TO:Andrew P. Powers, City Manager
FROM:Jaime Boscarino, Finance Director
DATE:January 14, 2025
SUBJECT: Conejo Valley Unified School District Lease Agreement Amendment
RECOMMENDATION:
1. Approve First Amendment to the Lease Agreement between City of Thousand Oaks and Conejo Valley Unified School District (CVUSD) for property located at 110 S. Conejo School Road, Thousand Oaks (Contract No. 11452-2017).
2. Find that this action is not a project as defined under the California Environmental Quality Act.
LEVINE ACT ITEM: No
FINANCIAL IMPACT:
No Additional Funding is Requested. Minimal staff time to prepare the agreement and report is included in the Adopted FY 2024-25 General Fund Budget. A fee of $1 will be charged annually for the use of the premises for the term of the agreement. $150,000 is included in the Adopted General Fund Budget each fiscal year for facility maintenance and operations.
BACKGROUND:
The City’s former Redevelopment Agency (Agency) purchased the facility at 110 S. Conejo School Road in 1999. The facility was operated by and leased to Roots and Wings, a private, for-profit entity, for $1 per year. The City assumed the cost and responsibility for the facility maintenance at an annual cost out of the General Fund of approximately $55,000. Roots and Wings applied for and received an operating grant from the California Department of Education (CDE) on behalf of the City to subsidize preschool and childcare services for low-income families in the community.
Conejo Valley Unified School District Lease Agreement Amendment January 14, 2025
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On August 19, 2008, CVUSD Board of Education approved a proposal from the City to operate the Child Care Center for $1 per year. A lease and operations agreement with CVUSD was subsequently approved by City Council on November 25, 2008. CVUSD provides a “Neighborhood for Learning” (NFL) program at the facility for children ages 0-5. The NFL program was developed in response to the “FIRST 5 California” law, passed in 1998, which utilizes a tax on tobacco products to provide readiness services to children and their families. The CDE grant has been transferred to CVUSD from the City.
On June 13, 2017, City Council approved a new lease agreement for use of the Child Care Center for five years with five, one-year extensions to auto-renew each year, for a total of 10 years and an expiration date of June 30, 2027. CVUSD is interested in securing an extended lease of the property in advance of the current expiration date for fiscal and administrative planning.
DISCUSSION/ANALYSIS:
CVUSD is interested in purchasing new playground equipment to replace the existing play structure at the Child Care Center. The current equipment has reached the end of its useful life and is in need of replacement. New playground equipment would have an estimated asset lifecycle of 10–15 years. CVUSD would like to ensure new equipment purchased would see use through 2035 at a minimum. CVUSD would be responsible for all costs associated with care, maintenance, and annual inspection of any purchased playground equipment.
Executing a first amendment to the lease in advance of the expiration date would allow new playground equipment to be used for all or most of its lifecycle.
The City currently budgets $150,000 annually for operations and maintenance costs for the facility from the General Fund. Maintenance and operations costs are projected to remain consistent, notwithstanding minimal increases in costs due to inflation.
Approval of the amendment to the lease agreement (Attachment #1) will allow CVUSD to continue using the property at 110 S. Conejo School Rd. as a Child Care Center to 2037. There are termination clauses that mutually benefit the City and CVUSD in the event future goals change.
COUNCIL GOAL COMPLIANCE:
Meets the following City Council goals:
C. Operate City government in a fiscally and managerially responsible and prudent manner to ensure that the City of Thousand Oaks remains one of California's most desirable places to live, work, visit, recreate, and raise a family.
Conejo Valley Unified School District Lease Agreement Amendment January 14, 2025
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G. Continue City's commitment to community and cultural programs and services (such as Performing Arts/Theatres, Libraries, TOTV, Visual Arts, Youth and Senior Programs).
H. Participate in public-private and multi-jurisdictional opportunities to ensure residents have access to high levels of parks, recreation, education and leisure programs and services.
PREPARED BY: Joshua Koenig-Brown, Facilities Manager
Alexander Wallsten, Assistant Analyst
Attachments:
Attachment #1 – CVUSD Lease Agreement Amendment
FIN:201-10\aw\jkb\H:\COMMON\Council\2025\Facilities\01142025 CVUSD Lease Agreement Amendment.docx