Explanation
BACKGROUND: The City has leased office space within the building commonly referred to as 750 East Long Street, Columbus, Ohio for the past fifteen (15) years for offices of the Columbus Division of Fire and the Columbus Division of Police under two lease agreements. The current agreements expire on April 30, 2021 and have no option for renewal. The City is in the process of renovating a city-owned building to house both Fire and CPD functions currently located at 750E. Long however, that space will not be ready for occupancy until April 2022. Therefore it is necessary that the City remain in the leased space at 750 E. Long for one additional year and that it enter into a new lease agreement with GGH, LLC, the new owner of the building.
This ordinance authorizes the Director of Finance and Management to enter into a new one (1) year lease agreement with GGH, LLC, for the period May 1, 2021 through April 30, 2022 and authorizes the appropriation and expenditure of $719,000.00 or so much thereof as may be needed from within the 2021 Special Income Tax Fund for payment of rent per the terms of the lease agreement.
Fiscal Impact: This ordinance authorizes the appropriation and expenditure of $719,000.00 or so much thereof as may be needed from the Special Income Tax Fund for payment of rent associated with the lease at 738 East Long Street, Columbus, Ohio. $719,000.00 is budgeted within the 2021 Special Income Tax Fund for the Department of Finance and Management, Real Estate Management Office to pay rent for this leased office space.
Emergency Action: Emergency action is requested to allow for the immediate execution of the new lease agreement to allow for the uninterrupted occupancy by City operations and to insure timely payment of rent associated with the 2021-2022 term of the lease.
Title
To authorize the Finance and Management Director, on behalf of the Real Estate Management Office, to execute a lease agreement for office space at 750 East Long Street, Columbus, Ohio; to authorize the appropriation and expenditure of $719,000.00 from the Special Income Tax Fund; and to declare an emergency ($719,000.00).
Body
WHEREAS, the Finance and Management Department, Real Estate Management Office, is responsible for leasing commercial properties for use in City operations; and
WHEREAS, the City’s current lease agreements for office space located at 750 East Long Street, Columbus, Ohio expires April 30, 2021 and contains no renewal provision; and
WHEREAS, the City desires to continue occupancy at this location for a one (1) year term commencing May 1, 2021 and expiring April 30, 2022 until city-owned space is ready for occupancy; and
WHEREAS, it is necessary to authorize the Director of Finance to enter into a new lease agreement with GGH, LLC for a one year term commencing May 1, 2021 and terminating April 30, 2022 for office space located at 750 E. Long Street for continued occupancy by the Divisions of Police and Fire; and
WHEREAS, funding for the payment of the rent associated with this lease agreement is provided for within the 2021 Special Income Tax Fund; and
WHEREAS, it is necessary to authorize the appropriation and expenditure of funding within the 2021 Special Income Tax Fund for payment of the rent associated with this lease agreement; and
WHEREAS, an emergency exists in the usual daily operations of the Real Estate Management Office, in that it is immediately necessary to authorize the Director of Finance and Management to execute those documents necessary to enter into a lease agreement with GGH, LLC ; and to appropriate and expend funds for the payment of rent for the lease for the 2021-2022 term to ensure that City operations continue uninterrupted, thereby preserving the public health, peace, property, safety, and welfare; now, therefore:
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS
SECTION 1. That the Director of the Department of Finance and Management be, and hereby is, authorized to execute those documents, as prepared and approved by the Department of Law, Division of Real Estate, necessary to enter into a one year lease agreement effective May 1, 2021, by and between the City of Columbus and GGH, LLC for the lease of office space located within the building commonly referred to as 750 E. Long Street, Columbus, Ohio.
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SECTION 2. That from the unappropriated monies 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 ended December 31, 2021, the sum of $719,000.00 is appropriated in Fund 4430 Special Income Tax Fund in Object Class 03, Lease and Rental of Property or Building, per the accounting codes in the attachment to this ordinance.
SECTION 3. That the expenditure of $719,000.00, or so much thereof as may be necessary, is hereby authorized in Fund 4430 Special Income Tax Fund in Object Class 03, Lease and Rental of Property or Building, per the accounting codes in the attachment to this ordinance.
SECTION 4. That the monies appropriated in SECTION 2 shall be paid upon order of the Finance and Management Director and that no order shall be drawn or money paid except by voucher, the form of which shall be approved by the City Auditor.
SECTION 5. That the City Auditor is authorized to make any accounting changes necessary to ensure that this contract is properly accounted for and recorded accurately on the City's financial record. The City Auditor is authorized to make any changes to revise the funding source for any contract or contract modification associated with this ordinance.
SECTION 6. That for the reasons stated in the preamble 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 approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.