94245 DO 95865

User Manual: 94245

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County Administrator 5/22/2013 3:49:21 PM County Counsel 5/22/2013 1:52:15 PM COB

5/28/2013

12:57:45

PM

. -

AGENDA

ITEM

SUBMITTAL

FORM

BOARD

OF

SUPERVISORS

CLERK

OF

THE BOARD

44

N.

San Joaquin Street. Suite #627

Stockton, California 95202

SUBMIT

ONE

COPY

OF

THIS

FORM

WITH

EACH

BOARD AGENDA

ITEM.

For Clerk's Usc Only:

AGENDA NUMBER

At the time

of

submitting your agenda item documents, please provide

ONE

ORIGINAL

& 7

COPIES

OF

THE

BOARD

LETTER

AND ANY ACCOMPANYING

DOCUMENTS

(Resolutions, Board

Orders, Contracts, etc.) for distribution after Board Approval.

If

more

than

one original is

reqnired,

yon

mnst

provide the

appropriate

number

of

originals to be

executed by the

Board

of

Supervisors.

DATE: 5/24/13 DEPARTMENT: CHILD SUPPORT SERVICES

CONTACT & PHONE #: JUDITH GRIMES, 468-8005

AGENDA

ITEM

TITLE: AUTHORIZE TERMINATION

OF

GROUND LEASE

AGREEMENT

WITH

OMEGA

LAND COMPANY

FOR

THE PARKING LOT LOCATED AT 747 NORTH SUTTER STREET,

STOCKTON, CALIFFORNIA

PROPOSED

AGENDA

PLACEMENT

DATE: PROPOSED CALENDAR:

6/11/13

DISTRIBUTION: (MAILING ADDRESSES MUST BE PROVIDED

IF

NOT A COUNTY DEPARTMENT)

CLERK OF THE BOARD

COUNTY ADMINISTRATOR

COUNTY COUNSEL

AUDITOR-CONTROLLER

FACILITIES MANAGEMENT

DCSS, DIRECTOR

Special instructions

to

the CierI, ofthe Board:

DOCUMENT

BOARD ORDER

#OFCOPIES

ORIGINAL

1

1

1

I

2

AGENDA

ITEMS

MUST BE REVIEWED AND SIGNED

OFF

BY

THE

DEPARTMENT HEAD, COUNTY

ADMINISTRATOR AND COUNTY COUNSEL.

Department Head

ROO

mJJlliIl)

Date

CONSENT LAW & JUSTICE -06/11/13

San Joaquin County

Department

of

Child Support Services

826 N. California St. Stockton, CA 95202

-P.O.

Box

50

Stockton,

CA

95201-3050

Telephone: (866) 901-3212 -Fax: (209) 468-2577

JUDITH

A. GRIMES

Director

May

24,2013

Board of Supervisors

Courthouse

Stockton, CA 95202

Dear Board Members:

Authorize Termination

of

Ground Lease Agreement with Omega Land Company for the

Parking Lot Located at 747 North Sutter Street, Stockton, California

RECOMMENDATION:

It

is

recommended that the Board of Supervisors authorize the Department of Child Support

Services to terminate the lease, A-02-128, with Omega Land Company for a parking lot

located at 747 North Sutter Street

in

Stockton.

REASON FOR RECOMMENDATIONS:

On February 12, 2002 the Board

of

Supervisors approved a 15-year Ground Lease

Agreement (A-02-128) with Omega Land Company for a 30-space parking lot located at the

corner of Flora Street and

N.

Sutter Street

in

Stockton for the Department

of

Child Support

Services. At the time when this lease was approved the Department of Child Support

Services had an authorized staffing level

of

287 positions and was projecting continued

budgetary and staff growth. Overflow staff parking

on

the surrounding streets was a source

of

complaints from neighborhood residents.

However, major legislative changes

in

the child support enforcement program at the State

and Federal level changed the funding mechanism for local child support agencies and the

department has been operating on an essentially flat baseline funding allocation for the last

nine years. Annual increases

in

salary and benefit costs and operating expenses have

required the department to reduce staffing levels each and every year. The department's

current authorized staffing level

is

only

161

positions.

The department requests authorization to give notice and terminate this lease for both

economic and safety reasons.

The lease agreement has a provision that allows termination by the County upon a

12

month notice after the fifth year. The monthly rent for years

11

through15 is $2,500 per

MISSION

STATRMEl'H

The mission

of

the San Joaquin County Department

of

Child Support Services is to

l7Iake

a d(ffel'ence

in

the lives o/childl'cn

by

providing high quality, dedicated

chile!

SUppOlt

services.

month or $30,000 per year, however the final years rent was paid

in

advance at the

beginning

of

the lease

in

2002. Therefore, once notice is given, no additional payments are

due.

At

this time, only three employees are very reluctantly parking

in

this lot and requesting that

the department find them safer altemative parking. This lot is located

in

a high crime area

and cannot be directly monitored on the department's security camera system. Cars have

been burglarized

in

this lot and staff accosted by drug dealers while walking to and from the

lot. Safer and more economical altemative parking

is

available

on

the University Park

campus close to the Child Support building.

FISCAL IMPACT:

TOTAL COST (OR SAVINGS):

The net savings achieved by giving notice by June

30,

2013 will be $77,500.

(31

months x $2,500)

NET COUNTY COST:

None

ACTION TO BE TAKEN FOLLOWING APPROVAL:

Following approval the Department of Child Support Services will mail Omega Land

Company a 12 month notice

of

lease termination, effective June 30, 2014.

Very truly yours, ,

,

dtt

I h

A.

Grimes

Director

Q'+&G~

Attachment: A-02-128

c:

County Administrator

County Counsel

Auditor-Controller

Facilities Management

Before the Board

of

Supervisors

County

of

San

Joaquin,

State

of

California

B-

---------------------

MOTION:

Termination of Parking Lot Lease Agreement

The Board of Supervisors does hereby authorize the Department of Child Support

Services to give notice to terminate the lease with Omega Land Company, A-02-128, for

the parking lot at 747 North Sutter Street, Stockton,

CA,

effective June 30, 2014.

I

HEREBY

CERTIFY

that

the above

order

was passed

and

adopted on

______________________

__

by the following vote

of

the

Board

of Supervisors, to wit:

AYES:

NOES:

ABSENT:

MIMI

DUZENSKI

Clerk

of

the

Board

of

Supervisors

County

of

San Joaquin

State

of

California

'.

, .

. '

'.'-

.

A-02- )

!J-!5

)

....

J

.:

j

.

i'

15

YEAR GROUND LEASE AGREEMENT FOR 747 NORTII

SUTTER STREET IN STOCKTON, CALIFORNIA

FOR

THE DISTRICT

ATTORNEY FAMILY SUPPORT DIVISION

.

Ell

1

'I.

IUUZ

THIS LEASE

is

made in Stockton, County

of

San Joaquin, California

oJ

of

2002, by and between the County

of

San Joaquin (COUNTy), a political subdivision

of

the State

of

California, and Omega Land Company (LESSOR), a corporation formed

under the laws

of

the State

of

California.

THE

PARTIES HEREBY AGREE:

PREMISES: LESSOR hereby leases

to

COUNIY,

for COUNTY'S exclusive use,

the

approximate 10,000 square foot parcel located

at

747 North Sutter Street, Stockton,

California,

TERMS

OF

AGREEMENT AND TERMINATION: The term

of

the tenancy shall

commence on February

1,

2002 and terminate

on

January

30,2017.

Either party may

terminate this lease upon a

12

month notice after the

fifth

year. A cancellation fee

of

$50,000 shall be charged

to

the canceling party upon notice

of

cancellation from years 5

through

10,

RENT: The rental rate for years 1 through 5

of

the lease

term

shall be $2300 per month.

The rental rate for years 6 through

10

of

the lease term shall be $2400 per month. The

rental rate for years

11

through

15

of

the

lease term shall

be

$2500 per month. The rent

for the last year

of

the lease, totaling $30,000, shall be due and payable within 15 days

of

the

execution

of

this lease agreement, which shall be full payment for the COUNTY'S

last

12

months

of

occupancy.

USE

OF PREMISES: The premises shall

be

used

by the COUNTY'S District Attorney

Family Support Division

as

a parking lot,

SITE

IMPROVEMENTS: LESSOR shall construct a fenced, single level parking facility

Page

1

with a gate, on the premises according

to

City

of

Stockton requirements, standards and

ordinances and pursuant

to

any additional standards required by the federal government

or State

of

California for such facilities.·

LESSOR

shall

be

responsible for

all

aspects

of

the construction

of

the parking lot except for parking lot striping and payment

of

any use

permit fees, which shall be COUNTY responsibilities. LES SOR shall reimburse

COUNTY for any use permit fees upon commencement

of

construction.

COUNTY

shall

have

the

right to review plans and specifications

of

said improvements prior

to

construction. .

EXPENSES AND MAINTENANCE: LESSOR shall pay all taxes and assessments

on

the

premises.

COuNTY

shall be responsible for routine maintenance, weed abatement,

litter

remova~

and management

of

the

parking lot, including irrigation water and

electricity for security lighting. COUNTY liability arising

out

of

this lease shall

be

insured under the COUNTY'S self insurance program. COUNTY shall provide

LESSOR

with a certificate

of

such insurance and name

LESSOR

as an additional insured.

FIRST REFUSAL RIGHT: Should LESSOR intend to sell the premises di.uing

the

term

hereof,

or

any lawful extension hereof, LESSOR shall first

notifY

COUNTY

of

such and

of

any offer for

the

purchase

of

the premises. COUNTY shall thereafter have the right

for a period

oBO

days to enter into a purchase agreement for the premises based

on

the

fair market value

of

such or

to

purchase the premises

upon

the same terms and conditions

as

LESSOR

is willing

to

sell to any other potential buyer.

GENERAL PROVISIONS:

If

any legal dispute arises

out

of

this agreement,

the

reasonable attorney's fees

of

the prevailing party shall be paid by the losing party.

All communication shall be in writing and shall

be

sent to

the

parties at the following

addresses unless changed by written notice:

COUNTY: County

of

San Joaquin

Administrator, District Attorney Family Support

826 N. California Street

Stockton,

CA

LESSOR: Omega Land Company

Attn. Martin O'Leary

2343 Brittany Lane

Lodi,

CA

95242

Page 2

IN

WITNESS WHEREOF, the parties have executed this agreement

of

the date first

written above.

ATTEST: LOIS SAYHOUN

Clerk

of

the Board

of

Supervisors

of

the

County

of

San Joaquin, State

of

California

APPROVED

AS

TO FORM:

By

'uJllt;~

Michael McGrew

Assistant County Counsel

ADMINISTRATIVE APPROVAL:

By1Jtitk,rL

Nlc1c

I

k,

County Property Manager

COUNTY

OF SAN JOAQUIN, a

political subdivision

of

the State

of

California

OMEGALAND

COJl.1PANY,

a California Corporation

f

By~~~~~~~~~~

Martin O'Leary, Secretary

"LESSOR"

Page

3