location. The VA Vet Center provides mental health services, including individual and group counseling in areas such as Post-Traumatic Stress Disorder (PTSD), alcohol and drug assessments, and suicide prevention referrals. Being co-located with the VA Vet Center streamlines the collaborative efforts and services provided by both offices.
The recommended lease agreement contains a mutual indemnification clause, which is non-standard for a typical County lease agreement. However, Department staff believes the benefit of entering into the recommended lease agreement outweighs any potential risk associated with this clause, as a prudent business decision.
The lessor requires that the County sign the recommended lease agreement first. A fully executed copy of the recommended lease agreement will be forwarded to the Clerk of the Board of Supervisors after the lessor signs it.
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Lease Agreement
CAO ANALYST:
Ron Alexander