Agenda - 08-20-1996 - IX-B - Laserfiche WebLink

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i 1 ORANGE COUNTY BOARD OF COMMISSIONERS Action Agenda Item No. �Y-S ACTION AGENDA ITEM ABSTRACT Meeting Date: August 20, 1996 SUBJECT: MANAGEMENT AGREEMENT; 501 WEST FRANKLIN STREET DEPARTMENT: PURCHASING AND Public Hearing: No CENTRAL SERVICES Budget Amendment Reqd? Yes ATTACHMENT(S): INFORMATION CONTACT: PAM JONES, ext. 2650 CONTRACT Telephone Number- Hillsborough 732-8181 Chapel Hill 967-9251 Mebane 227-2031 Durham 688-7331 PURPOSE: To consider approving an agreement with ESM,Associates, Chapel Hill for the property management function at 501 W. Franklin Street. BACKGROUND: The County has recently purchased the property at 501/503 West Franklin Street. While the 503 portion of the property will be used for the Skill Development Center, the 501 portion, which is presently leased to five tenants will remain as leased property. The current leasing agent, Steve Manton of ESM Associates, has agreed to remain in that capacity for a fee of 6%of the gross lease income(fee amount to be approximately$5,760 per year). Highlights of the proposed agreement for management services include the following: • ESM will provide a point of contact for the tenants of 501 W. Franklin Street for any tenant issue and present these issues to the County as may be required. Issues anticipated include maintenance items, parking locations, etc. The leasing agent would continue to be responsible for assigning parking and issuing the parking permits to the 501 tenants. • ESM will authorize expenditures for routine items for maintenance in tenants space up to $500 per expenditure. All bills for such maintenance will be reviewed by the leasing agent and then sent to the County purchasing director who will ensure that payment is made. • ESM will seek out suitable tenants to fill any vacancies which might occur in the property, however, the County will reserve"first right of refusal'before a new tenant is identified . The Board of Commissioners will continue to approve any leases with tenants in the facility. • All rent will be mailed directly to the County. Separate accounts have been established in the general fund to track the revenues and expenses for this property. The account will be funded from two sources; $20,000 from funds currently available in the CIP; and funds above the amount identified to retire debt service(approximately$16,000). As an aside, the Board may recall the following breakdown for available funds to retire debt, satisfy expenses for the leased portion of the property and upfit the Skill Development Center: