city of Chula Vista

File #: 15-0478    Name: SYHC Lease Amendment 1
Type: Consent Item Status: Passed
In control: City Council
On agenda: 9/15/2015 Final action: 9/15/2015
Title: RESOLUTION NO. 2015-214 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING A LEASE AGREEMENT WITH SAN YSIDRO HEALTH CENTER FOR A PORTION OF A CITY-OWNED BUILDING AND APPURTENANCES LOCATED AT 1800 MAXWELL ROAD AND AMENDING THE FISCAL YEAR 2015-2016 BUDGET FOR PAYMENT OF RETROFIT CONSTRUCTION COSTS (4/5 VOTE REQUIRED)
Attachments: 1. Item 7 - Attachment 1, 2. Item 7 - Resolution
Title
RESOLUTION NO. 2015-214 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING A LEASE AGREEMENT WITH SAN YSIDRO HEALTH CENTER FOR A PORTION OF A CITY-OWNED BUILDING AND APPURTENANCES LOCATED AT 1800 MAXWELL ROAD AND AMENDING THE FISCAL YEAR 2015-2016 BUDGET FOR PAYMENT OF RETROFIT CONSTRUCTION COSTS (4/5 VOTE REQUIRED)


Body
RECOMMENDED ACTION
Recommended Action
Council adopt the resolution.


Body
SUMMARY
On May 26, 2015, City Council approved a lease agreement with San Ysidro Health Center for a portion of the John Lippitt Public Works Center located at 1800 Maxwell Road (Resolution No. 2015-109). Subsequent to the Lease being executed, internal issues at SYHC developed that have prevented them from performing under the lease and taking occupancy. Subsequent negotiations have resolved their issues provided that an amendment to the lease is adopted. The purpose of this action is to consider an amendment to this lease agreement.

ENVIRONMENTAL REVIEW
The Development Services Director has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity qualifies for a Class 1 categorical exemption pursuant to Section 15301 (Existing Facilities) of the State CEQA Guidelines because the activity consists of approval of a lease agreement involving existing city owned property and facilities. Thus, no further environmental review is required.

BOARD/COMMISSION RECOMMENDATION
Not Applicable

DISCUSSION
Over the past year, the City has been negotiating with San Ysidro Health Center (SYHC), through the City's Broker, Voit Real Estate Services, to lease 13,750 square feet of office space located at the JLPWC. On May 26, 2015, City Council approved a lease agreement with SYHC. However, subsequent to adoption, SYHC requested time to reconsider the lease. While not forgoing any of the City's rights under the lease, SYHC was given time to resolve their concern...

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