Title
Authorizing the City Manager to execute a five-year lease with Travis County ESD#2 for the first floor of the Conference and Education Center located at 201B East Pecan Street.
Summary
The proposed term of the lease of the space is five years, with five one-year options. A copy of the proposed configuration to accommodate the Building Inspection, Engineering and Planning departments is attached. Together, the departments at this location will be referred as the Development Services Center.
Status
The City Manager provided a letter of intent to Travis County ESD#2 on September 1. Jamail & Smith will construct the building improvements. Suddenlink is providing the data connection to City Hall. The first floor will open as the Development Services Center as soon as both of these improvements are complete.
Prior City Council Action
On August 23, 2011 the City Council authorized the City Manager to provide a letter of intent regarding this matter.
Deadline for City Council Action
Staff requests action on September 27 to secure the lease starting October 1.
Projected Future City Council Action
No additional action is anticipated.
Fiscal Impact
Funds to cover the renovation and furnishing of the space are from FY 2011, not to exceed $187,000. The estimated annual fiscal impact directly tied to the lease is approximately $116,000 plus a proportionate share of operating expenses which are estimated at $16,000 annually.
Staff Recommendation
Staff recommends approval.
Drafter
Trey Fletcher, AICP, Managing Director of Operations