Subject: AMENDMENT TO GRACE BAPTIST CHURCH LEASE
AGREEMENT
COUNCIL DISTRICT: 3
Adopt a resolution authorizing the City Manager to negotiate and execute an amendment to the agreement with the Grace Baptist Church to lease the Church's property at 484 East San Fernando Street and 146 South Tenth Street, for the period of June 1, 1999 through June 30, 2002, increasing the amount by $165,000 for a total amount of rent not to exceed $748,667.
BACKGROUND
The Council approved an agreement with Grace Baptist Church on June 8,
1999 to lease the Church’s property at 484 East San Fernando Street and 146
South Tenth Street, for the period of June 1, 1999 through June 30, 2002, for a
total amount of rent not to exceed $583,667.
Of this amount, $300,000 was for advance rent for improvements to the
buildings that improve accessibility for the program’s clients. The City wishes to continue providing the
services at the Church's facilities. In
order to do so, renovations are required to improve accessibility for the
program's clients. The Church agrees to
make certain improvements to the buildings, and the City agrees to provide
funding for the improvements in the form of advance rent in view of the City's
need to have the use of the buildings as improved.
Staff is proposing to increase the amount of the existing agreement by $165,000. This additional funding would augment the $300,000 to be used for improvements to the buildings. It is needed due to bids that came in higher than expected as well as the need for additional work, discovered by the architect when reviewing the building for the ADA modifications, that is necessary to make the buildings fully accessible to the program's clients. Staff has determined that, even with the payment for additional improvements, the City’s cost for this lease is at or below market rate for similar space.
PUBLIC OUTREACH
To inform the public of Grace Baptist Community Center’s services and to gather feedback about these services, City staff interact extensively with program participants, board and care homes, governmental agencies, community based organizations, Church staff, and the general public.
COORDINATION
This memorandum was coordinated with the Attorney's Office and the Budget
Office.
COST IMPLICATIONS
The funds for the amendment will be appropriated in the City-wide Parks
Construction and Conveyance Tax Fund as part of the end of the year Capital
Budget cleanup.
BUDGET REFERENCE
Funding for the original agreement was approved on June 8, 1999. An appropriation amendment in the amount of
$165,000 is being requested elsewhere on this Council agenda.
MARK LINDER
Director, Parks, Recreation, and Neighborhood Services