TO: Board of Supervisors
FROM: Steven Lederer - Director of Public Works - Public Works
REPORT BY: Andrea Salter - Staff Services Analyst
SUBJECT: Amendment No. 2 to Professional Services Agreement No. 190353B with KNM Properties, Inc. for property management services
RECOMMENDATION
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Approve and authorize Amendment No. 2 to Agreement No. 190353B with KNM Properties, Inc. to extend the term of the agreement through June 30, 2027, with an automatic renewal not to exceed two additional years, and no change to the compensation, for property management services located at 650 Imperial Way. (Fiscal Impact: $2,390 Annually; Property Management Fund; Budgeted; Mandatory)
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BACKGROUND
On April 1, 2019, the Director of Public Works approved Agreement 190353D with KNM Properties, Inc. (KNM) to provide property management services at 650 Imperial Way, which is County-owned property within the Soscol Center Business Park (SCBP). County is required by deed restriction to participate in a Common Area Maintenance Program for the SCBP. KNM provides the required services and will continue to do so, until such time that the SCBP selects an alternative property manager.
On March 22, 2022, the Board approved Amendment No. 1 to extend the term through June 30, 2022, with a provision for an automatic renewal for an additional two years through June 30, 2024.
The term of the Agreement is due to expire on June 30, 2024. Approval of Amendment No. 2 to Agreement No. 190353B with KNM will extend the term through June 30, 2027, with a provision for an automatic renewal for an additional two years through June 30, 2029. The maximum annual compensation for property management services will continue at $2,390 each fiscal year.
Requested Action: Approve and authorize the Chair to sign Amendment No. 2 to Agreement No. 190353B with KNM Properties, Inc. to extend the term of the agreement through June 30, 2027, with an automatic renewal not to exceed two additional years.
FISCAL & STRATEGIC PLAN IMPACT
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Is there a Fiscal Impact? |
Yes |
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Is it currently budgeted? |
Yes |
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Where is it budgeted? |
Fund 4300, Sub-Division 4300000 |
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Is it Mandatory or Discretionary? |
Mandatory |
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Discretionary Justification: |
Participation in the Common Area maintenance Program, with services provided by KNM at the selection of the SCBP, is required by deed restriction. Approval of this amendment will allow for continued property management services at 650 Imperial Way. |
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Is the general fund affected? |
No |
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Future fiscal impact: |
Funding for this service will be budgeted each fiscal year for the term of the agreement. |
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Consequences if not approved: |
If the amendment is not approved, County will not be in compliance with a deed restriction placed on County-owned property. |
ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: The proposed action is not a project as defined by 14 California Code of Regulations 15378 (State CEQA Guidelines) and therefore CEQA is not applicable.