TITLE
Recommendation to authorize City Manager to execute any and all documents necessary for subleases by and between the City of Long Beach (Sublandlord) and various agencies and organizations (Subtenants) on an as-needed basis necessary for the continued operation of the Harbor WorkSource Center on City-leased property at 1851 North Gaffey Street, Suites D - H, San Pedro, California. (Citywide)
DISCUSSION
On June 19, 2007, the City Council authorized the execution of all documents necessary to merge the workforce development services for the cities of Lomita and Torrance with the City of Long Beach for the creation of the Pacific Gateway Workforce Investment Network (Network). Subsequently, the City of Los Angeles, Community Development Department selected the Network as the operator for the comprehensive one-stop resource center for the San Pedro/Harbor Area, also known as the Harbor WorkSource Center (HWC). On October 1, 2007, the Network formally assumed the role of managing the HWC located at 1851 North Gaffey Street, Suites D - H, in San Pedro, California. In support of the Network's role at the HWC, the Lease for the HWC was assigned to the City of Long Beach.
In order to facilitate the operation of a comprehensive one-stop resource center, the Network partners with organizations such as the State Employment Development Department and the County Department of Public and Social Services (collectively, Partners) to better leverage workforce operations and grant resources by collocating these services at the HWC. To provide the most comprehensive resources to the community, the City subleases office space within the HWC to its Partners. Concurrently, the Network actively seeks additional Partners to further enhance and complement the services provided to the community. Thus, subleasing activities for the HWC are ongoing and ever changing.
The monthly base rent for the Partner subleases is equivalent to the City's cost under the Lease or is offered at a reduced rate depending on the funding capability of specific Partners. The subleased office space varies in size and the term of the subleases is on a month-to-month basis to mirror the month-to-month term of the Master Lease. The HWC contains 6,702 square feet of office space. Approximately 60 percent of the office space is subleased to Partners. As the Network continues to amend and renew the subleases of the current Partners and retain the services of additional Partners, City staff will continue to negotiate additional subleases on an as-needed basis.
This letter was reviewed by Deputy City Attorney Gary J. Anderson on February 28, 2008 and by Budget Management Officer Victoria Bell on March 6, 2008.
TIMING CONSIDERATIONS
City Council action is requested on March 18, 2008, in order to facilitate the timely execution of current and future subleases on an as-needed basis in an effort to maintain continued operations at the Harbor WorkSource Center.
FISCAL IMPACT
Revenue from subleases at the Harbor WorkSource Center accrues to the Community Development Grants Fund (SR 150) in the Department of Community Development (CD) and is utilized to offset operational and other expenses for the facility. There is no impact to the General Fund.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
Dennis J. Thys
Director of Community Development
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APPROVED: |
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PATRICK H. WEST |
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CITY MANAGER |