Item Coversheet
Item #4.

Staff Report: 077-24

TO:

Mayor and City Council




FROM:

Eric Holmes, City Manager




DATE:

4/15/2024








SUBJECT


Capital Facilities Lease Agreement - City of Vancouver and Washington State Department of Transportation
Key Points
  • The City of Vancouver's Public Works Construction Services Division will lease 15,306 square feet of office space and 470 square feet of secured storage space at WSDOT Headquarters located at 11018 NE 51st Circle, Vancouver for a period of five (5) years with two 5-year extension options.
  • The lease rate is a five-year fixed rate of $19.82 per square foot for office and $10.50 for secured storage.
  • Annual lease cost is $308,306.53, which is comparable to the rate the division currently pays in the current location at VPD East Precinct.

Strategic Plan Alignment
High Performing Government – a government that is reliable, fiscally responsible, equitable, and open to compromise. 
Present Situation

The City of Vancouver's East Precinct facility currenlty houses both VPD and the Public Works Construction Services Division. VPD occupies 16,178 SF and Construction Services occupies 10,000 SF. VPD growth in staff and space needs requires additional space at VPD East Precinct; relocating Construction Services to alternate space was determined to be appropriate to provide this additional space for VPD.

 

Washington State Department of Transportation (WSDOT) headquarters building located at 1018 NE 51st Cir, Vancouver, WA 98682, was identified as viable space for Construction Services based on the location, lease rate, square footage availability that meets Construction Services current and projected staffing needs, and synergy and partnership opportunities with WSDOT.

 

The lease agreement negotiated with WSDOT is for approximately 15,776 square feet for a Five-year (5-year) period. The lease rate will be a fixed rate of $19.82 per square foot of office and $10.50 per square foot of secured storage for the five-year term.

 

VPD East Precinct Background: In 2005, the City of Vancouver Police Department, Public Works and Parks & Recreation collaborated to build the VPD East Police Precinct facility and adjacent neighborhood park.

 

At that time, both the Police Department and Public Works Construction Services were leasing space at non-city owned facilities. This collaboration resulted in the ability to build a new east precinct that would accommodate VPD and Construction Service’s then current needs and provide future growth space for VPD.


Advantage(s)
  1. Provides space to accommodate Construction Services’ current and future staffing needs.
  2. Returns 10,000 square feet of space to VPD to accommodate their anticipated program needs.

Disadvantage(s)

None anticipated.


Budget Impact

Moving Construction services to the new location will result in the General Fund revenue loss of approximately $112,000 in 2024 and $396,500 in annual on-going revenue. 


Prior Council Review
None
Action Requested

Ratify the attached Capital Facilities Lease Agreement between the Washington State Department of Transportation and City of Vancouver and authorize the City Manager or his designee to execute the document.

 

Linda Carlson, Property Management Specialist, 360-487-8423

 


ATTACHMENTS:
Description
Capital Facilities Lease