DEPARTMENT: Office of Eastpoint and Real Estate Services
DEPARTMENT HEAD: Mike Etienne
COUNCIL DISTRICTS IMPACTED: 5
SUBJECT:
Lease Agreement: Human Services Department - Parent Child, Incorporated of San Antonio and Bexar County
SUMMARY:
An Ordinance authorizing the execution of the First Renewal of Ground Lease Agreement between the City of San Antonio as Landlord and Parent Child, Incorporated of San Antonio and Bexar County (PCI) as Tenant, for the continued use of land for their administrative offices, located at 1227 Brady Blvd., for a five-year term, commencing June 1, 2015 and expiring May 31, 2020, for the annual rental rate of $1.00.
BACKGROUND INFORMATION:
Parent Child, Incorporated of San Antonio (PCI) has been a tenant at 1227 Brady Blvd. since August 2009, as authorized by Ordinance 2009-04-09-0262 dated April 4, 2009. The land leased by PCI is used as a location for a tenant-owned 7,000 square foot modular building that houses the administrative staff function of the PCI organization, additionally the property is utilized as a vehicle hub for various program and maintenance vehicles.
PCI is a private, non-profit single purpose human services agency devoted to providing high quality comprehensive services to children and families. PCI's mission is to provide quality early childhood developmental services and education to empower children and families to become caring, competent, responsible citizens who value education and community. Since 1979 PCI has been serving San Antonio, Atascosa, Bexar, Frio, Comal, Guadalupe, Kerr, Medina and Wilson Counties within the State of Texas, providing various programs including Early Head Start, Head Start, Child and Adult Care Food Nutrition Program as well as services to licensed or registered day care homes.
ISSUE:
An Ordinance authorizing the execution of the First Renewal of Ground Lease Agreement between the City of San Antonio as Landlord and Parent Child, Incorporated of San Antonio and Bexar County (PCI) as Tenant, for the continued use of land for their administrative offices, located at 1227 Brady Blvd., for a five-year term, commencing June 1, 2015 and expiring May 31, 2020, for the annual rental rate of $1.00.
The City of San Antonio recognizes the need for the continued services provided by PCI and therefore supports this action to ensure no interruption of the services and programs being provided to the citizens of San Antonio and surrounding counties who depend on them. Co-location of the City of San Antonio Head Start and Parent Child Incorporated administrative offices at the Brady Building location was approved by the Department of Health and Human Services, Administration for Children and Families, Office of Head Start, Region VI.
ALTERNATIVES:
An alternative to entering into this First Renewal of Ground Lease Agreement with Parent Child, Incorporated of San Antonio (PCI) would be for the City to not renew the lease agreement with PCI. However, this course of action would certainly cause an interruption in the services provided by PCI to the youth and parents of San Antonio for an undetermined amount of time, thereby limiting the effectiveness of the mission of the City and PCI with regard to youth and family support programs. The Department of Human Services received direction from the Department of Health and Human Services, Administration for Children and Families, Office of Head Start, Region VI to lease the building to Parent Child Incorporated. Approval of this action will eliminate the potential risk of jeopardizing the mission goals and program objectives of PCI and the City of San Antonio.
FISCAL IMPACT:
The City will collect rent in the amount of $1.00 annually from Parent Child, Incorporated of San Antonio (PCI) for the use of land located 1227 Brady Blvd. Funds will be deposited in the General Fund in accordance with the FY 2015 adopted budget.
RECOMMENDATION:
Staff recommends approval of this First Renewal of Ground Lease Agreement between the City of San Antonio and Parent Child, Incorporated of San Antonio and Bexar County for land located at 1227 Brady Blvd., for a five-year term, for the rental amount of $1.00 annually.