Approve and authorize the Chairman to sign a retroactive renwal lease with Bert and Karen Boothroyd in the amount of $8,000 per month (approximately $1.00 per square foot) plus an additional $627.31 per month for the period July 1, 2016 through June 30, 2017 with annual Consumer Price Index increases or decreases of no more than three percent on the base amount of rent commencing July 1, 2017, for 8,000 square feet of office space at 1220 Sacramento Street, Redding, California for the period July 1, 2016, through June 30, 2021, with one three-year and six two-year optional renewals with annual Consumer Price Index increases or decreases of no more than three percent.

The Shasta County Health and Human Services Agency Regional Services Branch (Regional Services) has provided services to the public at this centrally located downtown Redding location since July 1, 2007.  The renewal of 1220 Sacramento Street lease will enable Regional Services to continue to provide these services for Shasta County citizens with transportation challenges since this location is within easy walking distance of the RABA terminal in downtown Redding.

As the demand for services in the downtown Redding area has grown, this location has provided a readily accessible point of service for the community.  With the Women, Infants, and Children Program (WIC) moving out of this location, Regional Services is increasing the availability of eligibility and health outreach services. Moving these services off the Breslauer Campus is in alignment with the Agency’s long range goals of bringing services to where the community demand is located.  The renewal lease also obligates the property owner to make modifications to the property to enable Regional Services to enhance the services provided at this location.

The Board may choose not to approve the lease renewal and/or could request modifications to the lease terms.

County Counsel has approved the lease as to form.  Risk Management has reviewed and approved the lease.  The recommendation has been reviewed by the County Administrative Office.

The rent is comparable with what is available in the current market for similar office space.  The annual adjustments to the rent will be based on Consumer Price Index changes in order to maintain that alignment with changing market values. The rent is funded through Social Services Administration program funding and requires a County share of cost, which is largely met through Realignment.  This expenditure has been included in the current FY 2016-17 Adopted Budget and will be included in future fiscal year budget submissions.  There is no additional General Fund impact from the recommended action.