-1-
55600.00100\44581396.1
CITY OF SAN BERNARDINO
LEASING POLICY
1. Purpose and Scope
The purpose of this Policy is to establish uniform procedures governing the approval of new leases and lease renewals of City-owned real property and wireless communication towers/sites where the City acts as lessor, in order to promote transparency, open competition, fiscal accountability, and City Council oversight. This policy is further intended to ensure that the City Council makes an affirmative policy determination, prior to negotiations, as to whether an existing lease should be renewed or whether the City should pursue competitive alternatives.
This policy applies to all leases, licenses, and similar agreements for the use or occupancy of City-owned real property, unless exempted by state law, emergency action, grant requirements, or express City Council direction.
No new lease or lease renewal shall be executed unless processed in accordance with the two-step procedure set forth in this Policy and approved by the City Council. City Council approval shall not be deemed as a waiver of any permit, approval, or compliance with applicable governmental laws or regulations.
2. Lease Renewals – City Council Conceptual Authorization For any proposed renewal of an existing lease, prior to any negotiations with the existing lessee or preparation of final lease documents, City staff shall submit a Conceptual Renewal Proposal to the City Council for consideration.
The Conceptual Renewal Proposal shall summarize the existing lease, identify any anticipated changes in material terms, describe the public benefit to the city, and disclose any known community, political, or public-interest considerations associated with the lease. The Conceptual Renewal Proposal shall not constitute a negotiated agreement and shall not bind the City or the lessee.
Following presentation of the Conceptual Renewal Proposal, the City Council shall, by motion, determine whether:
(a) the City should proceed with renewal negotiations with the existing lessee; or
(b) the City should decline the renewal and may direct staff to initiate a Request for Proposals for the property.
3. Renewal Negotiation Authority
-2-
55600.00100\44581396.1
If the City Council authorizes renewal negotiations with the existing lessee, staff may negotiate a renewal consistent with Council direction. Any negotiated renewal shall be subject to final City Council approval prior to execution.
4. New Leases
For any proposed new lease of City-owned real property, prior to the commencement of negotiations, City staff shall submit a Conceptual Lease Proposal to the City Council for consideration.
The Conceptual Lease Proposal shall describe the proposed use of the property, the anticipated term and general business terms, the public benefit to the City, and any known community, political, or public-interest considerations. The Conceptual Lease Proposal shall not constitute a negotiated agreement and shall not bind the City or any prospective lessee.
Following presentation of the Conceptual Lease Proposal, the City Council shall, by motion, determine whether:
(a) the City should proceed with the negotiations for the proposed new lease; or
(b) the City should decline to proceed with the proposed lease and issue a Request for Proposals.
Any lease resulting from Conceptual Lease Proposal or a Request for Proposals shall be subject to final City Council approval prior to execution.
5. Solicitation Procedures
All Requests for Proposals and related solicitations shall be conducted electronically using the City’s authorized procurement platform. Solicitation processes shall be open, competitive, and conducted in a fair and impartial manner. The City may invite specific qualified vendors to participate while also allowing open electronic solicitation. Local business preference and supplier diversity provisions shall be applied where permitted by law.
6. Exemptions.
This Policy shall apply to all leases, licenses, and similar agreements for the use or occupancy of City-owned real property unless expressly exempted by state law or specifically exempted by action of the City Council. This Policy shall not apply to:
(a) Short-term or temporary use agreements of City property that do not convey a possessory interest, such as permits or event licenses, where authorized by ordinance or resolution;
(b) Intergovernmental agreements for the use of city property, where the city retains ownership and control, unless the City Council determines that application of this policy is warranted;
-3-
55600.00100\44581396.1
(c) Other limited exceptions approved by the City Council on a case-by-case basis.
7. Administration.
The City Manager or designee is authorized to administer and implement this policy and to adopt administrative procedures consistent with this Policy and applicable law.
Administrative procedures shall not authorize negotiation or execution of lease renewals without prior City Council direction as required by this Policy.