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Health and Human Services Agency along with the Chief Administrative Office, Facilities Division, recommending the Board:
1) Approve and authorize the Purchasing Agent to sign Amendment I to Lease Agreement 576-L1311 (FENIX 997), similar in form to the draft Lease Agreement attached (Attachment A), with Steven and Laura Abel Nevada Family Trust (for office space at 768 Pleasant Valley Road, Diamond Springs, that is utilized by the Behavioral Health Division), for the amended term beginning on the Commencement Date of June 1, 2024, and continuing for an initial 10 years through May 31, 2034, with an optional two subsequent term extension options of five years each, not to exceed a maximum term through May 31, 2044, with an increase in the lease amount of $3,769,389.37 to a new total of $6,431,511.15 for the initial lease period (20 years and 5 months), with each subsequent five-year renewal option for an amount equal to the then Fair Market Value or a minimum four percent increase, whichever is greater, for the monthly rent, pursuant to approval of the final Lease Agreement which is approved County Counsel but pending Risk Management approval; and
2) Authorize the Purchasing Agent to execute amendments relating to Lease Agreement 576-L1311, contingent upon approval by County Counsel and Risk Management, which does not increase Net County Cost or extend the term beyond May 31, 2044.
FUNDING: 53% Federal/State Medi-Cal, 28% Mental Health Services Act, 17% Realignment, 2% Federal Substance Use Block Grant.
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DISCUSSION / BACKGROUND:
On May 7, 2013, the Board approved the Lease Agreement 576-L1311 with Steven and Laura Abel Nevada Family Trust (Lessor) for 13,770 square feet of office space located at 768 Pleasant Valley Road, Diamond Springs, California (File ID: 13-0517). The lease of 768 Pleasant Valley Road office space houses Mental Health outpatient services for HHSA Behavioral Health Division (BHD) on the West Slope and represents a centralized loca...
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