Explanation
Background: The Women, Infants and Children (WIC) Program is a supplemental nutrition program for women (pregnant, postpartum and breastfeeding), infants, and children under five years of age, administered in Franklin County by Columbus Public Health with grant funds received from the Ohio Department of Health (ODH). Columbus Public Health has been awarded its annual grant funding from the Ohio Department of Health (ODH). A portion of the WIC grant funds is budgeted for the payment of rent for the lease of five (5) WIC Clinics - First Choice Rental Properties, LLC, for 77-83 Outerbelt Street; Best Corporate Real Estate Properties LLC for 1681 Holt Road; Jacinto W. Beard and Karen L. Beard for 4337 Cleveland Avenue; PLM of Cols for 3933 Livingston Avenue, and Beaumont 4522 LLC for 4550 Indianola. This ordinance, subject to acceptance of the grant funds by passage of City Council Ordinance 2085-2021 to fund the Women, Infants and Children (WIC) Program for the period October 1, 2021 through September 30, 2022, authorizes the expenditure of funds for the payment of rent for these five leases.
This legislation also authorizes the Director of Finance and Management to execute Second Amendments to amend and extend the existing office Lease Agreements with Best Corporate Properties II, LLC for 1675-1693 Holt Road and with First Choice Rental Properties Holdings, LLC for 77-83 Outerbelt Street for the lease of clinic space for the Women, Infants and Children (WIC) program. The WIC program wishes to continue to provide its supplemental nutrition services to clients from these locations. Both leases will expire on September 30, 2021 and have no renewals remaining, thus necessitating the need to amend and extend the two lease agreements to provide for additional renewal periods. The Second Amendments to the Lease Agreements will add five (5) additional one-year renewal periods to each Lease Agreement under the same terms and conditions as the current agreements.
Further, this legislation authorizes the expenditure of up to $218,944.00, or as much as may be necessary, from the Health Department Grant Fund for payment of rent for all five (5) WIC leases that have previously been approved by City Council but are subject to the annual authorization of rental funds by City Council and certification of funds availability by the City Auditor. The WIC Program budget provides $218,944.00 for the leases of the five (5) clinic locations that provide services under this program; and to declare an emergency.
Fiscal Impact: Funding for the lease payments is provided by grant funds received by Columbus Public Health from the Ohio Department of Health (ODH) and accepted by passage of Ordinance 2085-2021. This grant does not generate revenue or require a City match. City funds are not required ($0.00).
Emergency Action: is requested in order to avoid any delay in making timely rent payments to the landlords in accordance with the terms of the five (5) WIC Clinic lease agreements.
Title
To authorize the Director of Finance and Management to execute a Second Amendment to the Lease Agreement with Best Corporate Properties II, LLC and a Second Amendment to the Lease Agreement with First Choice Rental Properties Holdings; LLC, to authorize an expenditure of $218,944.00 from the Health Department Grant Fund for payment of five (5) leases for the Women, Infants and Children (WIC) Program; and to declare an emergency ($218,944.00).
Body
WHEREAS, the Department of Finance and Management, through its Real Estate Management Office, leases five (5) clinical offices spaces on behalf of the Department of Health’s Women, Infants and Children (WIC) Program; and
WHEREAS, the Department of Health's, Women, Infants and Children (WIC) Program wishes to continue to provide its supplemental nutrition services to clients at all five (5) leased locations; and
WHEREAS, a Second Amendment to the Lease Agreement with Best Corporate Properties II, LLC is necessary to provide additional renewal periods for the lease of office space located at 1675-1693 Holt Road and a Second Amendment to the Lease Agreement with First Choice Rental Properties Holdings, LLC is necessary to provide additional renewal periods for the lease of office space located at 77-83 Outerbelt Street; and
WHEREAS, the Department of Finance and Management through its Real Estate Management Office has negotiated terms acceptable to the City and the Department of Health for these Second Amendment to the Lease Agreements; and
WHEREAS, the Department of Health, WIC Program has budgeted $218,944.00 for payment of rent for five (5) WIC Clinic leases for the period October 1, 2021 through September 30, 2022; and
WHEREAS, it is necessary to expend funds for payment of the leases in order to provide services for the Women, Infants and Children (WIC) program for the period October 1, 2021 through September 30, 2022; and
WHEREAS, an emergency exists in the usual daily operation of the City in that it is immediately necessary to authorize the Director of the Department of Finance and Management to execute those documents necessary to amend and extend the Lease Agreement with Best Corporate Properties II, LLC and First Choice Rental Properties Holdings, LLC, and to authorize the expenditure of funds for the payment of rent for the annual term of five (5) existing WIC Clinic lease agreements in order to allow the WIC Clinics to continue offering program services to the community without interruption, for the immediate preservation of the health, peace, property, safety and welfare; now, therefore:
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That contingent upon the passage of Ordinance 2085-2021, the expenditure of $218,944.00 is hereby authorized from the Health Department Grant Funds, per the accounting codes in the attachment to this ordinance, for payment of rent to First Choice Rental Properties, LLC, for 77-83 Outerbelt Street; Best Corporate Real Estate Properties LLC for 1681 Holt Road; Jacinto W. Beard and Karen L. Beard for 4337 Cleveland Avenue; PLM of Cols for 3933 Livingston Avenue and Beaumont 4522 LLC for 4550 Indianola for the lease of office space for WIC clinics at each of these locations.
SECTION 2. That the Director of Finance and Management be, and hereby is, authorized to execute a Second Amendment to the Lease Agreement for office space by and between the City and Best Corporate Properties II, LLC for 1675-1693 Holt Road and to execute a Second Amendment to the Lease Agreement for office space by and between the City and First Choice Rental Properties Holdings, LLC for 77-83 Outerbelt Street.
SECTION 3. That the terms and conditions of the Second Amendments To Lease Agreements with Best Corporate Properties II, LLC and First Choice Rental Properties Holdings, LLC shall be in a form prepared and approved by the Department of Law, Division of Real Estate, and shall include the following: the Lease Agreements shall be amended to add five (5) consecutive automatic one-year renewal terms under the same terms and conditions, including rent, with each renewal term being subject to City’s receipt of WIC grant funding and the acceptance the grant funding by an ordinance of City Council.
SECTION 4. That the City Auditor is authorized to make any accounting changes necessary to ensure that these leases are properly accounted for and recorded accurately on the City’s financial records.
SECTION 5. That the funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated, and the City Auditor shall establish such accounting codes as necessary.
SECTION 6. That for reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten (10) days after passage if the Mayor neither approves nor vetoes the same.