File #: 21-1848    Version: 1 Name:
Type: Resolution Status: Passed
File created: 12/16/2021 In control: Public Works
On agenda: 1/25/2022 Final action: 1/25/2022
Title: Approve the Second Option to Extend the Term of the Lease Agreement at 908 7th Street, Eureka.
Attachments: 1. Staff Report, 2. Exhibit A - 2006-04-11 BOS Lease with Abrahamsen for 908 7th St.pdf, 3. Exhibit B - 2016-10-04 BOS 1st Opt to Extend Lease at 908 7th St.pdf, 4. Exhibit C - 908 7th Second Option Letter.pdf, 5. Exhibit D - 908 7th ADA Report_Assessment III_JH_20211222.pdf, 6. Exhibit E - 2022-1-14 Re 908 7th St 2nd Lease Option-TA.pdf, 7. Exhibit F - 2022-1-14 Re 908 7th St 2nd Lease Option-RK.pdf

 

To:                                                               Board of Supervisors

 

From:                                          Public Works                                          

 

Agenda Section:                     Consent                                                               

 

SUBJECT:

title

Approve the Second Option to Extend the Term of the Lease Agreement at 908 7th Street, Eureka.

end

 

RECOMMENDATION(S):

Recommendation

That the Board of Supervisors:

1.                     Approve the option to extend the term of the lease agreement at 908 7th Street, Eureka, with Myron and Idelle Abrahamsen 1994 Family Trust; and

2.                     Approve and authorize the Public Works Director to execute the attached option letter.

 

Body

SOURCE OF FUNDING:                       

Public Heath (1175)

 

DISCUSSION:

On April 11, 2006, the Board approved the lease at 908 7th Street, Eureka, arising from a Request for Proposal, with Idelle M. Abrahamsen, Trustee of the Myron and Idelle Abrahamsen 1994 Family Trust.  The lease commenced on Feb.1, 2007, and continued for ten (10) years through Jan. 31, 2017.  The lease provides two (2) consecutive options to extend the lease term for a period of five (5) years each.

 

On Oct. 4, 2016, the Board approved the first five (5) year option to extend the lease agreement from Feb. 1, 2017, through Jan. 31, 2022.  The Department of Health and Human Services (DHHS) continues to require space at 908 7th Street.  Therefore, DHHS requests the Board to approve exercising the second lease option to extend the lease through Jan. 31, 2027.

 

Per Exhibit E, the owner of 908 7th St has stated the premises shall be cleared of all Americans with Disabilities Act (ADA) Barriers depicted in Exhibit D by June 30, 2022.  Per Exhibit F, the property manager of 908 7th St stated the ADA Barriers have been removed and the premises is ready for a final Certified Access Specialist (CASp) inspection.

 

The owner has waived the ninety (90) day option notice period in Exhibit E per Section 2.5.3.2 of the lease attached as Exhibit A.

 

FINANCIAL IMPACT:

The monthly rental amount of $23,420.82 shall continue per the lease.

 

STRATEGIC FRAMEWORK:

This action supports your Board’s Strategic Framework by creating opportunities for improved safety and health

 

OTHER AGENCY INVOLVEMENT:                     

Public Works

 

ALTERNATIVES TO STAFF RECOMMENDATIONS:                     

Your Board could choose not to approve the option to extend the term of the license, however this is not recommended as the Lease Agreement will expire on Jan. 31, 2022, and staff would not be able to locate a suitable location within this timeframe.

 

ATTACHMENTS:                     

Exhibit A - 2006 Lease 908 7th St

Exhibit B - 2016 First Lease Option

Exhibit C - 2022 Option Letter

Exhibit D - 2021/12/22 ADA Compliance Report

Exhibit E - Email from Owner

Exhibit F - Email from Property Manager

 

PREVIOUS ACTION/REFERRAL:

Board Order No.: C-8; D-12                     

Meeting of: 4/11/2006; 10/4/2016

File No.: