Title
a. Approve and authorize the Contracts/Purchasing Officer to execute Amendment No. 1 to extend Lease Agreement (No. A-11760) for one (1) year, effective January 1, 2015 through December 31, 2015, with B & A Farahmand Family Trust Dated November 8, 2006 for 12,011 square feet of space located at 1370-B South Main Street in Salinas, California, for use by the Monterey County Elections Department; and
b. Direct the Auditor-Controller to make lease payments of $31,575.00 per month and in accordance with the terms of Amendment No. 1 - One Year Extension of Lease Agreement (Amendment No. 1).
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
a. Approve and authorize the Contracts/Purchasing Officer to execute Amendment No. 1 to extend Lease Agreement (No. A-11760) for one (1) year, effective January 1, 2015 through December 31, 2015, with B & A Farahmand Family Trust Dated November 8, 2006 for 12,011 square feet of space located at 1370-B South Main Street in Salinas, California, for use by the Monterey County Elections Department; and
b. Direct the Auditor-Controller to make lease payments of $31,575.00 per month and in accordance with the terms of Amendment No. 1 - One Year Extension of Lease Agreement (Amendment No. 1).
SUMMARY/DISCUSSION:
The Monterey County Elections Department has operated out of this leased facility located at 1370-B South Main Street, Salinas since 1991. The Lease Agreement is set to expire on December 31, 2014. The Elections Department is currently working with Public Works on design and programming for appropriate space at the Schilling Place Facility. Completion for construction of the new Elections Department space is anticipated to be in the Fall of 2015 with move-in shortly thereafter.
In light of the Elections Department anticipated physical relocation, the Landlord has decided to market the property for sale or lease. The Landlord has agreed to extend the lease for one (1) year, effective January 1, 2015 through December 31, 2015 to allow sufficient time for the Elections Department's transition into the Schilling Place Facility while meeting its electoral obligations scheduled throughout 2015.
Due to the temporary and accommodating nature of the leasing relationship, whereby the Landlord is willing to forego finalizing a new lease with a replacement tenant or a sale with a new buyer, rent during the extended period will increase from $23,421.45 to $31,575.00 per month.
OTHER AGENCY INVOLVEMENT:
The Department of Public Works facilitated the development of Amendment No. 1 - One Year Extension of Lease Agreement, and assisted with the development of this report. The Office of the County Counsel has reviewed and approved the proposed extension of the Lease Agreement as to form and legality.
FINANCING:
There is no additional impact to the General Fund. Sufficient funds are available in the FY 2014-15 and FY 2015-2016 Monterey County Elections Department Budget Unit 1410, Fund 001. Twelve month leasing costs will amount to $378,900 including property assessments, insurances, maintenance, repair, janitorial, and utility costs.
Prepared by: Approved by:
_______________________________ ___________________________
Gina M. Martinez Claudio E. Valenzuela, REO
Assistant Registrar of Voters Registrar of Voters
Dated: December 8, 2014
Attachments:
Amendment 1 Extending Lease Agreement
Location Map