CITY OF SEATTLE
ORDINANCE __________________
COUNCIL BILL __________________
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AN ORDINANCE relating to a lease agreement for warehouse space; authorizing the Director of Finance and Administrative Services to enter into a lease agreement with MB Warehouse, LLC, a Washington limited liability company, for warehouse space in the building located at 2021 22nd Avenue South; and ratifying and confirming certain prior acts.
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WHEREAS, since 1975, The City of Seattle’s Communication Shop (“Comm Shop”), a business unit of Seattle Information Technology (“Seattle IT”) has operated out of a City-owned building located at 1933 Minor Avenue; and
WHEREAS, the City has recently entered into a Purchase and Sale Agreement to dispose of the property at 1933 Minor Avenue, authorized by Ordinance 125533; and
WHEREAS, the Department of Finance and Administrative Services (FAS) evaluated proposals to provide new space that will better meet the operational needs of the Comm Shop in an area of Seattle that is less dense; and
WHEREAS, the City’s interdepartmental Homeless Outreach Navigation Team (“Navigation Team”) does not currently have designated space in a City-owned facility for its operations and engaged FAS to look for leased external space; and
WHEREAS, it was the conclusion of FAS, Seattle IT, and the Navigation Team that their collective business needs could be met via the co-location of the Comm Shop and the Navigation Team space in a single larger facility that was more cost-effective for the City than two smaller facilities; and
WHEREAS, FAS has experience with the financial administration of such co-location of diverse City functions; and
WHEREAS, MB Warehouse is the current owner and landlord for the property located at 2021 22nd Avenue South in the Rainier Valley area of Seattle; and
WHEREAS, Seattle Municipal Code Section 3.127.020 requires City Council approval of lease agreements that exceed five years, and for warehouse lease space that is greater than 9,000 square feet; NOW, THEREFORE,
BE IT ORDAINED BY THE CITY OF SEATTLE AS FOLLOWS:
Section 1. The Director of Finance and Administrative Services (“Director”), or the Director’s designee, is authorized to execute for and on behalf of The City of Seattle (“City”) the Lease Agreement between the City, as tenant, and MB Warehouse, LLC, as landlord, in the form attached as Attachment 1 to this ordinance and identified as “Lease Agreement,” with such minor and clarifying additions, deletions, and modifications to Attachment 1 as the Director deems to be in the best interest of the City, providing for the City’s use and occupancy of a portion of the real property located at 2021 22nd Avenue South in Seattle.
Section 2. The initial term of the Lease Agreement is for ten years, beginning on the commencement date specified in the Lease Agreement. Additionally, the Director or the Director’s successor is authorized to extend the term of the lease for up to two additional five-year extensions, as determined by the Director to be in the best interest of the City, on the terms and conditions provided in the Lease Agreement.
Section 3. The rental payments contemplated by the terms of the Lease Agreement authorized in Section 1 of this ordinance shall be charged to the appropriate expenditure allowance or allowances in the budget of the Department of Finance and Administrative Services (FAS).
Section 4. Any act consistent with the authority of this ordinance taken after its passage and prior to its effective date is hereby ratified and confirmed.
Section 5. This ordinance shall take effect and be in force 30 days after its approval by the Mayor, but if not approved and returned by the Mayor within ten days after presentation, it shall take effect as provided by Seattle Municipal Code Section 1.04.020.
Passed by the City Council the ________ day of _________________________, 2018, and signed by me in open session in authentication of its passage this _____ day of _________________________, 2018.
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President ____________ of the City Council
Approved by me this ________ day of _________________________, 2018.
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Jenny A. Durkan, Mayor
Filed by me this ________ day of _________________________, 2018.
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Monica Martinez Simmons, City Clerk
(Seal)
Attachments:
Attachment 1 - Lease Agreement