Agenda - 01-24-2012 - 5k - Laserfiche WebLink

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ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: January 24, 2012 Action Agenda Item No. ,~j- K SUBJECT: Approval of a Lease Agreement between Chapel Hill -Carrboro City Schools and PTA Thrift Shop Managers, LLC DEPARTMENT: Financial Services PUBLIC HEARING: (Y/N) No ATTACHMENT(S): INFORMATION CONTACT: Lease Agreement Clarence Grier, 919-245-2453 Frank Clifton, 919-245-2306 Dr. Tom Forcella, CHCCS Superintendent, 919-967-8211 Todd LoFrese, CHCCS, 919-967-8211 PURPOSE: To approve a lease agreement between Chapel Hill -Carrboro City Schools (CHCCS) and PTA Thrift Shop Managers, LLC for the lease of office space. BACKGROUND: Due to space and parking limitations, current leased locations do not provide adequate space to operate effectively and working conditions for CHCCSstaff are poor due to the space shortage. In addition, space for meetings with parents, PPT meetings, and space for providing student services is extremely limited. Currently, CHCCS' Pre-IVHead Start administrative team and Preschool Intervention occupy separate office suites approximately 1/4 mile apart and approximately 3 miles from the Lincoln Center. If both programs were housed in one facility, services could be more closely coordinated and the quality of services provided to the public, and particularly to those families that the two programs share, could be improved. Both programs occupy spaces that are not large enough to accommodate their responsibilities. The overcrowding and limited meeting space has compromised confidentiality, and CHCCS staff believes these conditions have affected staff morale. At its November 3, 2011 meeting, the CHCCS Board of Education approved entering into a lease agreement with PTA Thrift Shop Managers, LLC for the rental of office and professional development space for the district in the Town of Carrboro. CHCCS negotiated a rental cost of $17.25 per square foot for the leased premises, subject to an escalation of 2% for each year after the first year. The total estimated annual cost for the lease agreement will be approximately $127,400 in the first year of the lease. The State of North Carolina requires that the County and Local Government Commission approve a lease agreement of this duration and dollar amount. The term of the lease agreement is seven years with the option to renew the lease with written notice 120 days prior to the expiration date of the lease.