To: Board of Supervisors
From: Public Works
Agenda Section: Consent
SUBJECT:
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Approval of Lease with Slack & Winzler Properties, LLC. for 808 E Street, Eureka.
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RECOMMENDATION(S):
Recommendation
That the Board of Supervisors:
1. Approve the Lease at 808 E Street, Eureka, with Slack and Winzler Properties, LLC.
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SOURCE OF FUNDING:
Social Services Fund (1160)
DISCUSSION:
The county has leased the facility at 808 E Street, Eureka from Slack and Winzler (S&W) Properties since February 2001. On March 24, 2009, a lease was executed with a termination date of Jan. 31, 2012. The lease allowed two (2) options to extend the lease term for three (3) additional years, each under the same terms and conditions. On Sept. 20, 2011, the Board approved the Department of Health and Human Services’ (DHHS) request to extend the lease. On Nov. 4, 2014, the Board approved the first amendment to the lease at 808 E Street, wherein the lessor reduced the monthly rental expense and agreed to an expiration date of Jan. 31, 2018. The first amendment to the lease also provided DHHS with the option to extend the lease under these terms for two (2) two (2) year terms. On Dec. 17, 2017, the approved the First Option to Extend the Lease at 808 E Street, Eureka through Jan. 31, 2020.
This lease had been in holdover pending Americans with Disabilities Act (ADA) barrier removal on the premises. The majority of the identified barriers to access have been removed by the landlord and cleared by a Certified Access Specialist (CASp). The landlord has agreed to remove the remaining barriers, outlined in Exhibit C, and detailed in Exhibit B, by May 31, 2022.
The offices at 808 E Street house the DHHS In Home Support Services (IHSS) Program and the Adult Protective Services (APS) Program. The location offers adequate office space for DHHS staff and clients, as well as being centrally located near other similar services and public transit.
Therefore, DHHS recommends that the Board approves this lease at 808 E Street, Eureka with S&W Properties, through Oct. 31, 2026.
FINANCIAL IMPACT:
The monthly rental cost for this lease shall be $12,180, which includes janitorial services. Monthly rent shall automatically increase beginning with the rent due on November 1st each year, shall automatically increase based on the Consumer Price Index for All Urban Consumers (CPI-U) West Region (“CPI-U West”) shown for the month of September using the twelve-month percent changes. Regardless of the CPI-U West, rent increase shall not exceed 5% and shall increase at a minimum of 2%. The new monthly rental rate shall be retroactive to Nov. 1, 2021. DHHS Social Services fund (1160) has sufficient funds budgeted for the rental increase in fiscal year 2021-22.
STRATEGIC FRAMEWORK:
This action supports your Board’s Strategic Framework by protecting vulnerable populations.
OTHER AGENCY INVOLVEMENT:
Public Works - Facilities Management Division
ALTERNATIVES TO STAFF RECOMMENDATIONS:
Your Board may decide not to approve this lease at 808 E Street; however, this is not recommended as it would be costly and time consuming for the DHHS and its programs to find an alternative location for staff and clients that is accessible, near other similar services and public transportation.
ATTACHMENTS:
Exhibit A - Premises
Exhibit B - 808 E Street Accessibility Compliance Report
Exhibit C - Landlord Responsible ADA Barrier List
Exhibit D - 808 E Street Lease with Slack & Winzler
PREVIOUS ACTION/REFERRAL:
Board Order No.: D-6; C-5; C-11; C-15
Meeting of: 3/24/2009; 9/20/2011; 11/4/2014; 12/12/2017
File No.: N/A