Explanation
Background:
The Recreation and Parks Department desires to exercise its first option to renew a five-year lease agreement for 18,000 square feet of space in the Morse Center Shopping Center currently used as a senior center.
The property is located at 4665-4667 Morse Center Drive and is owned by MC-NC, LLC, a Missouri Limited Liability Company. The property has been renovated to accommodate the needs of senior center programming.
The base rent is $7.00 per square foot, $90,000 per year, $450,000 for the life of the lease. Taxes, Common Area Maintenance (CAM) charges , and insurance add an estimated $3.00 per square foot, for an additional $290,000 over the five year lease period. Taxes and CAM charges and insurance will be adjusted annually to reflect their actual costs.
CAM charges include snow removal, lawn care, security system, etc.
The lease includes two (2) additional five-year options for renewal.
The Federal I.D. Number for MC-NC, LLC Company is #20-1078935.
Emergency action is requested to allow the lease to be renewed and to meet the schedule outlined in the original lease.
Fiscal Impact:
$740,000.00 is required from the Special Income Tax Fund to meet the financial obligation of this lease agreement covering years 2005 through 2009. Ordinance 3015-99 authorized $630,00.00 for years 2000 through 2004 at $126,000.00 per year.
Title
To authorize and direct the Director of Recreation and Parks to exercise the first five-year option in the lease agreement with MC-NC, LLC Company for space for the operation of a senior center, to authorize the appropriation of $740,000.00 from the unappropriated balance of the Special Income Tax Fund, to authorize the expenditure of $740,000.00 from the Special Income Tax Fund, and to declare an emergency. ($740,000.00)
Body
WHEREAS, the City of Columbus desires to continue operating at 4665-4667 Morse Center Drive as a senior center facility; and
WHEREAS, it is necessary to appropriate the required funds from the unappropriated balance of the Special Income Tax Fund; and
WHEREAS, an emergency exists in the usual daily operation of the Recreation and Parks Department in that it is immediately necessary to appropriate said funds in order to meet the deadlines outlined in the lease for renewal; now, therefore
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS
SECTION 1. That the Director of Recreation and Parks be and he is hereby authorized and directed to enter into a five-year lease agreement with MC-NC, LLC for the property located at 4665-4667 Morse Center Drive, for the operation of a senior center facility.
SECTION 2. That from the unappropriated monies in the Special Income Tax Fund No. 430, and from all monies estimated to come into said fund from any and all sources and unappropriated for any other purpose during the fiscal year ending December 31, 2005, the sum of $740,000.00 is appropriated to the Recreation and Parks Department, Department No. 51-01, OCA Code 516823, Object Level 3 - 3301.
SECTION 3. That the expenditure of $740,000.00, or so much thereof as may be necessary, is hereby authorized from the Special Income Tax Fund No. 430 , Division 51-01, as follows, to pay the cost thereof.
Fund Type Fund Object Level 3 OCA Code Amount
Special Income Tax 430 3301 516823 $740,000.00
SECTION 4. That for the reasons stated in the permeable hereto, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.