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Adopt a resolution authorizing the purchase of the commercial building located at 197 Butcher Road, Vacaville, CA Solano County APN: 0127-360-150 for a total purchase price of $3,900,000, plus administrative fees, estimated closing costs and appraisal, and inspection fees and subject to completion of remaining and satisfactory due diligence on the property (4/5 vote required); and Approve an Appropriation Transfer Request in the amount of $3,829,625 from the Capital Renewal Reserve fund to the Accumulated Capital Outlay Fund (BU 1977) for the acquisition of 197 Butcher Road (4/5 vote required); and Authorize the County Administrator to execute any agreements to acquire the property
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Published Notice Required? Yes _X__ No __ _
Public Hearing Required? Yes ____ No _X _
DEPARTMENTAL RECOMMENDATION:
The Department of General Services recommends that the Board of Supervisors:
1) Adopt a resolution authorizing the purchase of the commercial building located at 197 Butcher Road, Vacaville, CA Solano County APN: 0127-360-150 (“the property”) for a total purchase price of $3,900,000, plus administrative fees, estimated closing costs, appraisal, and inspection fees and subject to completion of remaining and satisfactory due diligence on the property (4/5 vote required); and
2) Approve an Appropriation Transfer Request (ATR) in the amount of $3,829,625 from the Capital Renewal Reserve fund to the Accumulated Capital Outlay Fund (BU 1977) for the acquisition of 197 Butcher Road (4/5 vote required); and
3) Authorize the County Administrator to execute any agreements to acquire the property.
SUMMARY/DISCUSSION:
The recommended resolution (Attachment A) authorizes execution of the purchase and sale agreement (Attachment B) for the building located at 197 Butcher Road, Vacaville, CA Solano County APN: 0127-360-150 (Attachments C and D) for a total purchase price of $3,900,000, plus administrative fees, estimated closing costs, and appraisal and inspection fees, and is subject to completion of remaining due diligence on the property. An allowance for hazardous material testing is also included in the overall estimated transaction cost.
On October 16, 2024, 197 Butcher Road LLC’s broker, Lee & Associates, announced the property owner’s intent to sell the building for $3,900,000. The parcel is 1.10 acres and includes a 19,756 square foot, three-story building with a basement and parking lot. Constructed in 2005, the building has been vacant since April 2024.
The proposed acquisition addresses an immediate need to relocate the Sheriff’s Investigations Division and Sheriff’s Enforcement Team (SET), currently operating from 501 Texas Street in Fairfield. That facility is scheduled for sale to the Judicial Council of California (JCC) for the new Hall of Justice (HOJ) project, and the County must vacate by June 2027 under the proposed project timeline.
Additionally, the County is initiating the Downtown Justice Campus Asset Protection and Security Fencing projects in this vicinity. Planned improvements for these projects will severely limit public access at 512 Clay Street, which houses the Sheriff’s Office Compliance and Professional Standards Division. As part of the long-term master planning for the campus, 512 Clay Street is also being considered for demolition. Due to these ongoing and future constraints, relocation of this division to the Butcher Road facility would be ideal to ensure continued accessibility for the public.
The Butcher Road property offers a rare opportunity to consolidate multiple Sheriff’s Office divisions currently dispersed across aging and functionally obsolete County facilities into a single, modern, and flexible location with room for future expansion.
The building is uniquely valuable to the Sheriff’s Office, as it not only provides space to consolidate key divisions, but also includes a built-in basement handgun range and can be made available as a firearm training. This is a valuable feature for a law enforcement facility and eliminates reliance on, and cost of, use of external ranges in Fairfield, Sacramento, Dixon, and other outlying areas. The range also resolves scheduling conflicts, improves access, and will save an estimated $20,000 per year in rental fees from external ranges. The range can be made available to external law enforcement agencies and Sheriff-approved concealed carry weapons trainers for permit instruction and could then generate a small revenue stream for the Sheriff’s Office. These programs promote responsible firearm use, public safety, and interagency cooperation.
The purchase provides cost efficiency and long-term financial benefits compared to constructing a new facility at an estimated cost of $10-15M plus with a 3-to-4-year planning and construction timeline. Alternatively, lease costs with landlord pass-throughs and annual escalations are estimated at approximately $350,000 per year for a similar building.
FINANCIAL IMPACT:
The purchase price is $3,900,000 plus administrative fees, estimated closing costs, appraisal, and inspection fees of approximately $27,125 less a commission credit of $97,500 resulting in a net cost of $3,829,625. The County’s Capital Renewal Reserve Fund is being recommended to fund to full cost in the amount of $3,829,625 for the acquisition of 197 Butcher Road.
While the sale of the County’s existing building at 501 Texas Street is still under negotiations, staff anticipates that a proportional share of that sale, based on the Sheriff’s Office allocated use of the building, will reimburse the Capital Reserve Fund in part for this purchase.
These costs do not include facility improvement costs. General Services and the Sheriff’s Office will return to the Board at a later date with estimated costs for necessary improvements.
The costs associated with preparing the agenda item are nominal and absorbed by the department’s FY2025/26 Working Budget.
ALTERNATIVES:
The Board could choose not to approve the purchase of the Property. This is not recommended because an appropriate space for Sheriff’s Office Investigations Division must still be found, requiring the County to identify and acquire or lease alternative space in order to relocate Investigations within the new HOJ project timeline, while incurring opportunity costs and/or finding no space ready for acquisition, resulting in a loss of opportunity to consolidate divisional operations, a fragmented approach to relocation, or providing more limited programming depending on available locations and space.
OTHER AGENCY INVOLVEMENT:
Staff has consulted with the County of Solano Sheriff’s Department, County Counsel, and the County Administrator’s Office in preparing this item.
CAO RECOMMENDATION:
APPROVE DEPARTMENTAL RECOMMENDATION