Title
a. Approve and authorize the Chair of the Board of Supervisors to execute, on behalf of the County, a Lease Agreement with Monterey Bay Management Services, LLC, to lease office space located at Natividad Medical Center (NMC), 1441 Constitution Boulevard, Building 400, in Salinas, California for the period January 1, 2013 to December 31, 2013.
b. Authorize the Purchasing Manager of NMC to continue to negotiate new terms with the tenant, at which time when landlord and tenant are in agreement with the new terms, the new lease will be brought to the County Board of Supervisors for approval.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
a) Approve and authorize the Chair of the Board of Supervisors to execute, on behalf of the County, a Lease Agreement with Monterey Bay Management Services, LLC, to lease office space located at Natividad Medical Center (NMC), 1441 Constitution Boulevard, Building 400, in Salinas, California for the period January 1, 2013 to December 31, 2013.
b) Authorize the Purchasing Manager of NMC to continue to negotiate new terms with the tenant, at which time when landlord and tenant are in agreement with the new terms, the new lease will be brought to the County Board of Supervisors for approval.
SUMMARY/DISCUSSION:
Monterey Bay Management Services, LLC has been a tenant in Building 400 since 1998. They lease 5,935 square feet of space in the building or 9.5 % of the leasable space in the building. NMC wishes to continue leasing space to the tenant. The current lease expires December 31, 2012 but negotiations for a further term continue. In order to maintain compliance with federal healthcare laws during the period when the parties negotiate new terms, the parties desire to enter into a one year lease beginning January 1, 2013 through December 31, 2013, on the same terms and conditions as the current lease. The one year period is required under federal healthcare laws. Once the parties reach new terms and conditions, however, which the parties anticipate will occur within the next six months, the parties will negotiate an amendment to the lease to express these new terms and conditions. Accordingly, Natividad shall return to the Board of Supervisors for approval of the amended lease.
OTHER AGENCY INVOLVEMENT:
County Counsel has reviewed and approved this Agreement as to legal form and risk provisions. The Auditor-Controller has reviewed and approved this Agreement as to fiscal provisions. This Agreement has also been reviewed and approved the NMC Board of Trustees.
FINANCING:
There are no financing issues associated with this request.
Prepared by: Harry Weis, CEO, 783.2553
Approved by: Harry Weis, CEO, 783.2553
Attachments: Agreement
Attachments on file at the Clerk of the Board