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Increase in Compensation for Agreement No. 2022-019 with DP CAL Corporate Plaza, LP.pdf

Bakersfield City Council
June 24, 2026

Document
Increase in Compensation for Agreement No. 2022-019 with DP CAL Corporate Plaza, LP.pdf
Meeting
June 24, 2026
Body
Bakersfield City Council
Original file
277 KB
Text extracted from the city's file for reading and search. Open the original on pub-bakersfield.escribemeetings.com. That file is the official record.

ADMINISTRATIVE REPORT

MEETING DATE: June 24, 2026 AGENDA CATEGORY: Consent - Miscellaneous TO: Honorable Mayor and City Council
FROM: Brent Stratton, Chief of Police
DATE: June 10, 2026
SUBJECT: Increase in Compensation for Agreement No. 2022-019 with DP CAL Corporate Plaza, LP. to correct a miscalculation in total compensation as outlined in Amendment No. 2 to Agreement No. 2022-019 ($550,000; revised not to exceed amount of $3,974,389.24).

RECOMMENDATION:

Staff recommends approval of the increase in compensation

BACKGROUND: The City of Bakersfield was in need of spacing for members of the Bakersfield Police Department to fulfill the provisions of the Public Safety and Vital Services Measure, passed by voters on November 6, 2018, which prioritized increasing police staffing to improve police response times, reduce crime and increase neighborhood police patrols.

On January 19, 2022, City and DP Cal Corporate Plaza LP (DP Cal) entered into lease Agreement No. 2022- 019 in the amount of $1,542,674.76 and a term date to expire on January 31, 2025, for 39,087 rentabl e square feet of offices for the Bakersfield Police Department (BPD) staff.

On February 14, 2024, the City entered into Amendment 1 to Agreement NO. 2022 -019 to extend the lease term by two years for a new term date to expire on January 31, 2027, and to lease an additional 1,993 square feet of rentable office space to accommodate the City Manager’s Office (CMO) staff that works closely with the BPD on the Community Vitality Program. The additional space and extended term required an increase in compensation by $1,881,714.48, for a revised total not to exceed $3,424,389.24.

After the execution of Amendment 1 to Agreement No. 2022-019, the parties recognized an inadvertent error in omitting reference to Fiscal Year 2024-25 in section 6 of the amendment . On May 8, 2024, the City entered into Amendment No. 2 to Agreement No. 2022-019 with DP Cal to correct the error.

After further review of the agreement , it has been determined that the total compensation amount requested under the initial lease was miscalculated (i.e., the increases approved by Amendment No. 1 were correct, but were added to an incorrect total compensation amount), and therefore additional compensation is needed to cover the lease payments through lease term expiration on January 31, 2027.

This approval is necessary to cover the shortfall caused by the original miscalculation.

The BPD is requesting an increase of $550,000 for a new not to exceed amount of $3,974,389.24.

FISCAL IMPACT:

The result and the need for this next amendment is and after further review of the agreement, it has been determined that the total compensation amount requested under the initial lease was miscalculated (i.e., the increases approved by Amendment No. 1 were correct, but were added to an incorrect total compensation amount), and therefore additional compensation is needed to cover the lease payments through lease term expiration on January 31, 2027. This approval is necessary to cover the shortfall caused by the original miscalculation. The Police Department is requesting an increase of $550,000 for a new not to exceed amount of $3,974,389.24.

COUNCIL GOAL:

Reliable Infrastructure

ATTACHMENTS: N/A

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