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Home My WebLink AboutSpecial 2015-12-14 Item 2G - Lease Agreement - Amendment #1 to 6300 Building Suite 206 with Sound Cities Association (2016-2018 Lease)COUNCIL AGENDA SYNOPSIS -- Initials Meefin Prepared � ,g Date Mayor's review Council review 12/14/15 BG L4 ITEM INFORMATION ITEM NO. Spec 2.G. 225 STAFF SPONSOR: BOB GIBERSON ORIGINALAGENDADATE: 12/14/15 AGENDA YrEm Tii,i,E Sound Cities Association Lease Agreement for 6300 Building Suite 206 CATEGORY ❑ Dircusfion Mt ,g Date E Motion Mi ,g Date 12114115 ❑ Resolution MtS Date ❑ Ordinance Alig Date F-1 BidAward AltS Date ❑ Public Hearing Aft ,g Date [:] 0 "er ,g Date Mt SPONSOR ❑ Council ❑ Mayor [:] FIR ❑ DCD ❑ Finance ❑ Fire ❑ IT ❑ P&R ❑ Police ❑ PWI' SPONSOR'S In April 2006, the City entered into a five year lease of Suite 206 in the 6300 Building. SUMMARY Amendment #1 readjusted the rent amounts and extended the lease through January 31, 2013. Amendment #2 added additional space and phone and IT service. Council is being asked to approve the new lease agreement with SCA for 3 years through December 31, 2018 with rent at $1,885.83/month in 2016, $2,007.50 in 2017 and $2,068.33 in 2018. BY ❑ cow Mtg. ❑ CA&P Cmte ❑ F&S Cmte ❑ Transportation Cmte F-1 Utilities Cmte ❑ Arts Comm. [:] Parks Comm. ❑ Planning Comm. DATE: 12/08/14 COMMITTEE CHAIR: KATHY HOUGARDY RECOMMENDATIONS: SPONSOR /ADMIN. Public Works Department COMMFIYEE Unanimous approval, forward to Special Consent Agenda COST IMPACT / FUND SOURCE EXPENDITURE REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED $0.00 $0.00 $0.00 Fund Source: GENERAL FUND REVENUE Comments.- MTG. DATE RECORD OF COUNCIL ACTION 12/1411S MTG. DATE ATTACHMENTS 12/14/15 Informational Memorandum dated 12/04/15_ Sound Cities Association Lease Agreement Minutes from the Finance and Safety Committee Meeting of 12/8/15 225 226 City of Tukwila Jim Haggerton, Mayor INFORMATIONAL MEMORANDUM TO: Mayor Haggerton Finance and Safety Committee FROM: Bob Giberson, Public Works Director DATE: December 4, 2015 SUBJECT: Sound Cities Association Lease Amendment — Suite 206, 6300 Building ISSUE Approve the lease amendment with Sound Cities Association (SCA). f3L�7:(eiZ�lIPl�7 In 2006, the City entered into a five year lease of Suite 206 in the 6300 Building and an amendment extended the lease through 2012. A new lease agreement was executed in 2013 to include an additional 360 square feet of space, City - provided phone and technology services, and a new monthly rent of $1,703.33 for 2013, $1,764.17 for 2014, and $1,825.00 for 2015. A new lease amendment has been negotiated to extend the lease until December 31, 2018 with rent at $1,885,83/month for 2016, $2,007.50 /month for 2017 and $2,068.33 /month for 2018. DISCUSSION The current lease with SCA expires on January 31, 2016. This lease amendment extends the lease through December 31, 2018 and continues to benchmark the lease rate to surrounding market rate rents. RECOMMENDATION Council is being asked to formally approve the lease amendment with SCA for an extended lease term and increase in rent, and consider this item on the Consent agenda for Special Council Meeting on December 14, 2015. ATTACHMENTS: Draft of the SCA Lease Amendment 227 228 LEASE AMENDMENT THIS LEASE AMENDMENT is made this day of , 20 between CITY OF TUKWILA ( "LANDLORD "), and SOUND CITIES ASSOCIATION ( "TENANT "). WHEREAS, Landlord and Tenant entered into a Lease dated January 8, 2013 for those certain premises located at Suite 206, 6300 Southcenter Blvd., Tukwila, Washington (the "PREMISES "), as more fully described in the Lease. Capitalized terms used but not otherwise defined herein shall have the meanings given to them in the Lease; and WHEREAS, Landlord and Tenant desire to modify the Lease as provided herein. NOW, THEREFORE, in consideration of the covenants and agreements contained herein, the parties hereby mutually agree as follows: TERM. The Lease for Suite 206 shall expire on December 31, 2018. Therefore, the Term of the current Lease for Suite 206 shall be extended from January 31, 2016 and expiring December 31, 2018. 4. RENTAL RATE ADJUSTMENT. The adjusted rental rates are as follows: 2/01/2016 — 12/31/2016 $15.50 /sfyr $1,885.83/mth $22,630/yr 1/01/2017 — 12/31/2017 $16.50 /sf /yr $2,007.50 /mth $24,090/yr 1/01/2018 — 12/31/2018 $17.00 /sf /yr $2,068.33/mth $24,820/yr Except as expressly modified above, all terms and conditions of the Lease remain in full force and effect and are hereby ratified and confirmed. IN WITNESS WHEREOF, the parties hereto have entered into this Ist Amendment to Lease as of the date first written above. LANDLORD: City of Tukwila By: Title: Date: TENANT: Sound Cities Association By:_ Title: Date: 229 230 4 City of Tukwila Finance and Safety Committee FINANCE AND SAFETY COMMITTEE Meeting Minutes December 8, 2015 — 5:30 p.m.; Hazelnut Conference Room PRESENT Councilmembers: Kathy Hougardy, Chair; Joe Duffie, De'Sean Quinn Staff: David Cline, Peggy McCarthy, Bob Giberson, Kim Gilman, Stephanie Brown, Mike Villa, Todd Rossi, Brent Frank, Christy O'Flaherty, Kim Walden, Gail Labanara, Tam i- Eberle- Harris, Laurel Humphrey CALL TO ORDER: The meeting was called to order at 5:30 p.m. I. PRESENTATIONS No presentations. BUSINESS AGENDA A. Lease Amendment: Sound Cities Association Staff is seeking Council approval to amend the lease with Sound Cities Association (SCA) for space in the 6300 Building. The amendment would extend the lease until December 31, 2018, with rent at $1,885.83/month for 2016, $2,007.50 /month for 2017, and $2,068.33 /month for 2018. UNANIMOUS APPROVAL. FORWARD TO DECEMBER 14, 2015 SPECIAL CONSENT AGENDA. B. Resolution: Laserfiche Records System Upgrade Staff is seeking Council approval of a sole- source resolution to purchase the Rio upgrade, estimated at $93,179.24, to the basic Laserfiche product currently owned by the City. Laserfiche Rio is a robust enterprise content, document and records management system that provides a centralized records storage system for the city. The upgrade will provide separate repositories for departmental use, unlimited public portal retrieval licenses, and enhanced workflow and life cycle management capabilities. In addition, the Municipal Court's transition to electronic forms via the CodeSmart project requires this upgrade in order to integrate with the City's document management system. Funds for this purchase are available from the current 2015 budget and no amendment is required. UNANIMOUS APPROVAL. FORWARD TO DECEMBER 14, 2015 SPECIAL CONSENT AGENDA. C. Resolution: Non - Represented Employee Compensation Staff is seeking Council approval of a resolution to adopt the non - represented salary schedule and benefits summary effective January 1, 2016. The proposal includes a 1% pay increase for all non - represented employees, changes to the salary structure line of regression phased in over two years, and a commitment to review the compensation policy in the first quarter of 2016. Bands D61 -F102 will receive an additional increase of 3.35% in 2016 and Bands D62, D63, and F102 will receive an additional increase of 2.7% in 2017. Councilmembers and staff discussed the proposals, which included comments from staff speaking from their perspective as non - represented employees affected by the proposal. Human Resources staff stated that while this resolution is silent on 2017 compensation for bands B21 -C43, the compensation policy outlined in Resolution 1769 still applies and there may be a cost -of- living adjustment based upon 90% of CPI. Chair Hougardy requested a report 231