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Home My WebLink About10/1/2003 - STAFF REPORTS (6) DATE: OCTOBER 1,2003 TO: CITY COUNCIL FROM: COMMUNIITY DEVELOPMENT ADMINISTRATOR VIA DIRECTOR OF COMMUNITY& ECONOMIC DEVELOPMENT AMENDMENT NO. 1 TO THE LEASE AGREEMENT FOR THE DR, R.G. FREY- JAYCEES COMMUNITY BUILDING WITH THE WELL IN THE DESERT RECOMMENDATION: It is recommended that the City Council approve the proposed amendments to the Lease Agreement for Use of Municipally—Owned Real Property of the Dr. R.G. Frey - Jaycee Community Building with the Well In The Desert and authorize the City Manager to execute Amendment No. 1 to the Lease Agreement. SUMMARY: Authorize the City Manager to execute Amendment No. 1 to the current Dr. R.G. Frey-Jaycee Building Lease Agreement with The Well In The Desert for use of the building, including expanding the feeding services from three days per week to five days per week and an extra half-hour each day, installing a telephone at the building, creating a mail drop at the address, allowing the provision of social services at the building, and reducing the rent. BACKGROUND: At the May 15, 2002 Council Meeting, the City Council approved a lease with the Well in the Desert for the use of the Dr. R.G. Frey — Jaycee Community Building for a three-day-per-week hot lunch program, as well as programming $86,830 in CDBG funds for the ADA renovations and food prep area upgrades to bring the building up to the City's standards for public facilities and make it more attractive for community-at-large rental use. In addition, the improvements would facilitate the Well In The Desert to more effectively operate their homeless and needy feeding services there. The rehab of the building is currently out to bid with work set to commence (after award of contract) in November. Earlier this year, The Well's Board of Directors and the Palm Springs Homeless Task Force requested changes to the current lease from the City Manager, which included: a) expanding the three day feeding program to five days (Monday — Friday); b) adding mail delivery and phone service; c) increasing the daily time of operations in the building by thirty minutes; d) adding other services, such as case management, provided by Episcopal Community Services; and e) changing the rental amount from $400.00 monthly to $1.00 yearly. In June, after one year of successful operation virtually free of any major incidents or problems, the City Manager (under his scope of authority per the lease terms) approved a temporary change in The Well's hours and days of operations from June 24, 2003 through September 30, 2003. This temporary measure recognized that because of our extreme heat, this action would help avoid heat-related problems for a segment of our community that is at the highest risk. � ^ The Lease Amendment extends the expansion of those services beyond the September 30 date, as well as begins the process of adding further services at the facility. This will begin to centralize fragmented resource referral and creating a stronger link between those in our community needing services and the actual assistance to serve those in-need. 7. WOH S. Y OND DALE E. COOK JR. for of Community& Community Development Economic Development Administrator APPROVED�, m � � C y Mana' e ATTACHMENT: 1. Minute Order 2. Amendment No. 1 �/7 AMENDMENT # 1 TO LEASE AGREEMENT # A4499 WITH THE WELL IN THE DESERT (THE WELL) FOR LEASE AGREEMENT OF THE DR. R.G. FREY-JAYCEES COMMUNITY BUILDING. THIS FIRST AMENDMENT TO THE LEASE AGREEMENT (# A4499 herein Agreement), is made and entered into this _day of October , 2003, by and between the City of Palm Springs (herein City), a municipal corporation, and The Well in the Desert (herein The Well), and amends that certain Lease Agreement dated August 1, 2002, as amended, between the same parties, as follows: 1. Paragraph 1.4 Rental shall be amended to include the following: The Well shall not be obligated to pay any rent to the City for the lease of the Site. The parties acknowledge that the service provided by The Well to the community under this Lease serves as a benefit to the City in establishing valuable services for the homeless and needy which provides the consideration for City's obligations hereunder. 2. Paragraph 1.6 Use of Site shall be amended to include the following: The Well shall be permitted to collaborate with and allow designated space for Episcopal Community Services and the County of Riverside Homeless Intervention Team, as additional providers of homeless and social services, to complement the feeding program with broad-based, comprehensive and integrated client case management and referral services for employment, housing, medical and other personal needs to move individuals and families from poverty to productive self-sufficient living. 3. Paragraph 4.1 Permitted Use shall be amended to include the following: The Well shall be permitted to establish internet, mail and telephone services, at its sole cost and expense within the designated space for Episcopal Community Services, that provides the highest level of resources to assist with client referral and employment search. 4. Paragraph 4.5 Hours of Operations shall be amended to include the following: The Well and its additional providers of homeless and social services shall conduct business during the normal workweek of Monday through Friday. 5. Exhibit"F" Construction Improvement Schedule shall be amended to read: "complete the improvements no later than March 31, 2004". 6. The City Manager is authorized to execute a formal amendment to this Agreement as required in accordance with this Resolution, and that Resolution 20331, approving the Lease. r7 3 IN WITNESS WHEREOF, the parties have executed and entered into this Amendment as of the date stated below. ATTEST: CITY OF PALM SPRINGS, a municipal corporation By: City Clerk City Manager DATED this day of October , 2003. THE WELL, a California non-profit public benefit corporation: The Well In The Desert By: Name: Wayne R. McKinny, M.D. Title: President ADDRESS: PO Box 5312 Palm Springs. CA 92263-3522 3 �� RESOLUTION NO. OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, AMENDING LEASE AGREEMENT FOR USE OF MUNICIPALLY — OWNED REAL PROPERTY OF THE DR. R.G. FREY — JAYCEE COMMUNITY BUILDING WITH WELL IN THE DESERT. WHEREAS Resolution 20331 approving the Lease Agreement with the Well In The Desert was adopted on May 15, 2002; and WHEREAS subsequently the City entered into a Lease Agreement #A4499 with The Well, dated August 1, 2002; and WHEREAS The City and The Well are mutually interested in providing for the nutritional needs for the homeless and needy; and WHEREAS City is the owner of that certain real property, know as the Dr. R.G. Frey — Jaycee Community Building, located at 1901 East Baristo Road, Palm Springs, California; and WHEREAS The City wishes to make the Site available to The Well and The Well wishes to use such Site under the terms of this Lease to fulfill the goal of serving the homeless and needy; and WHEREAS The parties recognizes that through a cooperative Lease between the City and The Well for use of the Site under the terms herein, the homeless and needy has been afforded the fulfillment of nutritional and substantial hot meals; and WHEREAS Staff has recommended, and the City Council desires to approve, certain amendments to said Lease Agreement; NOW, THEREFORE, be it resolved that the City Council of the City of Palm Springs, California, does hereby approve the following: SECTION 1. The Council finds that The Well is exempt from taxation under the IRS Code, Section 501 (c) (3) since August 1996; its program qualifies as an IRS tax-exempt function; it is the only hot meal feeding program in the community; the beneficiaries are primarily Palm Springs residents; and, the project's net-dollar value to the community of such program is estimated at $78,000 annually. SECTION 2. Paragraph 1.4 Rental shall be amended to include the following: The Well shall not be obligated to pay any rent to the City for the lease of the Site. The parties acknowledge that the service provided by The Well to the community under this Lease serves as a benefit to the City in establishing valuable services for the homeless and needy which provides the consideration for City's obligations hereunder. 2- SECTION 3. Paragraph 1.6 Use of Site shall be amended to include the following: The Well shall be permitted to collaborate with and allow designated space for Episcopal Community Services and the County of Riverside Homeless Intervention Team, as additional providers of homeless and social services, to complement the feeding program with broad-based, comprehensive and integrated client case management and referral services for employment, housing, medical and other personal needs to move individuals and families from poverty to productive self-sufficient living. SECTION 4. Paragraph 4.1 Permitted Use shall be amended to include the following: The Well shall be permitted to establish internet, mail and telephone services, at its sole cost and expense, that provides the highest level of resources to assist with client referral and employment search. SECTION 5. Paragraph 4.5 Hours of Operations shall be amended to include the following: The Well and its additional providers of homeless and social services shall conduct business during the normal workweek of Monday through Friday. SECTION 6. Exhibit "F" Construction Improvement Schedule shall be amended to read: "complete the improvements no later than March 31, 2004". SECTION 7. The City Manager is authorized to execute Amendment No. 1 to the Agreement in accordance with this Resolution. In a form acceptable to the City Attorney. ADOPTED this day of October 2003. AYES: NOES: ABSENT: ABSTRAIN: By: City Clerk City Manager REVIEWED AND APPROVED: Homeless(The W ellLeaseAmdmtResln.SeptO3