Title
Authorization to Lease Real Property at 9015 N. 3rd St. from Neighborhood Outreach Access to Health (Ordinance S-48728)
Description
Request to authorize the City Manager, or his designee, to enter into a lease with Neighborhood Outreach Access to Health for approximately 200 square feet of office space to support a satellite location of the Community Assistance Program. Further request authorization for the City Controller to disburse all funds related to this item.
Additionally, request the City Council to grant an exception pursuant to Phoenix City Code section 42-20 to authorize inclusion in the documents pertaining to this transaction of indemnification and assumption of liability provisions that otherwise would be prohibited by Phoenix City Code section 42-18, for this specific use.
Report
Summary
The City of Phoenix Fire Department's Community Assistance Program (CAP) was allocated $15 million in Fiscal Year 2021-22 for the expansion of CAP to enhance accountability, responsiveness, transparency, and public trust in responding to mental and behavioral health calls for service. In expanding outreach, the multidisciplinary team identified an alternative model to delivering crisis services through partnerships with community-based organizations to improve service and response times.
The City of Phoenix Fire Department has identified a community partnership with Neighborhood Outreach Access to Health (NOAH), in the Sunnyslope area, to support the placement of a Behavioral Health Unit and supervisory staff within NOAH's Desert Mission Health Clinic located at 9015 N. 3rd St. The City will occupy approximately 200 square feet of office space.
Annual base rent is $20.00 per square foot, plus applicable taxes, which is within the range of market rents as determined by the Real Estate Division. The City will pay $10.00 per square foot per year for common area maintenance (CAM), which include utilities, janitorial and building maintenance. Annual base rent and CAM will increase 3 percent per year. Additional fees per designated parking space with an electrical outlet for mobile units and badging and building access will apply. Badging and parking fees shall be commercially reasonable as determined by the City Manager or his designee and negotiated with the Landlord.
The lease may contain other terms and conditions deemed necessary by the City.
Contract Term
The initial contract term is two years, beginning on or about July 15, 2022, with three, one-year renewal options to be determined based on space availability and NOAH's written notice to exercise renewal option.
Financial Impact
The total cost of the initial two-year contract will not exceed $18,380, plus applicable taxes, which includes base rent, CAM, and variable costs related to use.
Location
9015 N. 3rd St.
Council District: 3
Department
Responsible Department
This item is submitted by City Manager Jeffrey Barton, Assistant City Manager Lori Bays, Deputy City Manager Ginger Spencer and the Fire and Finance departments.