Fremont City Council Meeting: 07/16/24 07:00 PM
3300 Capitol Avenue Div/Dept: Public Works
Fremont, CA 94538 Category: Agreements and Contracts
SCHEDULED
Sponsors:
COUNCIL STAFF REPORT (ID # 5214) DOC ID: 5214
Updated: 7/11/2024 3:18 AM by Dina Lewis Page 1
LEASE AGREEMENT – FAMILY RESOURCE CENTER - Authorize the City Manager to Execute a Four-Year Lease Agreement with the State of California for a Total of 8,051 Square Feet of Office and Common Area Space for the Employment Development Department Located at the Family Resource Center Contact Persons:
Name: Ian Champeny Suzanne Shenfil
Title: Real Property Agent Director
Div/Dept: Public Works Human Services Department
Phone: 510-494-4759 510-574-2051
E-Mail: [email protected] [email protected]
Executive Summary: The purpose of this report is to recommend that the City Council authorize the City Manager to execute a four-year lease agreement renewal with the State of California for the State’s Employment Development Department to use a total of 8,051 square feet of office and common area located in the Family Resources Center at 39155 Liberty Street, Suites A-141 and B-200.
BACKGROUND: The Fremont Family Resource Center (FRC) is an important collaborative comprised of non-profit, city, county and state agencies that provide a variety of integrated services including employment, housing, childcare, health education and social support to the community. The City owns two buildings located at 39155 Liberty Street that house the FRC, portions of which are leased leases to, among other tenants, the State Employment Development Department (EDD).
EDD provides a wide range of services to California residents, including the following:
− Assisting California employers with their labor needs. − Helping California job seekers obtain employment.
− Administering the federally funded workforce investment programs for adults, dislocated workers, and youth.
− Assisting disadvantaged residents in becoming self-sufficient. − Helping unemployed and disabled workers through the administration of the unemployment insurance and state disability insurance programs.
EDD entered into an eight-year lease agreement with the City in 2013 and has been on a month-to-month lease since November 2021. The City and the California Department of General Services have been negotiating the terms of a new lease agreement.
DISCUSSION/ANALYSIS: EDD provides essential employment services to Fremont and other Alameda County residents and their continued tenancy at the FRC is highly desired.
The proposed new lease agreement with EDD is a four-year term at a rate of $20,695.55 per month. At 8,051 square feet, this results in a lease rate of $2.57 per square foot per month (rounded to the nearest cent). The lease agreement also provides for yearly adjustments based upon changes in the Consumer Price Index and contains other provisions relating to insurance, termination, repair and maintenance.
Council Staff Report (ID # 5214) Meeting of July 16, 2024 Updated: 7/11/2024 3:18 AM by Dina Lewis Page 2
FISCAL IMPACT: Revenues and expenses associated with this lease are incorporated in the FRC’s 30-year model and are consistent with the goal of keeping the FRC financially sustainable.
ENVIRONMENTAL REVIEW: The proposed lease agreement continues the use of the existing facility. The project is exempt from the California Environmental Quality Act (CEQA) per Guideline 15301 as a continuation of use of an existing facility that does not expand the types of uses.
ATTACHMENTS: None.
RECOMMENDATION: Authorize the City Manager or her designee to execute a four-year lease agreement as described in this staff report with the State Department of General Services for a total of 8,051 square feet of office and common area space at the Fremont Family Resource Center for use by the State’s Employment Development Department office.