Agenda Report
Fullerton City Council
MEETING DATE: MARCH 7, 2023
TO: CITY COUNCIL / SUCCESSOR AGENCY
SUBMITTED BY: DAISY PEREZ, DEPUTY CITY MANAGER
PREPARED BY: ALICE LOYA, DEPUTY DIRECTOR OF PARKS AND RECREATION SUBJECT: MAPLE NEIGHBORHOOD CENTER LEASE
SUMMARY
City Council authorized staff to negotiate a lease agreement with the YMCA of Orange County to operate the Maple Neighborhood Center and provide neighborhood services and an after-hours private rental program at the January 17, 2023 council meeting.
RECOMMENDATION
Approve lease agreement, in substantially the form as attached and in such final form as approved by the City Attorney, with the YMCA of Orange County for the Maple Neighborhood Center to provide neighborhood services to the surrounding communities as approved by the City.
Authorize City Manager, or designee, to execute and administer the Maple Neighborhood Center lease agreement and all documents related to the lease agreement, including options to extend, in a form approved by the City Attorney.
CITY MANAGER REMARKS
The City Manager recommends approval of the lease.
PRIORITY POLICY STATEMENT
This item matches the following Priority Policy Statements:
Infrastructure and City Assets
Fiscal and Organization Stability.
FISCAL IMPACT
The lessee would pay approximately $52,000 in City costs, should the City lease the property to the YMCA of Orange County. The City retains responsibility for all necessary capital repairs with the proposed lease agreement. These costs include appropriation for building maintenance, liability insurance, phone, IT and custodial costs.
DISCUSSION
Staff worked with the City Attorney’s office to draft a lease agreement for the YMCA of Orange County to manage and operate the Maple Neighborhood Center and provide neighborhood services and an after-hours private rental program. The lease also guarantees space at the Maple Center to the local Boxing Club twice a week for two hours, as requested by City Council. The lease includes the City Council-approved policies and fees for private rentals at the Maple Center, ensuring that the YMCA will manage private rentals in the same way the City managed the rentals.
The lease has a proposed initial five-year term beginning April 1, 2023 and ending March 31, 2027. The YMCA will pay rent of $1 per year. The proposed terms of the agreement require the City and YMCA to meet before April 1, 2024 to evaluate the YMCA’s programs and compliance with the terms of the agreement. Either the City or the YMCA may terminate the lease within 30 days after the April 2024 meeting. They can extend the lease with mutual consent twice for five-year terms after the initial term, potentially extending the lease to March 31, 2037.
Parks and Recreation staff and the YMCA will meet twice annually, prior to the beginning of summer and again prior to the beginning of the school year, to discuss and evaluate the YMCA’s programming, schedules, community relations and compliance.
The YMCA would take over the building maintenance and custodial for the Maple Neighborhood Center as part of the proposed lease. The City would remain responsible for capital replacement items or major repairs such as roof, exterior walls, underground plumbing and electrical, HVAC system, etc.
The draft lease agreement is substantially complete and currently under review by the YMCA’s legal team. Staff anticipates only minor changes following review, mostly relating to clarification of maintenance responsibilities.
Attachments:
Attachment 1 – Maple Neighborhood Center Draft Lease Agreement cc: City Manager Eric J. Levitt
Maple Neighborhood Center Lease
March 7, 2023 - Page 3