To: Board of Supervisors
From: Public Works
Agenda Section: Consent
SUBJECT:
title
New Lease at 3306 Renner Drive in Fortuna for Women, Infants and Children (WIC) Program
end
RECOMMENDATION(S):
Recommendation
That the Board of Supervisors:
1. Approve and authorize the Chair to execute the Lease; and
2. Direct the Clerk of the Board to return the executed Lease to Public Works - Real Property Division - for transmittal to the Lessor.
Body
SOURCE OF FUNDING:
DHHS Public Health Funds
DISCUSSION:
Starting in 2003, the Department of Health and Human Services - Public Health (DHHS-PH) has utilized 900 square feet of leased spaced at 1108 Main Street in Fortuna for the Women, Infants, and Children (WIC) Supplemental Nutrition Program clinic. On May 4, 2010, the county entered into a new lease with Lee Ulansey that expired on January 31, 2014. On December 17, 2013, the county entered into a First Amendment that expired on January 31, 2017. On January 3, 2017, the county entered into a Second Amendment that expired on January 31, 2018.
DHHS has been searching for alternative space to upgrade to a more modern facility that complies with all accessibility requirements including the Americans with Disabilities Act (ADA), and to support increased services in Fortuna. An alternative site has been found and is located behind the Redwood Memorial Hospital at 3306 Renner Drive, next to the Fortuna Open Door Clinic. The lease for this alternative site is before your board for approval. This alternative site provides for an increase in room space from 900 square feet to 2,530 square feet in order to include additional DHHS programs.
In addition, ADA barriers have been assessed with the landlord. The landlord is willing to remove these barriers at their costs. Moreover, the proposed lease is structured so that the term of commencement does not start until all ADA/accessibility barriers have been removed by the landlord and inspected by a Certified Access Specialist (CASp). Per the proposed lease, the landlord is provided one hundred eighty days (180) from the date of this lease to remove any identified ADA barriers.
Upon completion and passing CASp inspection, DHHS will remodel the space and have it open for public use. It is estimated that the facility will be open to the public sometime in the summer of 2019. Therefore staff recommends that your Board approve the lease at 3306 Renner Drive and the continued use of 1108 Main Street on a month to month tenancy until such time as the proposed premises is ready for staff to move in.
FINANCIAL IMPACT:
The current monthly rent (not including utilities) at 1108 Main Street is $833 for 900 square feet, or $0.93 per square foot. The annual rent (including refuse collection, water and sewer) for the first five (5) years at 3306 Renner Drive will be $4,388 for 2,530 square feet, or $1.73 per square foot. The annual rent (including refuse collection, water and sewer) for the following five (5) years will be $4,682 or $1.85 per square feet. The cost of the lease at 1108 Main Street was included in the approved budget for fiscal year 2018-19 in Fund 1175, Budget Unit 415, WIC program.
Staff anticipates that WIC and other DHHS programs will begin occupying the space on Renner Drive in March. The increase for FY 2018-19 for this proposed lease is $10,665 for April, May and June. The WIC program (1175-415) has sufficient funding in the FY 2018-19 budget to cover this increase. The WIC program is funded through federal funds and realignment. The budget will support the cost of the lease until other DHHS programs begin to reside in the new facility. Staff estimates that other DHHS program will be located at 3306 Renner by the end of March 2019 at which time the rent will be cost shared with additional Public Health, Mental Health and Social Services programs.
There is no impact to the county General Funds.
This action supports the Board’s Strategic Framework by managing resources to ensure sustainability of services, fostering transparent, accessible, welcoming and user-friendly services and providing community-appropriate levels of service.
OTHER AGENCY INVOLVEMENT:
Public Works - Real Property Division
ALTERNATIVES TO STAFF RECOMMENDATIONS:
The Board could choose not to approve this lease, in which case DHHS-PH’s WIC clinic will have to remain at 1108 Main Street with minimal available space and in a facility with existing ADA/accessibility barriers.
ATTACHMENTS:
Attachment 1 - Proposed Lease
Exhibit A, sheet 1 of 2
Exhibit A, sheet 2 of 2
Exhibit B, sheet 1 of 2
Exhibit B, sheet 2 of 2
Exhibit C, part 1 of 2
Exhibit C, part 2 of 2 parts
PREVIOUS ACTION/REFERRAL:
Board Order No.: C-11, C-15 & C-19
Meeting of: 5/04/11, 12/17/13 & 1/03/17